Professional Documents
Culture Documents
Marketing Strategies of Ford Motors
Marketing Strategies of Ford Motors
ACKNOWLEDGEMENT
I express my sincere thanks to my project guide, Mr. Sandeep Vyas, for guiding me right from the inception till the successful completion of the project. I sincerely acknowledge him for extending their valuable guidance, support for literature, critical reviews of project and the report and above all the moral support he had provided to me with all stages of this project.
I would also like to thank the supporting staff of K.S. FORD, for their help and cooperation throughout our project.
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Contents
Thank You
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This little car set a benchmark for price, size and quality and structured India as small car market. It wasnt till 1993 that things really started to change for the Indian car buyer. With the liberalization of the economy, a host of international carmakers rushed in. But most of them were in for a shock as Indian customers rejected their product. Indian customers refused to allow the glitter of prestigious brands blind them to the outdated and overpriced products they were offered. The Indian consumer wanted super value, and rewarded the brands that delivered it, handsomely. Hyundai and Maruthi delivered, and profited. The period also saw the emergence of the Indian players like Tata Motors and Mahindra & Mahindra. They rose to the challenge of the MNCs and responded brilliantly with the Indica and the Scorpio. This was ironically due to the license raj that forced Indian carmakers to be innovative and develop products frugally. Indias frugal engineering skill has now caught the worlds imagination, and an increasing number of carmakers are preparing to setup major capacities here. India is changing. And changing fast. Its moving forward. Indias largest-selling car is not its cheapest car, the 800. It is the Alto. Peoples aspirations are rising and so are their mistakes, have got their finger on the pulse of the market. Get the right product and the rewards are handsome. The Indian auto industry is today bubbling with promise and confidence. Its been a long journey but to see where the Indian car industry is going. We have to see where it has been.
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Hindustan Motors and Mahindra & Mahindra set up factories in the 1940s for progressive manufacture rather than assembly from imported components. The cars they chose to make were the latest in the world when they were introduced in India in the formative years of the industry.
POST- INDEPENDENCE:
The government clamped down on imports and foreign investments. Companies like GM and Ford packed their bags and left. Indias clock, thereafter, stood still while the world raced on ahead. It would take nearly 50 years before the Indian auto industry could catch up with the rest of the world again.
BROADBANDING ERA:
In January 1985, the government announced its famous broad banding policy which gave new licenses to brad groups of automotive products such as two and fourwheeled vehicles. Through a liberal move, the licensing system was very much intact. A manufacturer had to submit a phased-manufacturing programme to the Ministry of Industry specifying the indigenization progress and allowing for almost complete indigenization within five to seven years. The biggest hurdle was the foreign-exchange clearance required for these projects. Except for MUL, which had direct access to policy-makers, every other manufacturer still faced a series of obstacles. Several new products were launched during this period. All three traditional carmakers added new models to their ranges Standard Motors returned to the car business after 10 years, when in 1985 it introduced the Standard 2000, a Rover SD1 body with the old two-litre Vanguard engine. HM bought in a 1972 Vauxhall Victor in 1985, transplanted its ageing Ambassador engine into it and the Contessa was born.
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bigger frontal facelift turned out as the Mark III. The Mark IV, launched in 1979, was the last of the Mark cars. The Ambassador Nova was launched in 1990, followed by Ambassador 1800 ISZ three years later. The Nova was the last Ambassador powered by the 1489cc petrol engine. In 2004, HM launched the cosmetically-revised Ambassador under the Avigo name. Designed by Mavendra Singh, the retro look Avigo had classic touch internals like a centrally mounted console, beige-colored seats and wood finish interiors.
Premier:
The story of premier is the story of one mans vision, Seth Walchand Hirachand. He not only give India its first car factory but also the countrys first aircraft factory Hindustan Aeronautics Limited and the countrys first modern ship yard, Hindustan Shipyard Limited
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independent, with Indian management capital and employees, paying royalty or technology transfer payment to western countries. After approaching General Motors they insisted on part ownership. Seth Walchand then moved to second largest automaker Ford; Henry agreed, but delegated the project to Ford of Canada, which refused. Finally the third largest automaker Chrysler agreed and singed in an agreement in Bombay in 1940.
The arrival of FIAT: In 1951, PAL singed up with Fiat to assemble the Fiat 500 in India. In 1952, the tariff commission spelled out future for the auto industry indigenize or get out. Companies like Ford and GM, which had assembly operations in India, packed their bags and went home. But fiat decided to stick it out and committed itself full-fledged manufacture of the Millicento in 1954. In sep 1964, PAL and FIAT launched the Fiat 1100 DELITE in India. The biggest customers for PALs were Bombays taxi drivers. The Padminies were easy for maintenance in terms of spares and labour cost, low on running cost, easy to drive and reasonably tough. It was everything that a taxi driver wants.
