Group Assessment

“Ren ult Kwid C se Study”

By Geet Sh rm
a
a
a
a
 Insights Of Indian Automotive Market
Introduction

India is a booming economy and is a money-making option for investors.

The availability of low-cost skilled labour, various R&D centres, and easy cheap steel production
all help in making India a viable choice.
The above-stated reasons make “The automobile industry” in India a growing industry.

The CAG report of the Indian automotive industry’s sales between FY 2009 and FY 2020 comes around 8%. The vehicle registrations fell by
29% in the nancial year 2020-2021 from 295.8 million registered vehicles to 221.85 million in 2020.
Source: WWW.CAG.ORG.IN
fi

 Insights Of Indian Automotive Market

Segment tion Of Indi n Automotive Industry
13%

3%
Passenger Vehicle
3%
Three-wheelers:
Commercial Vehicle Indian
Two-wheelers
Automotive
Segment

81%
SOURCE: BUSINESS MAPS OF INDIA
a
a
 Indian Automobile Industry
SWOT Analysis

Strengths
• The domestic market is large
• The government provides monetary assistance for manufacturing units
• Reduced Labour cost
• Evolving industry
• Continuous product innovation and technological advancement
• Growth shifting to Asian markets
• Increase in demand for four-wheeler vehicles

 Indian Automobile Industry

SWOT Analysis

We kness
• Infrastructural setbacks
• Low productivity
• Too many taxes levied by the government increase the cost of production
• Low investments in Research and Development
a

 Indian Automobile Industry

SWOT Analysis

Opportunities
• Reduction in Excise duty
• Rural demand is rising
• Income level is at a constant increase
• Introducing fuel-e cient vehicles
• Changing lifestyle and customer demand causing a rise in the sale of two-wheelers
and compact cars

ffi

 Indian Automobile Industry

SWOT Analysis

Thre ts
• Increasing rates of interest
• Too much competition
• The rising cost of raw materials
• Steeply rising fuel prices
• Economic recession
a

 Marketing Analysis
Ren ult Kwid
a
 Renault Kwid
Product Life Cycle

10000

7500

5000

2500

0
August 2015 November 2015 February 2016
 Marketing Mix For Kwid ( The 4 P’s)
Product

• After extensive market research, the team Renault choose the hatchback entry car segment for themselves, based upon
the results which they got from Renault Duster.
• Renault Introduced SUV inspired entry-level hatchback car, with a 3 cylinder,800 cc engine, which can give power of 59
bhp and 72 nm torque, In all segments.
• Renault focused on fuel e ciency, Kwid can give a mileage of 25 kmpl.
• Renault Kwid also gave the best in class boot space of 300 ltr along with ABS and gear shift indicator and for the top-
end variant, they included a touchscreen infotainment system.

ffi

 Marketing Mix For Kwid ( The 4 P’s)

Price

• Renault Kwid took an aggressive pricing approach to make their presence felt and
disrupt the market.
6
•
4.5
Renault Kwid Alto eon
Datsun redigo
3

1.5

0
Standard Rxe rxe Rxl Rxt RxT
Price distribution chart

 Ren ult Kwid M ruti Suzuki Alto

V rri nts Price V rri nts Price

Standard 2.5 Lakhs Standard 2.5 lakhs

Rxe 2.88 Lakhs LX 2.88 lakhs

LXI 2.94 lakhs
rxe 2.94 Lakhs
VXI 3.11 lakhs
Rxl 3.11 Lakhs
LXI ( Airbag ) 3.44 lakhs
Rxt 3.44 Lakhs
VXI ( AIR BAG) 3.53 lakhs
RxT 3.53 Lakhs
CNG LXI 3.9 lakhs
a
a
a
a
a
a
 Hyundai Eon Datsun Redi Go
V rri nts Price V rri nts Price

D-lite 3.69 lakhs Datsun Go-D 3.24 lakhs

D-lite Plus 3.99 lakhs
Datsun Go-D1 3.26 lakhs
Era Plus 4.16 lakhs
Datsun Go-A 3.59 lakhs
Magna Plus 4.52 lakhs
Datsun Go-T 4.05 lakhs
Eon Sportz 4.86 lakhs
Kappa Magna 4.87 lakhs Datsun Go NXT 4.10 lakhs
Plus
Kappa Magna 5.02 lakhs Datsun Go GOT 4.20 lakhs
Optional
a
a
a
a
 Marketing Mix For Kwid ( The 4 P’s)
Promotion

• Renault Kwid took the aggressive promotional stand to bring fetch required limelight
from customers, they used pull strategy, using the face of Ranbir Kapoor by making him
their brand ambassador.
• As he was young and heartthrob, young customers can relate to him and can move
towards showroom to purchase.
• Also, the success of Renault Duster gave it a boost as the company claimed they have
opted for the same technologies and the same team had built Kwid.
• Renault brought more than 255 plus showrooms and service centres across the nation to
be in direct touch with customers.
• They also introduced the rst-ever virtual showroom, where customers can book the car.

fi

 Marketing Mix For Kwid ( The 4 P’s)

PLACE

• Renault decided to keep their focus more on Tier-2 cities and smaller towns, as their
pricing and promotion was planned accordingly.
• With 98 % of indigenous supply chain and logistics Kwid was able to create a good
balance for themselves, even with aggressive price and low margins they were able
to recover from it as there was a high number of sales.