Summer Training Report

On

“A study on sales and Marketing Strategy of

Hero Motocorp”

Submitted in partial fulfillment for the award of degree of

BACHELOR OF BUSINESS ADMINISTRATION

(B.B.A.)
Session: 2021-22
Mohd Aslam Rayeen
Roll No. : 1901029143
Under the guidance of
Mr. Shariq Nadeem

Department of Commerce & Business Management

Faculty of Commerce & Management
INTEGRAL UNIVERSITY
DASAULI, KURSI ROAD, LUCKNOW

1
 DECLARATION
I Mohd Aslam Rayeen Roll No. : 1901029143 from BBA 3rd Year of the
department of Business Management, Integral University, Lucknow
hereby declare that the summer Training Report entitled "A study on
sales and Marketing Strategy of Hero Motocorp” is an original work
and the same has not been submitted to any other institution for the
award of any other degree. A presentation of the Summer Training
Report was made on the same topic and the suggestions as approved by
the faculty were duly incorporated.

2
 ACKNOWLEDGEMENT
Every work constitutes great deal of assistance and guidance from the
people concerned and this particular project is of no exception.
A project of the nature is surely a result of tremendous support,
guidance, encouragement and help. So here I have made some sincere
efforts to thank some of the eminent persons involved in making this
project because without their encouragement and support this report
would have been non-existent.
I wish to place on record my sincere gratitude to my project guide Mr.
Shariq Nadeem, Integral University, Lucknow. I thank him for
constructive help and encouragement throughout the project. Without
his support and guidance taking this would not have been possible.
Also, wish to acknowledge enthusiastic encouragement and support
extended to me by my family members.
I’m also thankful to my friends who provided me their constant support
and assistance.

3
 Table of Content

1. INTRODUCTION
2. COMPANY PROFILE
3. OBJECTIVES
4. RESEARCH METHODOLOGY
5. ANALYSIS AND INTERPRETATION OF DATA
6. FINDINGS, SUGGESTIONS AND CONCLUSION
7. BIBLIOGRAPHY
8. ANNEXURE

4
INTRODUCTION

5
 1. INTRODUCTION

1.1 GENERAL INTRODUCTION TO THE STUDY

Two-Wheeler industry is one of the largest industries in the automobile sector of global
market. Being the leader in product and process technologies in the manufacturing sector,
it has been recognized as one of the drivers of economic growth. During the last decade,
well¬-directed efforts have been made to provide a new look to the automobile policy for
realizing the sector's full potential for the economy. The liberalization policies have led to
continuous increase in competition which has ultimately resulted in modernization in line
with the global standards as well as in substantial cut in prices. Aggressive marketing by
the auto finance companies have also played a significant role in boosting automobile
demand, especially from the population in the middle income group.

Presently many international brands like Honda, Suzuki, etc. are competing with Indian
brands such as Hero, Honda, Bajaj, and T V S, Kinetic etc. to capture Indian markets.
These aggressive marketing strategies have resulted in making the consumer the major
key for success in the industry. Each product offering is now designed to meet and
exceed the expectations of the consumer. But understanding consumer behaviour and
knowing consumers is never simple. And it is more difficult that to understand what a
consumer perceives about the product. Customers may say one thing but do another.
They may not be in touch with their deeper motivations. They may respond to influences
that change their minds at the last moment. Small companies such as a corner grocery
store and huge corporations stand to profit from understanding how and why their
consumers buy.

6
1.2 THEORETICAL BACKGROUND OF STUDY

1.2.1. Market

The term market may be considered as a convenient meeting place where buyers and
sellers gather together for the exchange of goods and services. Market means a group of
people having unmet wants, purchasing power to make their demand effective and the
will to spend their income to fulfill those wants. Today a market is equated with the total
demand.
The American marketing association defines a market, ‘as the aggregate demand of
potential buyers for a product or service’.
Under keen competition, a marketer wants to create or capture and retain the market i.e.
customer demand through an appropriate marketing mix offered to a target market. The
market offering i.e. supply must meet customer demand, which are unmet needs and
desires.