TATA Motors:
Established in 1945, Telco or the Tata Engineering and Locomotive Company, as its full name suggests, started out making steam locomotives for the Indian Railways. Telcos tryst with vehicle manufacture came in 1945 when it signed a 15year agreement with Daimler-Benz AG of Germany to manufacture commercial vehicle. The director in charge from the Tata side was Sumant Moolgaonkar. This period was a shared birthing time for the Indian commercial vehicle industry Premier Automobiles in league with Chrysler, Hindustan Motors with General Motors and Ashok Leyland with British Leyland which all started truck production around the same time. Telcos biggest triumph came in 1985 in the LCV segment. The Tata 407, a brand new product from bumper to tail-light, was designed and marketed by Telco to take on the technically superior Japanese products. The 407 immediately captured 70 per cent of the market.
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The TATA SUMO, launched in 1994, turned out to be the success story of the decade. The Sumo was conceptually a brilliant vehicle. And it was also a product of the governments eccentric excise duty regulations at that time. 1998 was a landmark year for Tata it launched the Tata Safari. Unlike the Sierra, Estate and Sumo that were designed and developed using rudimentary manual methods, the Safari was made with modern manufacturing and design processes to ensure new-found levels of quality and to take the company a step closer to its ambition of becoming a global carmaker. Yet, the most important landmark of 1998 was not the Safari. On 30 December 1998, Tata officially launched the much-awaited Indica. 2001 also saw the company exit its joint venture with Daimler-Benz. In 2002, Tata launched the Indigo saloon, based on the Indica platform. On 29 July 2003, J R D Tatas birth anniversary, the company was renamed Tata Motors Limited. The Tata juggernaut continued to roll across the Indian auto industry with the launch of the Indigo Marina in 2004.
Vehicle model
Mahindra MM 540 Commander Mahindra Armada Voyager van Escort (M&M-ford) Bolero Scorpio
Year of launching
1985 1991 1993 1996 1996 1996 2002
Scorpio launched in 2002, a completely indigenous product that took Mahindra &
Mahindra 6 long years to design and develop. The Scorpio has played a critical role in changing the perception and brand image of the country. The 2.6 litre turbo-diesel engine developed 109bhp. The Scorpio has been the vehicle of M&Ms change, from a utility vehicle-maker to a lifestyle SUV manufacturer.
MARUTI:
It began with the promise of being the Peoples Car. The car never went into production and the company went belly-up in 1977. Six years later, it rose like a The phoenix from the ashes and changed the Indian automotive sector forever. Gandhi was the prime minister of India.
company Maruti Udyog Limited. The story of Maruti dates back to the 1970s. Indira Her son, Sanjay Gandhi, envisioned the manufactured of an indigenous cost-effective, low-maintenance compact car for the Indian middle-class. The Cabinet passed a unanimous resolution for the development and production of a Peoples Car. The name of the car was chosen as Maruti.
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Prime Minister Indira Gandhi. The car cost Rs.48,000. The new Maruti, launched in June 1986, cost approximately Rs 15,000 more than the outgoing model.
Model
Maruti 800 Maruti Omni Maruti Gypsy Maruti 1000 Maruti Zen Maruti Esteem Maruti Baleno Maruti Wagon R Maruti Alto Maruti Versa Maruti Swift Maruti Zen Estilo Maruti SX4 Maruti Suzuki Grand Vitara
Year of launching
1983 1984 1985 1990 1993 1994 1999 1999 2000 2001 2005 2006 2007 2007
The other cars which have their share in the Indian Auto Mobile industry are:
The Indian auto industry has exploded in the last 14 years. And car markers are learning some very hard truths. While the economic reforms process was kicked of f in 1991, it was only in 1993 that the automobile industry was finally delicensed and the restrictions were removed.
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Between 1993 and 95, government regulations limited a foreign companys stake to a maximum of 51 percent of the equity. Hence the only method of entry for an MNC then was through a joint venture with a local partner. The most preferred partner was an existing automaker. In 1994-95 saw the announcement of quite a few JVs. Premier and Peugeot to form PAL-Peugeot. GM and CK Birla to form GM India. Mercedes Benz and Tata Motors. M&M and Ford to form Mahindra-Ford India. In 1995, the government announced its decision to allow foreign auto companies to enter with a 100% stake or wholly-owned subsidiaries. This changed the dynamics of joint ventures in India. The other automobile industries which play a crucial role in the Indian automobile industry are: Daewoo Motors India. General Motors India Mercedes-Benz Hyundai Motors Honda SIEL Toyota Skoda India
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COMPANY PROFILE
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Ford Motor Company is an American multinational corporation and the world's third largest automaker based on worldwide vehicle sales.
In 2006, Ford was the second-ranked automaker in the US with a 17.5% market share, behind General Motors (24.6%) but ahead of Toyota (15.4%) and DaimlerChrysler (14.4%). Ford was also the seventh-ranked American-based company in the 2007 Fortune 500 list, based on global revenues of $160.1 billion. In 2006, Ford produced about 6.6 million automobiles, and employed about 280,000 employees at about 100 plants and facilities worldwide. In 2007, Ford had more quality awards from J.D Power than any other automaker. Based in Dearborn, Michigan, a suburb of Detroit, the automaker was founded by Henry Ford and incorporated in June 16, 1903. Ford now encompasses many global brands, including Lincoln and Mercury of the US, Jaguar and Land Rover of the UK, and Volvo of Sweden. Ford also owns a one-third controlling interest in Mazda.
