Marketing Strategies of Hyundai Motors in India
In today’s competitive era the word ‘Strategy’ is meant a lot for all business organizations. Presently organizations started realizing that customer-centric and aggressive marketing strategies play a vital role to become a successful leader. Globalization already opened the doors of opportunities for all; the market is still crowded with some unknown risks and lot of competition.
Because of this competition, marketing strategies must aim at being a unique, differential-creating and advantage-creating. If organization has a unique and differential advantage, an organization has to be creative in its marketing strategy. Today due to innovative marketing strategies Hyundai motors has become one of the leading & largest sellers of automobiles in India.
The Company has adopted various Brand positioning, Advertising, Distribution strategies for capturing the overall market. Hyundai’s few unique promotional strategies Change your life campaign. The objective of this paper is to focus on various marketing strategies of Hyundai Motors in India.
1. INTRODUCTION
The roots of Indian Automobile industry refers to first car which ran Indian road in 1897, which created the way for imports of automobile through the 1930’s. Hinduastan motors was NCRD’s Business Review : e-Journal, Volume 4, Issue 1 (Jan-Dec 2019) ISSN: 2455-0264 Page 2 launched in India in 1942 and a long time competitor Premier in 1944 which gave the products like Chrysler, dodge and fiat. Mahindra got establish in 1945 with assembly of Jeep CJ-3A utility vehicle.
After independence an effort was organised by government of India to create an automotive component manufacturing industry for supplies. The tariff commission appointed by government in 1952 came out with the recommendations which were implemented in the new policy. Following the implementation General Motors, Ford and Rootes group having assembly plant in Mumbai decided o move out. During Nationalization and License raj the growth of the sector was relatively slow. It affected the growth of Indian Private Automobile sector. Maruti Suzuki India Ltd.
Got established in 1981, which is the country’s largest passenger car manufacturing company. After liberalisation multinational auto makers viz. Suzuki, Toyota and Hyundai were allowed to invest in the Indian automobile market. HMIL owned by Hyundai motors of south Korea and one of the 6th largest of the world got established on 6th May 1996, which took the Indian automobile industry by storm. HMIL’s manufacturing plant near Chennai is having advanced production, quality and testing capabilities in the country. To cater of rising demand, HMIL became developing its second plant in February 2008, which produces an additional 300,000 units per annum, raising HMIL’s total production capacity to 600,000 units per annum.
Current Production Capacity by these 2 plants in Kancheepuram increased to 670,000 cars per year. HMC has formed a research and development facility (Hyundai Motor India Engineering - HMIE) in the cyber city of Hyderabad. As HMC’s having global export hub for compact cars, HMIL is becoming the first automotive company in India to achieve the export of 10 lakh cars in just over a decade. HMIL is now currently exports cars to more than 120 countries across EU, Africa, Middle East, Latin America, Asia and Australia. It is the number one exporter of passenger cars of the country for the eighth year in a row.
To support HMIL’s growth and expansion plans, HMIL currently having 388 strong dealer network and more than 1000 strong service points throughout India, which will see further expansion in 2014?
In July 2012, Arvind Saxena, the Director of Marketing and Sales dropped the position after serving the company for 7 years.
2. OBJECTIVES OF THE PAPER
To review the progress of Indian Automobile Sector. • To understand market share and penetration of Hyundai motors. • To understand the Marketing Strategies of Hyundai motors India Limited. 3. LITERATURE REVIEW
A.V.Vedpuriswar wrote in his article “Hyundai in India” how Hyundai has grown to first but second largest automobile players because of Maruti Suzuki India Limited in India. Suzuki India Limited mention in Sustainability Report 2009-10focuses on its. Hyundai Motors owned its distinct identity in Indian automobile market by offering various vehicles for fulfil the demand of customer from different segment.
Arvind Saxena in his interview told that Hyundai Motors India Limited is defending their brand by introducing new technology and style to their vehicle. Hyundai offering the same product across the world i.e. a new model launches around the same time all over the world. He also said that, with the changing needs & wants of customers, Hyundai Motor is trying to fulfil the consumer’s expectations by giving them technologically advanced cars with more features and more value for money than.
Rajan Mani in his article discussed the topic of development & growth of the Indian automobile sector. His article speaks about various issues like removal of licensing, rationalizing taxes and duties, acquisition of foreign technology etc. It also explainsthe revolution which overtook the Indian automobile industry and the future of the industry.
4. PROFILE OF HYUNDAIINDIA LIMITED (HMIL)
Hyundai Motor India Ltd is a totally new owned subsidiary from Hyundai Motor Company headquartered in South Korea. It is on the second largest automobile manufacturer with 17% market share as of 2017 and 5.5 billion USD turn-over in India. NCRD’s Business Review : e-Journal, Volume 4, Issue 1 (Jan-Dec 2019) ISSN: 2455-0264 Page 4 It currently has bunch of different nine car models across segments – EON, SANTRO, GRAND i10, ELITE i20, ACTIVE i20, XCENT, VERNA, ELANTRA, and CRETA& TUCSON. HMIL’s integrated state-of-the-art manufacturing plant near Chennai boasts advanced production, quality and testing capabilities. HMIL is a critical part of HMC’s global export hub. It is currently working on exports to around 88 countries across Africa, Middle East, Latin America, Australia and Asia Pacific. To help &support its growth and expansion plans, HMIL currently has 493 dealers and more than 1,309 service points across India. In commitment of Hyundai provides customers with cutting-edge global technology, Hyundai has a modern multi-million-dollar R&D facility in Hyderabad. The R&D centre working hard to be a centre of excellence in automobile engineering.
5. RESEARCH METHODOLOGY
Research methodology The research was conducted through online portals. Secondary data from the Internet was used for study and analysis. The research includes Strategy, Brand Positioning, Marketing, Promotion, and Distribution. It included overall data and the strategies made by Hyundai motors for the Indian market. Research approach The objective was to know the competitive position of Hyundai in the automobile sector thus in order to successfully conduct the research. We obtained the detailed information through different websites and got the secondary data, in order to have a strategic plan for the marketing of Hyundai through their branding strategies, popularity and customer satisfaction.
6. PERFORMANCE OF HYUNDAI MOTORS INDIA LIMITED
HMIL has 475 dealers and more than 1,300 service points throughout India. HMIL operates its own dealerships known as Hyundai Motor Plazas in large metros across India. HMIL is on the second largest sales and service network in India after Maruti Suzuki.
Source: http://ncrdsims.edu.in/
Read more at: http://ncrdsims.edu.in/site/views/pdfs/Business%20Review%202019/6%20%20Marketing-Strategies-of-Hyundai-Motors-in-India-%20Abhishek-V-3.pdf