1.2.2. Marketing
Marketing is a comprehensive term and it includes all resources and set of activities
necessary to direct and facilitate the flow of goods and services form the producer to the
consumer through the process of distribution. Businessmen regards marketing as a
management function to plan promote and deliver products to the clients or customers.
Human efforts, finance and management constitute the primary resources in marketing.
We have twin activities, which are most significant in marketing:
1. Matching the product with demand i.e. customer needs and desires or the target
market.
2. The transfer of ownership and possession at every stage in the flow of goods from the
primary producer to the ultimate consumer.

7
The American marketing association defines marketing as the process of planning and
executing the conception, pricing, promotion and distribution of ideas, goods and services
to create exchanges that satisfy individual and organizational objectives.

1.2.6. Marketing Research

Marketing research is the systematic gathering, recording and analyzing of the data about
problems connected to the marketing of goods and services i.e. problems relating to
product, price, promotion and distribution of the 4p’s of the marketing mix.
Marketing research is concerned with all those factors, which have a direct impact upon
the marketing of products and services. Marketing research has grown along with the
expanded role of marketing as the focus for the business decision-making.

Need of marketing research

Marketing research is conducted for different purposes. They are:
1. To estimate the potential market for a new product.
2. To know the reactions of consumers to a product already existing in the market.
3. To find out the general marketing condition and tendencies.
4. To know the types of consumer buying and their buying motives.
5. To know the reactions of failure of a product already in the market.
6. To assess the strength and weakness of competitors.

1.2.7 Customer
A person who purchase or has the capacity to purchase the goods of service often for sale
by the marketing firm in order to satisfy personal need and desires.

1.2.8 Perception
Perception is the sensing of stimuli external to the individual organism the act or process
of comprehending the world in which the individual exists.

8
Perception has been defined by social psychologists as the “Complex process” by which
people select organize and interpret sensory stimulation in to a meaningful and coherent
picture of the work.

1.2.11. Major Factors Influencing Consumer Behavior

Consumers buying behavior is influenced by cultural, social, personal and psychological

factors.

1. Cultural Factors

Cultural factors exert the broadest and deepest influence on consumer behavior. The
roles played by the buyers culture, subculture and social class are particularly
important.

o Culture

Culture refers to that complex whole which includes in it knowledge, beliefs, art or
anything man acquires as a member of society.

o Subculture

Each culture consists of smaller subcultures that provide more specific identification
and socialization for their members. Sub cultures include nationalities, religions,
racial groups and geographic regions.

9
o Social Class

Virtually all-human societies exhibit social stratification. Stratification sometimes

takes the form of a caste system where the members of different castes are reared for
certain roles and cannot change their caste membership more frequently; stratification
takes the form of social class.

2. Social Factors

o Reference Groups
A persons reference groups consists of all the groups that have a direct or indirect
influence on the person’s attitudes or behavior.

o Family
The family is the most important consumer buying organization in the society and it
constitutes the most influential primary reference group.

o Roles and statuses

A person participates in many groups, family, clubs, organizations etc. The person’s
position in each group can be defined in terms of role and status. A role consists of
the activities that a person is expected to perform. Each role carries a status.

3. Personal Factors

o Age and stage in the life cycle

People buy different goods and services over their lifetime. Taste in clothes, furniture
and recreation is all age related.

10
 Consumption is shaped by the family life cycle. Marketers often choose life-cycle
groups as their target market.

o Occupation and economic circumstances

Occupation also influences a person’s consumption pattern.

Product choice is greatly affected by economic circumstances; spendable income,

savings and assets, debts, borrowing power and attitude toward spending versus
saving.

o Lifestyle

People from the same subculture, social class, and occupation may lead quite
different lifestyles. A lifestyle is the person’s pattern of living in the world expressed
in activities, interest’s ands opinions. Lifestyle portrays the world person interacting
with his or her environment.

o Personality and self concept

Each person has a distinct personality that influences buying behavior. It is that
distinguishing psychological characteristics that lead to relatively consistent and
enduring responses to environment. Related to personality is self-concept or self
image. Marketers try to develop brand images that match target markets self image.