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Ford has been one of the world's ten largest corporations by revenue and in 1999 ranked as one of the world's most profitable corporations, and the number two automaker worldwide. Ford introduced methods for large-scale manufacturing of cars and large-scale management of an industrial workforce, especially elaborately engineered manufacturing sequences typified by moving assembly lines. Henry Ford's combination of highly efficient factories, highly paid workers, and low prices revolutionized manufacturing and came to be known around the world as Fordism by 1914.
History
Ford was launched in a converted factory in 1903 with $28,000 in cash from twelve investors, most notably John Francis Dodge and Horace Elgin Dodge who would later found the Dodge Brothers Motor Vehicle Company. During its early years, the company produced just a few Model T's a day at its factory on Mack Avenue in Detroit, Michigan. Groups of two or three men worked on each car from components made to order by other companies. Henry Ford was 40 years old when he founded the Ford Motor Company, which would go on to become one of the largest and most profitable companies in the world, as well as being one of the few to survive the Great Depression. The largest family-controlled company in the world, the Ford Motor Company has been in continuous family control for over 100 years.
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Corporate governance:
Members of the board as of early 2007 are: Chief Sir John Bond, Richard Manoogian, Stephen Butler, Ellen Marram, Kimberly Casiano, Alan Mulally (President and CEO), Edsel Ford II, Homer Neal, William Clay Ford, Jr., Jorma Ollila, Irvine Hockaday, Jr., John L. Thornton and William Clay Ford (Director Emeritus). The main corporate officers are: Lewis Booth (Executive Vice President, Chairman (PAG) and Ford of Europe), Mark Fields (Executive Vice President, President [The Americas]), Donat Leclair (Executive Vice President and CFO), Mark A. Schulz (Executive Vice President, President [International Operations) and Michael E. Bannister (Group Vice President; Chairman & CEO Ford Motor Credit).. Paul Mascarenas (Vice President of Engineering, The Americas Product Development)
FORD IN INDIA:
Ford started its innings with the Mahindra-Ford joint venture formed in 1994, which produced the Escort out of M&M Nashik plant. After meeting initial success, sales of the Escort was finally replaced by the Ikon in 1999. The Ikon marked a new beginning for Ford in India. It rolled out of the Marajmalaingar plant near Chennai and by now, the company had parted ways with M&M and was renamed Ford India Ltd in 1998. The Ikon was the first model by a multinational to be developed specifically for India. Though it was based on the Fiesta, it was a unique body style and was offered and was offered with an option of three engines, including a diesel. The car was a big hit. The Ikon underwent several facelifts and price cuts to keep demand high. However, fresher competition and a reputation for high-maintenance saw sales gradually decline. After the arrival of the modern and highly-capable Fiesta, another made-for-India car, with state-of-the-art engines, the Ikon has been marginalized. The Fiesta has picked up where the Ikon left and is selling well. Though the Ikon and Fiesta have been the mainstays of Fords production in India, the company has had limited success with other models. The Mondeo, launched in 2001, was a very talented car by was simply not suited to Indian conditions and earned a reputation for being exorbitant to maintain. The Endeavour SUV was launched in early 2004 and has sold well for its niche. The Endeavour has recently been upgraded in 2007 and this has boosted the appeal of
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the big SUV. In 2004, Ford launched the Fusion, which has received a lukewarm response though the recent diesel variant has perked up sales.
Fortune Ford is an authorized dealer for Ford India Limited, who are one of
the leading manufacturers of top quality cars in India, with many variants in the offering.
Fortune Ford is a 50:50% Joint Venture set up between two well known and reputed families in Hyderabad, the Modis and the Babu Khans. Fortune Ford is a blend of experience and youth. The experience and good will that Mr. Misbahuddin Babu Khan and Mr. Pramod Modi enjoy blend very well with the youth and energy of the youngsters Bashir, Ashish, Nirav and Siraj to make Fortune Ford a truly world class Ford Dealership. Fortune Ford markets and services the recently launched truly European Ford Fiesta, the ever-popular Ford Ikon Flair, the No non-sense car Ford Fusion and the macho SUV the Ford Endeavour through its sales and service outlets at Hyderabad. The sales outlet is located strategically at Somajiguda next to Eanadu. We have two service centers, one at Chapel Road, Abids opposite Stanley College and other one at Fathebagh, Santhnagar. These centrally located outlets provide convenient and easy access to both the proud owners as well as prospective buyers. The workforce at Fortune Ford is committed to excellence in serving all esteemed customers. The Sales Team is made up of dedicated showroom and field executives who are professionally trained by Ford India Limited. They are adept at guiding the customer through the entire sales process right from assisting in the choice of model, colour and features to lending a helping hand in providing attractive buyback options and also arranging finance at competitive rates.
