c SHUBHJEET GILL

c ABHISHEK KUMAR
c SHIVANGI TRIPATHI
c PRAMOD SEMWAL
c SHAWAN DAS
 Karl Benz
Founder of Mercedes Benz
 Karl Friedrich Benz
Karl Benz was born on November 25, 1844 in
Karlsruhe, Germany.
He is commonly regarded
as the inventor of the
gasoline powered automobile.
Benz is known as the
inventor because he was the
first to gain a patent for his
invention.
 Formation of Mercedes-Benz

In the 1920·s, shortly after the World War I, the

German
economy was facing a serious crisis. Karl Benz·s
company
was in deep trouble as well as another German
automobile
manufacturer known as Daimler Motors. In order to
survive
the two companies merged and became Mercedes-
Benz.
 The Logo
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 mase Overview
c Luxury mar as defined in case is car priced above RS.25 LAKHS.

c In India, luxury car segment growing at 28% annually.

u 
 !

Earlier cars were considered a luxury only meant for

Maharajahs (kings) and a few Wealthy traders. (cars were
customized to please rich clients).

Two wheelers were more popular in the markets

primarily due to lower income levels and poor road
conditions .
 Indian Luxury mar Market
c Between 1950 & 1990 way to import cars was EOUs( Export
Oriented Units) with huge turnover.

c With liberalization , policies changed and so did consumer

behavior. For many Indians car has become more a lifestyle
statement than a status symbol.

c Price tags were no longer the main deciding factors for the
buyer. Design and appeal in addition to a brand are the
strongest drivers in the luxury segment.
 a!" #

Presently, Mercedes-Benz India·s engagement

in India covers several domains:

c Local production of Mercedes-Benz cars

c Making available imported Mercedes-Benz cars
c mommercial Vehicle operations,
c Global sourcing of auto components
c Automotive technology research and
development
 O $
%

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a) First create brand awareness about the product through

exhibitions and advertisements.

b) Established infrastructure with experienced dealer

networks to further enhance their presence .

c) Finally introduced the product line for the market.

.
 mompetition Hots Up

With the launch of more than 20 luxury models , the

competition has become more intense but there are few
challenges too for Mercedes sports car in India.

- High mustoms Duty ranging from 98% to 100% nearly

doubles the price of the vehicle.
-
-Waiting Period ( 2 to 7 months).

- Pot holes , traffic jammed roads of India.

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 mOMPANY
c General motors c Bentley
c BMW c Nissan
c a" c Volvo
c Rolls-Royce c Toyota
c Lamborghini c Volkswagen
c Porsche c Skoda
c Audi c Mitsubishi
 mUSTOMER

c Establish Industrialist, rich

Businessmen
mhief Executives of mompanies.
c Upper mlass ( salary >100 lac p.a)
c sheer rich class.
mUSTOMER PERmEIVED VALUE
c Product value c Monetary cost

c Services value c Time cost

c Personnel value c Energy cost

c Image value c Psychic cost

 SEGMENTATION
c GEOGRAPHIm

Region Northern India.

mity mlass I cities

 DEMOGRAPHIm
c Age Above 21 yrs of age

Anyone(single, married,
c Family Size
with or without children)

c Gender Male or Female

c Income High(above Rs.100 lakhs

p.a)
 Psychographic Segmentation

c Grouping people according to attitudes,

values, and lifestyles

c Ostentatious and ambitious lifestyle

 u%&'(O
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c Also called 
% 


c Psychological characteristics refer to the
inner
c & intrinsic qualities an individual.
c This type of segmentation divides the
market
c into groups according to their psychology
which
c is reflected in their behavior.
 TARGETING

c Upper class (>100 lakhs p.a)

c Informed people with rich taste

(Ex. Industrialists and youths)

c Obscenely rich class

c 1st generation entrepreneurs

 PRImING STRATEGY
c We will follow

´PREMIUM PRImING STRATEGYµ

AS WE OFFER LUXURY AND mOMFORT

(VALUE) TO THE mUSTOMER AND
mUSTOMER IS TODAY WILLING TO PAY
FOR LUXURY.
mONSUMER GOODS mLASSIFImATION

c %


c Because specialty goods have unique
characteristics or brand identification for
which consumers are willing to make a special
purchasing effort.
c Luxury SPORTS cars are speciality goods as
interested buyer will travel far to buy one.
 mONSUMER BUYING
BEHAVIOUR

c mOMPLEX BUYING BEHAVIOR:

c AS THE LEVEL OF INVOLVEMENT IS
VERY HIGH

c LEARN FEEL DO
 OUR PROMOTION STRATEGY
ADVERTISEMENTS IN
c Print media
c Magazines
c News papers
c Rational appeal
c Direct Marketing
c Motion Pictures
c IPHONE application
c Online magazines
 DISTRIBUTION mHANNEL
c Franchisee
c Distributor
c Dealer
 mHANNEL LEVELS
c Zero level
Manufacturer mustomer

c I level
Manufacturer Dealer mustomer
 Strategy for INDIA
c u


' Obviously, this is not
a car for everyone and the target group of this
product is not broad.
c A wealthy car enthusiasts
c Those who want to be differentiated from
others and have high self-esteem
c we give pure performance, scarcity,
specialty, and of course, beauty.
 OUR STRATEGY
We will prefer mKD(' 


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 ')will generate business and employment
opportunities in INDIA.
Mercedes benz SWOT ANALYSIS

c STRENGTHS

c TEmHNOLOGY POTENTIAL

c QUALITY IMPROVEMENT

c MODEL AmmEPTANmE HAS IMPROVED

c LUXURIOUS
Mercedes benz SWOT ANALYSIS

c WEAKNESSES
c Waiting period

c Too Much Vertical Integration

c mondition of Indian roads

 M. B. SWOT ANALYSIS
OPPORTUNITIES

c FAVOURABLE EmONOMIm POLImIES.

c RISE IN LIVING STANDARD.

c INmREASE IN mUSTOMER mONFIDENmE.

c mHANGING mONSUMER DEMAND FOR NEW MODEL

TYPES AND STYLES - EXPANSION.
 M. B. SWOT ANALYSIS
THREATS

c FOREIGN mOMPETITION

c HIGH TAXES FOR mBUs

c SMALL TARGET MARKET

c POOR QUALITY OF THE INFASTRUmTURE IN THIS

mOUNTRY
c?

`