11
4. Psychological Factors

o Motivation

A person has many needs at a given time. A need becomes a motive when it is
aroused to a sufficient level of intensity. A motive is a need that is sufficiently
pressing to drive the person to act.

o Perception

Perception is the process by which an individual selects, organizes and interprets

information inputs to create a meaningful picture of the world. How a, motivated
person actually acts is influenced by his or her perceptions of the situation.

o Learning

When people act they learn. Learning involves changes in an individual’s behavior
arising from experience. Learning theory teaches marketers that they can build up
demand for a product by associating it with strong drives, using motivating cues and
positive reinforcement.

o Beliefs and attitudes

Through doing and learning, people acquire beliefs and attitudes. These in turn
influence buying behavior. A belief is a descriptive thought that a person holds about
something. The beliefs make up product and brand images and people act on these
images.

12
 An attitude is a person enduring favorable or unfavorable evaluations, emotion
feelings and action tendencies toward some object or idea. Thus a company would be
well advised to fit product into existing attitudes rather than try and change people’s
attitudes.

1.3 Objectives of the Study

1) To analyze Customer Awareness towards HERO motor bikes

2) To get feed back on what consumer expects from Hero Honda

3) To analyze Customer Awareness towards services offered by HERO and

performance of the motor cycle

4) Develop skills in report writing through data collection, data analysis, data
extraction, and presentation.

1.4 Scope of the study

The study helps in having an awareness of customer satisfaction towards “Hero

Honda”. As the product had a good reputation in the market, this study will help to know
that how HERO lost their grip in motor bike industry. It also helps us to increase our
practical knowledge towards marketing of a company. Marketing is taken as the
functional area as the customer satisfaction is to be taken into account.

sdsd

13
COMPANY PROFILE

14
15
16
 2.Company Profile

Hero Moto corp Ltd. formerly HERO is an Indian motorcycle and scooter manufacturer
based in New Delhi, India. HERO started in 1984 as a joint venture between Hero
Cycles of India and Honda of Japan. The company is the largest two wheeler
manufacturer in India. The 2006 Forbes 200 Most Respected companies list has HERO
Motors ranked at 108.

In 2010, When Honda decided to move out of the joint venture, Hero Group bought the
shares held by Honda. Subsequently, in August 2011 the company was renamed Hero
Moto Corp with a new corporate identity.

“Hero” is the brand name used by the Munjal brothers for their flagship company Hero
Cycles Ltd. A joint venture between the Hero Group and Honda Motor Company was
established in 1984 as the HERO Motors Limited At Dharuhera India. Munjal family
and Honda group both own 26% stake in the Company. In 2010, it was reported that
Honda planned to sell its stake in the venture to the Munjal family.

During the 1980s, the company introduced motorcycles that were popular in India for
their fuel economy and low cost. A popular advertising campaign based on the slogan
'Fill it - Shut it - Forget it' that emphasised the motorcycle's fuel efficiency helped the
company grow at a double-digit pace since inception. The technology in the bikes of
HERO for almost 26 years (1984–2010) has come from the Japanese counterpart Honda.

Hero MotoCorp has three manufacturing facilities based

at Dharuhera, Gurgaon in Haryana and at Haridwar in Uttarakhand. These plants together
are capable of churning out 3 million bikes per year. Hero Moto Corp has a large sales
and service network with over 3,000 dealerships and service points across India. HERO
has a customer loyalty program since 2000, called the HERO Passport Program.

The company has a stated aim of achieving revenues of $10 billion and volumes of 10
million two-wheelers by 2016-17. This in conjunction with new countries where they can
now market their two-wheelers following the disengagement from Honda, Hero Moto
Corp hopes to achieve 10 per cent of their revenues from international markets, and they

17
expected to launch sales in Nigeria by end-2011 or early-2012. In addition, to cope with
the new demand over the coming half decade, the company was going to build their
fourth factory in South India and their fifth factory in Western India. There is no
confirmation where the factories would be built.

The Brand Trust Report published by Trust Research Advisory has ranked HERO in the
13th position among the brands in India.

Product range

 Sleek
 Street
 Achiever
 Ambition 133, Ambition 135
 CBZ, CBZ Star, CBZ Xtreme
 CD 100, CD 100 SS, HERO Joy, CD Dawn, CD Deluxe, CD Deluxe (Self Start)
 Glamour, Glamour F.I
 Hunk
 Karizma, Karizma R, Karizma ZMR FI
 Passion, Passion Plus, Passion Pro
 Pleasure
 Splendor, Splendor+, Splendor+ (Limited Edition), Super Splendor, Splendor
NXG, Splendor PRO
 Hero Impulse launched in 2011 after the separation of hero and Honda. Its India's
first off-road and on road Bike.