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The Service Centre is armed with the state-of-the art equipment and is in-line with Ford's exacting Global standards. The service team is technically qualified and trained to analyze and provide solutions adhering to Quality Care, in order to satisfy even the most demanding customers. The Fortune Ford dealership maintains a high standard of excellence in sales and services by sending its personnel for training on a regular basis to Ford India Limited, to update them with the latest technological advances in the automotive sphere.
SHOWROOM
We have 5000 sft centrally air conditioned showroom, located at E-110, Main bypass road Mewar Industrial area Madri in Udaipur . This makes convenient for almost every one residing in and around Chittorgarh, Dungarpur and Rajsamand.
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5.Full of Ford cars with all colors and models to choose from.
range
6. A good stock of Ford genuine accessories to make your Ford ownership more delightful and safe. 7. A well maintained fleet of test drive cars to give you the feel and experience the drive dynamics on actual driving conditions before take the purchase decisions. You can call our sales help line for test drive or fill the on-line test drive requisition form.
Significant milestones
The first Indian built Ford Escort rolled off the assembly line in 1996. The Company was able to deliver Ford Escorts in seven major cities simultaneously, in just a month after booking. The Special Value Pack program was launched in 1997, with commemorative 'Freedom', followed by the petrol and diesel driven 'Anniversary'. Recent SVPs have included the Orion, Alpha and Sport - E.
Ford Escort won the J D Power Award in India Quality Survey in 1997. Ford topped the Customer Satisfaction Index (CSI) ratings in 1997 and 1998, in the Customer Satisfaction Survey. QualityCare, Ford's branded service initiative, provides car owners with superior services at its dealership countrywide.
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The new, integrated manufacturing plant was dedicated in March 1999, where FORD IKON is manufactured. Ford India launched Ford Assured on April 24 2000, a new initiative to buy and sell used cars of all makes. On September 11, 2000. Ford India launched the Ford IKON SXi the stylish josh machine Ford India has started exporting Ford IKON Ford India launched the Ford Mondeo.
2001 2002
Ford India show cases a wide spectrum of exciting cars at the Auto Expo Ford India Limited announced a strategic partnership with Hindustan Motors Limited (HML). Certified QS 9000: 1998, 3rd edition on March 21, 2002 Ford India received the QS 9000 award from TV Sddeutschland. New Ikon Variant 1.6 EXi was launched
2003:
The New Ford Ikon NXT launched - The Next Level of Josh. Adding Refinement to Josh- Ford India launches Ikon NXT Finesse. Ford Celebrates Centennial in India. Ford India launches Ikon NXT SXi. Ford India Ranks Highest in J.D. Power India Sales Satisfaction Study. Ford launches Ikon Flair at Rs. 4.95 Lakhs.
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MANAGEMENT PROFILE:
ARVIND MATHEW Managing Director and President Arvind Mathew is the Managing Director and President of Ford India. He took this position in August 2005.
LUCY MILLAR Vice President, Finance & IT Lucy is the Vice President of Finance and IT at Ford India. She took up this position in May 2005. She reports to Arvind Mathew, President and Managing Director, Ford India.
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SCOTT McCORMACK Vice President, Marketing, Sales & Service Scott McCormack is the Vice President, Marketing, Sales and Service at Ford India. He took this position in July 2006. Scott reports to Arvind Mathew, President and Managing Director, Ford India.
NANCY REISIG Vice President, Human Resources Nancy Reisig is Vice President, Human Resources at Ford India. She took this position in March 2005. Nancy reports to Arvind Mathew, President and Managing Director, Ford India.
SANDIP SANYAL Vice President, Supply and Total Value Management Sandip Sanyal is the Vice President, Supply and Total Value Management (TVM) at Ford India. He took this position in September 2005. Sandip reports to Arvind Mathew, President and Managing Director, Ford India.
is washed and vacuumed before delivery. The computerized wheel aligning equipment used at our workshop provides accurate adjustments to give you a vibration free driving pleasure. The World class Cellete equipment is employed in the body shop to enable accurate pulling of accidental bodies to their original shapes. A most modern Blowtherm Paint booth enables to paint the car bodies in an absolutely dust free enclosure. The paint finish is comparable to a factory finish new car.
