Marketing Strategy of Maruti Suzuki analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on Maruti Suzuki marketing mix, help the brand succeed in the market. Let us start the Maruti Suzuki Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Maruti Suzuki marketing strategy can be explained as follows:
Maruti Suzuki India has a diverse product portfolio and is present in such categories of cars as hatchback, supermini, SUV, sedan and van. The entire product portfolio of automobiles are a part of the products in the marketing mix of Maruti Suzuki. Its products are Maruti Alto, Celerio, Wagon R, Maruti Swift, Baleno, Maruti Gypsy, Eeco, Maruti Ciaz, Ertiga, Dzire, S Cross, Ignis and Maruti Omni.
In most categories its cars are segment leaders and priced competitively.
Maruti Suzuki manufactures 1.5 million cars each year with 15 car models and a total of 150 variants. In January 2016, Maruti Suzuki India had a total market share of 47% amongst all passenger cars sold.
Maruti also offers services such as Maruti finance, Maruti Insurance, Maruti True Value (used cars), Maruti Accessories and Maruti Driving School to promote the growth of its bottomline.
Image: company website
Maruti Suzuki Price/Pricing Strategy:
Below is the pricing strategy in Maruti Suzuki marketing strategy:
One of the key drivers of volumes of sale for Maruti Suzuki has been its ‘value for money’ strategy. This comes from its low cost learning from years of engineering in India.
By providing light weight yet safe cars, Maruti is able to cut down on costs and price its cars competitively, in some cases undercutting the competition by 7-10 percent. Maruti’s low cost of ownership, affordable spares, long service intervals ensure that the pricing strategy of Maruti is implemented not just at the time of sale but also after the car has been bought. This gives Maruti an edge and makes it such a popular car company. Thus the pricing strategy in the marketing mix of Maruti Suzuki is dependent upon the competitors, market dynamics and the segment catered to.
Following is the distribution strategy in the Maruti Suzuki marketing mix:
Maruti ‘s service network spans most states of India and is spread across 1400+ cities manufactured at 2 factories, Manesar and Gurgaon with an annual capacity exceeding 15 lakh cars per annum. Maruti plans to set up another plant in Gujarat for which it has acquired 600 acres of land. Maruti has around 1800+ sales outlets in all the cities combined and has a dealership which is wider than such competitors as Hyundai, Tata and Mahindra, even in the rural landscape.
The place strategy in the marketing mix of Maruti covers not only its presence of dealers but also service centres, Service is a major revenue generator for the company, thanks to its wide network.
Maruti Suzuki Promotion & Advertising Strategy:
The promotional and advertising strategy in the Maruti Suzuki marketing strategy is as follows:
Having decades of presence in India enables Maruti to leverage its barand value and brand perception well. It also helps Maruti cut down on promotional costs. Maruti uses unique advertising methods to promote its cars and often ropes in stars and celebrities as brand ambassadors for various cars models. Maruti has utilized heavily the online promotion space for the launch of its Brezza, Ignis and S Scross. Maruti also uses traditional advertising spaces such as newspapers, television, radio, ATL etc. Maruti Suzuki also used pint of sale and mobile promotions and the message across all the above platforms is focussed on fuel efficiency, looks, comfort and space for its cars. Hence, a 360 branding approach is followed in the promotional strategy of marketing mix of Maruti. The ad campaigns often highlight the huge service network of the brand. Thus, this summarizes the marketing mix of Maruti Suzuki.
About Maruti Suzuki:
Subsidiary of the Japanese automotive manufacturing company Suzuki, Maruti Suzuki was founded in 1981 and is headquartered in New Delhi. Beginning a new chapter in the history of automobiles, Maruti Suzuki India launched the 800, a runaway success which stood for reliability and ease of ownership.
Also known as the people’s car manufacturer, it faces stiff competition from other automotive giants such as Hyundai, Ford, Honda, Tata etc. Customer satisfaction, low cost of ownership and high resale value are some of the major characteristics associated with Maruti Suzuki.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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