Hero MotoCorp formerly Hero Honda is a motorcycle and scooter manufacturer based
in India. Hero Honda started in 1984 as a joint venture between Hero cycles of India
and Honda of Japan. The company is the largest two wheeler manufacturer in India. The
2006 Forbes 200 Most Respected companies list has Hero Honda Motors ranked at 108.

18
In 2010, When Honda decided to move out of the joint venture, Hero Group bought the
shares held by Honda. Subsequently, in August 2011 the company was renamed Hero
MotoCorp with a new corporate identity

Termination of Honda joint venture

In December 2010, the Board of Directors of the Hero Honda Group have decided to
terminate the joint venture between Hero Group of India and Honda of Japan in a phased
manner. The Hero Group would buy out the 26% stake of the Honda in JV Hero
Honda.Under the joint venture Hero Group could not export to international markets
(except Sri Lanka) and the termination would mean that Hero Group can now export.
Since the beginning, the Hero Group relied on their Japanese partner Honda for the
technology in their bikes. So there are concerns that the Hero Group might not be able to
sustain the performance of the Joint Venture alone

Hero MotoCorp

The new brand identity and logo, Hero MotoCorp, was developed by the London
firm The logo was revealed on 9 August 2011 in London, the day before the third Test
match between England and India.

Hero MotoCorp can now export to Latin America, Africa and West Asia. Hero is free to
use any vendors for its components instead of just Honda-approved vendors.

Company’s performance
During the fiscal year 2008-09, the company sold 3.7 million bikes, a growth of 12%
over last year. In the same year, the company had a market share of 57% in the Indian
market. Hero Honda sells more two wheelers than the second, third and fourth placed
two-wheeler companies put together. Hero Honda's bike Hero Honda Splendor sells more
than one million units per year.
Total unit sales of 54,02,444 two wheelers, growth of 17.44 per centTotal net operating
income of Rs. 19401.15 Crores, growth of 22.32 per cent

19
Net profit after tax at Rs. 1927.90 Crores
Total dividend of 5250% or Rs. 105 per share including Interin Dividend of Rs. 70 per
share on face value of each share of Rs. 2 each
EBIDTA margin for the year 13.49 per cent
EPS of Rs. 96.54 -

History

Hero MotoCorp was started in 1984 as Hero Honda Motors Ltd.

1956—Formation of Hero Cycles in Ludhiana(majestic auto limited)

1975—Hero Cycles becomes largest bicycle manufacturer in India.
1983—Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan
signed Shareholders Agreement signed
1984—Hero Honda Motors Ltd. incorporated
1985—Hero Honda motorcycle CD 100 launched.
1989—Hero Honda motorcycle Sleek launched.
1991—Hero Honda motorcycle CD 100 SS launched.
1994—Hero Honda motorcycle Splendor launched.
1997—Hero Honda motorcycle Street launched.
1999—Hero Honda motorcycle CBZ launched.
2001—Hero Honda motorcycle Passion and Hero Honda Joy launched.
2002—Hero Honda motorcycle Dawn and Hero Honda motorcycle Ambition
launched.

20
 2003—Hero Honda motorcycle CD Dawn, Hero Honda motorcycle Splendor
plus, Hero Honda motorcycle Passion Plus and Hero Honda motorcycle
Karizma launched.
2004—Hero Honda motorcycle Ambition 135 and Hero Honda motorcycle
CBZ Star launched.
2005—Hero Motocorp SuperSplendor, Hero Honda motorcycle CD Deluxe,
Hero Honda motorcycle Glamour, Hero Honda motorcycle Achiever and Hero
Honda Scooter Pleasure.
2007—New Models of Hero Honda motorcycle Splendor NXG, New Models
of Hero Honda motorcycle CD Deluxe, New Models of Hero Honda motorcycle
Passion Plus and Hero Honda motorcycle Hunk launched.
2008—New Models of Hero Honda motorcycles Pleasure, CBZ Xtreme,
Glamour, Glamour Fi and Hero Honda motorcycle Passion Pro launched.
2009—New Models of Hero Honda motorcycle Karizma:Karizma – ZMR
and limited edition of Hero Honda motorcycle Hunk launched
2010—New Models of Hero Honda motorcycle Splendor Pro and New Hero
Honda motorcycle Hunk and New Hero Honda Motorcycle Super Splendor
launched.
2011—New Models of Hero Honda motorcycles Glamour, Glamour FI, CBZ
Xtreme, Karizma launched. New licensing arrangement signed between Hero
and Honda. In August Hero and Honda parted company, thus forming Hero
MotoCorp and Honda moving out of the Hero Honda joint venture. In
November, Hero launched its first ever Off Road Bike Named Hero "Impulse".