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PRODUCT PROFILE
Fusion:
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PRICE (lacs) : Engine : Type : SSS Construction : Fuel System : Displacement (cc) : Compression Ratio : Max. Power (ps/rpm) : Max. Torque (nm/pm) : Emission Stage : Kerb Weight (Kg) : Transmission : Max Speed (Kmph) : Mileage :
6.77 TDci diesel 4 Cyl. In Line, 16 V DOHC All Aluminum Alloy SEFI 1596 9.75:1 101 / 6500 146 / 3400 Bharat Stage III 1143 Manual 5 Speed 174 11.3
Endeavour:
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PRICE(lacs) Engine: Type Displacement (cc) Max. Power (PS/rpm) Max. Torque (kgm/rpm) Ignition System Valve System Fuel System Emission Kerb Weight (Kg) Transmission MaxSpeed (Kmph) Mileage
(4X2) (4X4)
16.16 17.17
2.5 litre, 4 Cylinder in-line, Turbocharged & inter-cooled diesel 2499 116/3500 28.5/2000 Compression SOHC, 12 Valves Indirect Injection Mechanical Pump Exhaust Gas Recirculation (EGR) Meeting Bharat Stage III Norms 1933/1958 Manual 5 Speed 142 8.2
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Fiesta:
Engine Price(in lacs) Type Construction Fuel System Displacemen t Max. Power Output Max. Torque cc
4 Cylinder in-Line, 16 Valve DOHC All-aluminium Alloy SEFI 1388 9.75:1 82/6000 1596 9.75:1 1596 9.75:1
4 Cylinder in-Line, 8 Valve SOHC High Pressure Common Rail 1399 18:1 1399 18:1 68/4000 1399 18:1 68/4000
Nm/rpm 127/4000 146/3400 146/3400 160/2000 160/2000 160/2000 Bharat Stage III 5 Speed Manual 170/178 14.75/13.6
Emmision Compliance Transmission Type Kerb Weight (Kg) MaxSpeed (Kmph) Mileage
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Ikon:
PRICE(lacs) Engine: Type Fuel system Displacement (cc) Max. Power (ps/rpm) Max. Torque (Nm/rpm) Transmission Type Kerb Weight (Kg) MaxSpeed (Kmph) Mileage
5.50 4 Cylinder, 8-V SOHC, Rocam Petrol SEFI 1299 70/5500 105/2500 5 Speed Manual 978 148 10.8
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Mondeo:
PRICE(lacs) Engine: Engine type Displacement Max. power Max. torque Compression ratio Valves Fuel injection Emission level Construction Transmission Type Kerb Weight (Kg) MaxSpeed (Kmph) Mileage
6.59 2.0L 16V DOHC Petrol 1999 cc 142.7 PS/6000 rpm 185 Nm/4500 rpm 10:8:1 16V DOHC Sequential electronic fuel injection (SEFI) Bharat Stage III All Aluminium Alloy Ford MTX-75 manual 5-speed with synchromesh 200 8.6
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horn more frequently, for cars sold in India, the horn buttons are kept on the steering wheel and not on a lever on the side as in the models sold in Europe.)
The Ford in India has launched the car only for few segment of people. The segmentation of car buyers based on price preferences are
Family car segment: These cars forms a reasonably sizeable segment of the
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FORD IKON AND FORD FUSION come under this type of segment.
Premium car segment: This segment represents buyers who need a real
world-class car and are willing to pay the due price. Preferred price range starts from 8 lacs to 12 lacs. FORD FIESTA, FORD MONDEO come under this segment of cars.
SUV segment: The buyers of this segment like to have a big vehicles.
And these cars are also useful for sport riding and even on hill areas. There body is designed similar to offroad vehicles, which can withstand to Indian roads. FORD ENDEAVOUR occupies this segment.
1) 2)
In the first step the products of vehicles manufactured by the Ford Automotives are directly promoted by the manufacturer by himself. He follows many promotional strategies like 1. Advertising through television and newspaper. 2. Internet or interactive marketing. 3. Direct marketing. In the second step the dealer of the vehicles promotes the vehicles. The various promotional strategies followed by the Fortune Ford at dealer are 1. Advertising though news papers, radios, palm plates. In this all the features of the product and its prices are given in detail to the customer. 2. In televisions the scrolling are given about the product and its features.
Hoardings:
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A heavy picture of the product which comprises of its attributes and special features are displayed on the roadsides in the form of hoardings. It is a bit expensive strategy but attracts many people who pass by that roadside. This type of advertisement is prepared for those segments of people who cannot afford their time in reading newspapers and watching televisions. While travelling from their home to office, moving on their business activities they may watch these hoardings. These hoarding are especially setup at the road signal stops.
Free Insurance:
The Fortune Ford gives a special offer of free insurance on the purchase of each vehicle to its new customers.
Relationship Marketing:
Fortune Ford pays a special attention towards its old customers. To retain the old and existing customers it conducts a corporate meet at a luxurious hotel. The event aims at knowing the problems of the customers regarding the vehicles and also service feedback. In this way it maintains an effective relationship with the customers and gains the reputation and goodwill in the minds of the customers.
Sales Promotion:
The sales promotion is done in the fortune ford at three levels:
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1. Showroom sales: In this the customers walk in to the showrooms to know about
the details of the product. Specially trained sales executives who are present in the showrooms give a detailed explanation about the product to the customers. Sales executives give a detailed note on the products features, various offers given by the manufacturer and also by the dealer to the customer and enhances the sales of the vehicles.
2. Corporate sales:
corporate sectors and there they personally meet the heads of the organizations like C.E.Os, Managers etc., and explain about the vehicles and the offers and special schemes provided by the dealer to them on bulk purchase of the vehicles and try to promote the sales of the vehicles.
3. Field sales: The sales executives conduct some events with the corporate
working people and try to demonstrate the product features and its benefits and try to promote the product and increase its sales.