21
 2012—New Models of Hero Motocorp Maestro the Musculine scooter and
Ignitor the young generation bike are launched.
2013—Hero MotoCorp unveiled line-up of 15 updated products including
Karizma R, ZMR, Xtreme, Pleasure, Splendor Pro, Splendor iSmart, HF Deluxe
ECO, Hero Motocorp SuperSplendor, Passion Pro and Xpro, Glamour and
Glamour FI etc. It also introduced three new technologies- Engine Immobilizer
in new Xtreme, Integrated Braking System (IBS) in new Pleasure and i3S (Idle
Stop and Start System) in new Splendor iSmart[13]
2014—Hero MotoCorp Launched Splendor Pro Classic, Xtreme Sports and
new models of Karizma ZMR, Karizma R, Maestro and Pleasure.
2014—In October 2014, Hero updated its 100cc engine range on Passion Pro
and Splendor Pro Classic. Is should be updated on other Hero's 100cc vehicles
shortly as well.
2014—Hero invests $25 million into American motorcycle manufacturer
EBR(Erik Buell Racing)

22
 CHAIRMAN’S PROFILE
Dr. Brijmohan Lall Munjal

"Don't dream if you can't fulfill your dreams'' Brijmohan

Lall Munjal is often fond of saying. The founder and
patriarch of the $3.2 billion Hero Group is your classic first
generation entrepreneur. He is a man who started small,
dreamt big and used a combination of grit and perseverance
to create one of the country's largest corporate groups and
the World's No.1 Two Wheeler Company.

Instinctive from a young age, Brijmohan Lall made a rather unusual start in life. Around
the time when the freedom movement in India was taking shape in the late 1920s, he
walked into a newly opened Gurukul (Indian heritage school) near his home in Kamalia
(now in Pakistan). He was only six years old then.

Thus began an extraordinary tale of courage and perseverance. Brijmohan began his
business story after partition in 1947, when he and his brothers relocated to Ludhiana.
The family set up a company that provided poor people with basic transport (cycles).
Three decades later, as India evolved, he added a second crucial chapter - which
visualized affordable and technologically superior transport to millions of middle class
Indians. The rest is history.

Building Relationships

When Brijmohan and his brothers started out, there was no concept of organized dealer
networks. Companies just produced, and most dealers functioned like traders. Brijmohan
changed the rules of the business by trusting his gut instincts; introducing business norms
that were ahead of their time, and by investing in strategic relationships. Brijmohan built
a series of bonds and networks with hundreds of family members, vendors, dealers and

23
employees. Much like the Japanese keiretsu system, these networks are now the glue that
holds the Hero Group together.

"Thanks to the relationships that we have nurtured so passionately in the Hero Family,
the younger generations of some of our bicycle dealers have become dealers of Hero
MotoCorp. These relationships have survived through generations - through bad times
and good times'' the patriarch now reminiscences.

Besides bonding with his vendors and dealers, Brijmohan has been personally responsible
for kindling a spirit of entrepreneurship amongst his employees, and today, 40 of his
former employees are successful entrepreneurs.

Staying Ahead
Though not technically qualified in the conventional sense, few of his contemporaries
have understood the dynamics of technology better than Brijmohan Lall has. He could
always visualize the applicability of technology before others could. For example, in the
1980s, when all two-wheeler companies in India opted for two-stroke engine technology,
Brijmohan preferred a four-stroke engine - a technology that dramatically increased fuel
efficiency and reduced maintenance costs. This technology was one of the biggest
reasons for Hero MotoCorp's stupendous success.

A Corporate Citizen
A frugal upbringing and a value system modeled on the famous Gurukul system - which
stresses the sanctity of the teacher-pupil relationship - imbibed in Brijmohan a strong
sense of social commitment and responsibility.