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The Sales Consultants appearance and dress will be of the highest standards. An advisory relationship is established between the customer and the Sales Consultant who listens to the customer, identifies their needs and ensures that they are met. A pleasant, non-pressured purchase experience will be provided during which a thorough demonstration of the vehicle features and benefits will be made. A test drive will be offered to all customers. Using a check list, the Sales Consultant delivers the vehicle in perfect condition when promised. Customers will be contacted within one week after delivery to ensure total satisfaction.
EXTENDED WARRANTY:
Fortune Ford gives an extended warranty to its customers where there will be an extended time duration in the warranty. What is Extended Warranty? Factory Warranty covers only for a specific period of time/mileage. [35]
After the factory warranty expires, customer is exposed to the risk of parts failures. This is applicable for any machine/equipment/vehicle. Extended Warranty: Is an extension of Factory Warranty Offers almost similar coverage as Factory Warranty Comes with a time-bound (eg. 1yr/2yrs but unlimited mileage cap) Covers all Mechanical and Electrical Failures Covers labour
Why is extended warranty needed? Offers peace of mind motoring Protects against unexpected and non-budgeted expenses Can be transferred, hence increases the resale value.
What does it NOT cover? Does not cover wear and tear of parts Does not cover scheduled service items Does not cover accident repairs Benefits to customer Protection from manufacturing and material defects Car can be repaired at any Ford out let across the country Unlimited number of claims No excess to pay One up-front payment only Inflation protection from rising costs of parts and labour All repairs carried out by qualified Ford technicians Warranty can be transferred when vehicle is sold better resale value Total peace of mind
A comprehensive maintenance plan by Ford will serve as a good tool to improve the service experience and minimize concerns on cost of ownership of the vehicle Total Maintenance Plan (TMP) is a complete service solution provided to the customer. This enables the customer to have total peace of mind in the form of a Maintenance Holiday What does it cover? Scheduled servicing like Engine Oil change, Fuel filter, Oil filter, Spark plugs etc. Non-scheduled maintenance like Brake Pads/Shoes, Brake Discs, Clutch Plates, Lower Suspension Arms, Shock Absorbers etc.. Mechanical/Electrical repairs Labour for all the above What does it NOT cover? Accident repairs Tyres Fuel
Benefits to the customer Total peace of mind Fixed price for next 2 to 3 years Increased residual value of the car Only Ford genuine parts are used Can avail this service across the country at all Ford authorized outlets Transferable Incase of total loss, can be cancelled Ford factory backed programme Diagnosis/repairs as per recommended standards and practices Vehicles serviced by Ford trained and certified technicians
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RESEARCH METHODOLOGY
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Objective of study
To analyze the competitive advantage of ford To know the influence of various Marketing Strategies, Promotional Activities towards the customers of four wheelers (cars). To know whether the customers are satisfied with the offers given by the dealer. TO study and analyze the customer's perception regarding the usefulness/utility of Ford cars.
Type of research
Descriptive Research Descriptive research includes and fact finding enquires of different kinds. The major purpose of descriptive research is description of the state of affairs as it exists at present. Researcher has no control over the variables of this type [39]
of research.The methodology of the study is based on primary data. The primary data was gathered from the so as to establish a comprehensive comparison with the help of statistical charts and tables.
It gave a change to use the conceptual knowledge in actual Environment in prepares the researcher use the knowledge in His future endeveaour. How to increase sales of Ford. To create an awareness of Ford and its product. To know the marketing strategies and Sales promotion activity in Ford. It gives insight of the topic. This research is useful for the company as it helps the company in comparative analysis. This research is useful for the company to know their competitive advantage.
Limitation of study
The study was restricted to theoretical ground only so it was difficult to draw the true interpretation of the study. The conclusion arrived at are based on a very less experience
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The survey is conducted to in very short time. Hence shortest of time is a big limitation for the survey. We use questionnaires tool for data collection. In the Udaipur city, Peoples are very busy in work. They do not give enough time for answer of questions. Due to time constraint the survey could be conducted only in Udaipur. This proved to be a limitation because the results thus obtained cannot be accurately generalized for the entire country. Indifference and lack of interest disposed by a few respondents leading to unauthentic responses.
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Interpretation: This question is meant for taking the information regarding the most preferred car in the Ford cars. From the above graph it is found that most preferred vehicle of Ford cars is Fiesta.
2. What do you like most about your Ford car? Data analysis: Customers preference Style/design Comfort Ford brand Service % of customers 18 46 26 10
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Customer Preference 50 40 30 20 10
r e m t s u c f o %
46
26 18 10
0
Style/design
Interpretation: group of people.
Comfort
Ford brand
Service
towards the cars. From the data we can position our product to the comfort seeking
3. What do you feel great about your car when compared to other cars in the market? Data analysis: Customers perspective Fuel efficiency Durability Low maintenance Sound quality Brand name % of customers 4 14 18 24 40
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40 35 30 25 20 15 10 5 0 customer prespective
r e m t s u c f o %
Interpretation:
customers perspectives. Many of the Ford customers are buying the cars by seeing its Brand Name only. The no. of customers satisfied with the fuel efficiency are very low.
4. How did you come to know about this car before purchasing? Data analysis: Source of awareness Friends, relatives Advertisements Car experts Sales persons visit Auto magazines % of customers 18 50 6 16 10
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50 40 30 20 10 0
r e m t s u c f o %
50
18 6
16 10
Friends, relatives Advertisements Car experts Sales persons visit Auto magazines
Source of awareness
Interpretation: Most of the Ford customers came to know about their vehicle through advertisements only. The major media that attracted the customers is television.
5. Can you share your experience with after sale service support Data analysis: Post service experience Very much satisfied Satisfied Ok Not satisfied % of customers 12 30 50 8
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60 50 40 30 20
r e m t s u c f o %
Interpretation: This question is prepared to know the service levels of the authorized dealer. Most of the customers are just telling ok about the service. Only a very few customers are very much satisfied with the service. Even some of the customers are not satisfied with the service given by the authorized service men.
6. Where do you get your car serviced regularly? Data analysis: Place of service At authorized service centre At a local workshop near home % of customers 82 18
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82%
Interpretation: Most of the Fortune Ford customers are interested to service their vehicles only at the authorized dealers. From this we come to know what the importance of authorized service centers for car is.
7. Which bank do you prefer in getting financial help while purchasing a car?
Data analysis:
Name of the bank ICICI HDFC % of customers 42 12
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SBI Others
40 6
45 40 35 30 25 20 15 10 5 0
42
40
12 6
r e m t s u c f o %
Interpretation: Most of the customers prefer ICICI and SBI banks for taking
financial help while purchasing a car. Customers are asking for 0% interest on financial help provided by the banks.
Data analysis:
Type of finance In house finance Out house finance No difference between the two % of customers 60 24 16
[49]
24 16
10 0 Types of finance
Interpretation:
interests in preferring the finance from various sources, this question is prepared. Most of the customers prefer only In house finance compared to outhouse finance.
[50]
52 32 14 2
0 Type of Media
Televisions
Magazines
News papers
F.M/Radio
Interpretation: From this analysis we come to know that most of the customers
are interested in watching televisions, which is a good media for communicating with people and delivering our intentions about product.
10. Which kind of T.V. channels do you watch regularly? Data analysis: T.V. Channels National news channels Regional news channel Sports channels Entertainment channels % of customers 20 32 8 40
[51]
40
National news channels Regional news channel
20 8
10 0
T.V.Channels
Interpretation: This question is meant to know the interests and preferences of
customers towards T.V. channels. More than quarter of the sample size showed interest only on the entertainment channels and next preference goes to the regional news channels.
11. Whats your opinion on the price list of Ford cars? Data analysis:
Customer opinion on pricelist of ford car Affordable by common man Affordable only by rich man Cant say % of customers 12 84 4
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42; 84%
6; 12%
2; 4%
Cant say
Interpretation: More than 80% of customers think that Ford cars are affordable
only by rich men. These cars are too expensive for an economic/comman man of the society.
12. What kinds of offers do you like or expect from the dealer?
Data analysis:
Offers Free insurance Special discount on sale of cars Extending the service period Finance availability with 0% interest % of customers 18 6 54 22
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54
Free insurance
18 6
22
10 0
Various offers
Interpretation: By the result of this question we come to know about the various
promotional techniques/offers which attract the customers. From the above analysis many customers are expecting the extension in the service period from the various offers given to them.
13.
Data analysis:
Expectations of customer Information about new cars Information about service and mileage Assistance regarding loans and insurance Understanding customer needs % of customers 4 68 8 20
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68
20 0
20
Expectations
Interpretation:
service and mileage regarding the cars from the dealer. From the above analysis we come to know about the customers expectations and their post purchase service demands from the dealer.
14.
Data analysis:
Customer opinion I will not respond Lost my privacy Interested in knowing (if I feel a need of it) % of customers 22 10 68
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70 60 50 40 30
r e m t s u c f o %
68
I will not respond
Lost my privacy
22 10
Interested in knowing (if I feel a need of it)
20 10 0
Customer opinion
Interpretation:
customers opinion about the Data Bank maintenance by the Fortune Ford. In reply majority of the customers gave a positive reply by showing interest in knowing about the cars when a sales person gives a detailed description about the cars.
15.
Data analysis:
Customer opinion on ambassador Very necessary Not needed Waste of money for manufacturer % of customers 86 14 0
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86
Very necessary Not needed Waste of money for manufacturer
Interpretation:
Ambassador for a car in the customers point of view. Most of the Ford customers think that a Brand Ambassador is very necessary for promoting a car.
16. Whats your opinion about the previous Ambassador Abhishek Bachan for the car Ford Fiesta?
Data analysis:
Customer opinion Full filled the purpose Unable to attract customers He was not apt for it % of customers 76 20 4
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76%
4%
20%
Interpretation:
Ambassador Abhishek Bachan for the car Ford Fiesta full filled the purpose and he was able to increase the sales of the cars Fiesta.
17.