There is a special place in his heart for Ludhiana, the city where he took roots. Today,
Ludhiana is a modern, bustling city, but Brijmohan has played no mean role in its
evolution. Several schools and educational institutions in Ludhiana owe their existence to
the Munjal family.

24
The Ludhiana Stock Exchange owes its existence to Brijmohan's vision as does the
Ludhiana Flying Club. He's also set up the not-for-profit Dayanand Medical College and
Hospital-an institute now rated as one of the best medical colleges in India, in terms of
infrastructure, quality of staff and alumni profile.

In and around Dharuhera, near the first Hero MotoCorp plant, Brijmohan and his family
have left their stamp of philanthropy. The Raman Kant Munjal Foundation - which
Brijmohan set up in memory of his eldest son, today runs a higher secondary school and a
very modern and well-equipped 100-bed hospital at Dharuhera. The group has also
adopted numerous villages and provides education, vocational training, drinking water,
roads, streetlights and sewerage.

Mr. Pawan Pawan Munjal

Chairman Managing Director & CEO

Message from Management

"What the caterpillar calls the end the rest of the world calls a butterfly."~Lao Tzu~

Constant improvement has been the key fuel that has powered the engines of this
company since inception. Happily, we are now building on that momentum to go further
in our journey of market leadership and corporate excellence.

After forging together one of the world's most prolific and successful joint ventures for
over two and a half decades, and becoming "DeshkiDhadkan" we at Hero are now poised
to prove ourselves on the global arena.

We are pleased to announce that Hero Honda Motors Ltd. is now Hero MotoCorp Ltd.
The new name is reflective of our belief in ourselves and our focus on mobility and
technology.

25
In this endeavor, our domain knowledge of the market, our customer-centric approach,
our world class manufacturing facilities & processes, our committed and skilled
personnel, our seamless & integrated supply chain and our strong relationships with all
stakeholders will hold us in good stead.

On the technology front, our existing R & D facility is being rapidly upgraded with
support, where required, from global experts and technology providers.

As we embark on this novel journey with a new identity, we shall continue to set new
benchmarks for the industry. We shall develop new and cutting-edge products at a faster
pace and aggressively expand our footprint outside India.

Yes, a new day has dawned and a new Hero is rising.

We know we can count on your blessings and continued endorsement of the Company
and its products.

26
Milestones
1983
Joint Collaboration Agreement with Honda Motor Co. Ltd. Japan signed
Shareholders Agreement signed

1984
Hero Honda Motors Ltd. incorporated

1985
First motorcycle "CD 100" rolled out

1987
100,000th motorcycle produced

1989
New motorcycle model - "Sleek" introduced

1991
New motorcycle model - "CD 100 SS" introduced
500,000th motorcycle produced

1992
Raman MunjalVidyaMandir inaugurated - A School in the memory of founder Managing
Director, Mr. Raman Kant Munjal

1994
New motorcycle model - "Splendor" introduced
1,000,000th motorcycle produced

27
1997
New motorcycle model - "Street" introduced
Hero Honda's 2nd manufacturing plant at Gurgaon inaugurated

2004
New motorcycle model - "Dawn" introduced
New motorcycle model - "Ambition" introduced
Appointed VirenderSehwag, Mohammad Kaif, Yuvraj Singh, Harbhajan Singh and
Zaheer Khan as Brand Ambassadors

2005
Becomes the first Indian Company to cross the cumulative 7 million sales mark
Splendor has emerged as the World's largest selling model for the third calendar year in a
row (2000, 2001, 2002)
New motorcycle model - "CD Dawn" introduced
New motorcycle model - "Splendor +" introduced
New motorcycle model - "Passion Plus" introduced
New motorcycle model - "Karizma" introduced

2006
New motorcycle model - "Ambition 135" introduced
Hero Honda became the World No. 1 Company for the third consecutive year.
Crossed sales of over 2 million units in a single year, a global record.
Splendor - World's largest selling motorcycle crossed the 5 million mark
New motorcycle model - "CBZ*" introduced
Joint Technical Agreement renewed
Total sales crossed a record of 10 million motorcycles