Data analysis:
Customer suggestion Sports person Film star Car expert Any celebrity % of customers 36 42 14 8
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42 36
Sports person Film star
14 8
Interpretation:
ambassador. Because many of them get attracted only to their favorite film stars other than other brand ambassadors.
18.
What other brand(s) did you seriously consider before making this car purchase? Data analysis:
Brand name Hyundai Skoda Maruti Honda [59] % of customers 38 24 10 18
Toyota
10
38 24 18 10 10
20 10 0
Brand name
Hyundai Skoda Maruthi Honda Toyota
Interpretation:
their preference.
Most of the Ford customers are opting for Hyundai when they
are asked to consider a brand other than Ford. Skoda occupies the second place in
Swot Analysis
1. Strength Good brand name. Customer trust. Latest technology. A highly trained and professional sales force and staff. Good looking of ford cars. Better customer feedback. A good looking of showroom. Car demo provide at customer required place.
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Good credit facility provide to customer. A complete diversified project portfolio., fast and accurate service to the customer.
2. weakness Complaint about hidden charges by customer. No stability of employees. After sales services are not good . No properly advertising of Ford cars. Incentive is not give time to time for ford employees. Prices are very high of Ford cars. Technical parts of Ford cars are very high range. Less product on offer. No changes in organization. 3. Opportunities Improved services can retain the customer. New polices should be developed. Properly telecalling can easily retain the customer. New market strategy can be developed. New technology should be developed. Good advertising can be retaining customer. Majority of the market still untapped. 4.
Threats
Large number of private players. Excellent policies of its competitors. Better after sales service. Technology is changing world wide over very rapidly and there is risks of obsolesces of the technology used by Ford.
CONCLUSION
The study of finance department and sales department of any organization is not just a study work of few months. This is a very short time period for reaching any conclusion on the employment process or manpower results of the organization. This is a very wide subject for work.
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In todays rapidly changing world, there are a lot of things for learning in the field of business. It means we are new at every moment. After a brief study of Ford Ltd. In finance and sales department, I reach on some conclusion. These all are presented in the following of the company in sales field:
The work environment of the organization is friendly and suitable for the better work performance.
There are a lot of opportunities of growth in the organization. So many facilities are provided to the employees of the organization. Management of the organization is helpful for the employees in any kind of problem.
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to rectify it.
11) The quality of the sun proof coating used is of very low quality, vehicle colour
evenings only.
13) The sales people present in the showroom respond to us properly when we
come to purchase a new car, but they do not respond when we come to tell our problems regarding the cars.
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APPENDIX
Appendix
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QUESTIONNAIRE
1. Which of the following Ford car you own? a) Fiesta b) Ikon c) Endeavour d) Fusion
2. What do you like most about your Ford car? a) Style/design b) Comfort c) Ford brand d) Service
3. What do you feel great about your car when compared to other cars in the market? a) Fuel efficiency b) Durability c) Low maintenance d) Sound quality e) Brand name
4. How did you come to know about this car before purchasing? a) From friends, relatives (buzz)
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5. Can you share your experience with after sale service support?
6. Where do you get your car serviced regularly? a) At authorized service centre b) At a local workshop near my home
7. Which bank do you prefer in getting financial help while purchasing a car?
a) ICICI
b) HDFC c) SBI d) others
8. Which type of finance do you prefer? a) In house finance b) Out house finance c) No difference between the two
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10. Which kind of T.V. channels do you watch regularly? a) National news channels b) Regional news channels c) Sports channels d) Entertainment channels
11. Whats your opinion on the price list of Ford cars? a) Affordable by common man b) Affordable only for rich man c) Cant say
12. What kinds of offers do you like or expect from the dealer? a) Free insurance b) Special discount on sale of cars c) Extending the service period d) Finance availability with 0% interest
13. What more do you expect from your dealer? a) Information about new cars b) Information about service and mileage c) Assistance regarding loans and insurance d) Understanding customer needs
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14. How do you feel when an unknown sales person approaches you by knowing your full details to demonstrate about any product? a) I will not respond b) Lost my privacy c) Interested in knowing (if I feel a need of it)
15. Whats your opinion on a Brand Ambassador for the cars? a) Very necessary b) Not needed c) Waste of money for manufacturer
16. Whats your opinion about the previous Ambassador Abhishek Bachan for
the car Ford Fiesta? a) Full filled the purpose b) Unable to attract customers c) He was not apt for it.
17. Whom do you suggest as a right person for promoting a car? a) Sports person b) Film stars c) Car expert d) Any celebrity
18. What other brand(s) did you seriously consider before making this car purchase? a) Hyundai b) Skoda c) Maruthi d) Honda e) Toyota
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BIBLIOGRAPHY
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BIBLIOGRAPHY
WEBLIOGRAPHY::
www.fordindia.com www.fortuneford.com www.wikipedia.com
REFERANCE BOOKS:
Kothari C. R.: Research Methodology methods and techniques.2nd edition. Kotler Phillip: Marketing Management Eleventh revised edition, 2002. Gupta S. P.: Statistical Methods Thirteen revised edition, 2001.
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Thank You
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