2007
Hero Honda is the World No. 1 for the 4th year in a row
New motorcycle model - "Super Splendor" introduced

28
New motorcycle model - "CD Deluxe" introduced
New motorcycle model - "Glamour" introduced
New motorcycle model - "Achiever" introduced
First Scooter model from Hero Honda - "Pleasure" introduced

2008
Hero Honda is the World No. 1 for the 5th year in a row
15 million production milestone achieved

2009
Hero Honda is the World No. 1 for the 6th year in a row
New 'Splendor NXG' launched
New 'CD Deluxe' launched
New 'Passion Plus' launched
New motorcycle model 'Hunk' launched
20 million production milestone achieved

2010
Hero Honda Haridwar Plant inauguration
New 'Pleasure' launched
Splendor NXG lauched with power start feature
New motorcycle model 'Passion Pro' launched
New 'CBZ Xtreme' launched
25 million production milestone achieved
CD Deluxe lauched with power start feature
New 'Glamour' launched
New 'Glamour Fi' launched

29
2011
Hero Honda GoodLife Program launched Hunk' (Limited Edition) launched
Splendor completed 11 million production landmark
New motorcycle model 'Karizma - ZMR' launched
Silver jubilee celebrations

2012
New model Splendor Pro launched
Launch of new Super Splendor and New Hunk

2013
New licensing arrangement signed between Hero and Honda
Launch of new refreshed versions of Glamour, Glamour FI, CBZ Xtreme, Karizma
Crosses the landmark figure of 5 million cumulative sales in a single year

2014

Migration of all products to Brand Hero

Launch of Impulse, Maestro and Ignitor

2013

Neemrana Plant Foundation Stone laid

50 Million cumulative 2 wheelers production

Achievements/ recognition:–
2013

Green Pioneer Award – 2013

30
 Business Leader of the Year' Award by Hon'ble President of India, Shri. Pranab
Mukherjee, at the AlMA Managing India Awards 2013 on April 11, 2013 (Conferred on Mr.
Pawan Munjal)
Business Leader of the Year' Award in the Auto (Two Wheelers) category by Deputy
Chairman of the Planning Commission Mr. Montek Singh Ahluwalia, at the NDTV
Business Leadership Awards 2013 (Conferred on Mr. Pawan Munjal)
CFO of the year Award (Conferred on Mr. Ravi Sud)

31
 AWARDS AND ACHIEVEMENTS

2011
Two-wheeler Manufacturer of the Year award by Bike India magazine.
Adjudged the "Bike Manufacturer of the Year" at the Economic Times ZigWheels Car
and Bike Awards.
- CNBC Awaaz - Storyboard special commendation for "Effective rebranding of a new
corporate entity" by CNBC Awaaz Consumer Awards
- "Most Recommended Two-Wheeler Brand of the Year" award by CNBC Awaaz
Consumer Awards
- Colloquy Loyalty Awards "Innovation in Loyalty Marketing International
2011" for Hero GoodLife
- "Best Activity Generating Short or Long-Term Brand Loyalty" by the Promotion
Marketing Award of Asia Order of Merit for Hero GoodLife
- Ranked No 1 brand in the Auto (Two-Wheelers) category in the Brand Equity "Most
Trusted Brand"2011 survey

2010
Rated as Top Indian Company in Automobile - Two Wheelers sector by Dun &
Bradstreet - Rolta Corporate Awards 2009
Most Preferred Brand of Two-Wheelers" award at the CNBC Awaaz Consumer Awards.
Adjudged at top of the two-wheeler category in the Brand Equity Most Trusted Brands
2010 Survey.
Ranked No. 3 Most Trusted Brand across categories amongst Young Adult Males
Company of the Year awarded by Economic Times Awards for Corporate Excellence
2008-09.
CNBC TV18 Overdrive Awards 2010 'Hall of Fame' to Splendor
NDTV Profit Car & Bike Awards 2010

- Two-wheeler Manufacturer of the Year

- CnB Viewers' Choice Two-wheeler of the Year (Karizma ZMR)

32
2009

- Bike Maker of the Year by ET-ZigWheels Car & Bike of the Year Awards 2009"

'Two-wheeler Manufacturer of the Year' by NDTV Profit Car & Bike Awards 2009
and Passion Pro adjudged as CNB Viewers' Choice two-wheeler
Top Indian Company under the 'Automobile - Two-wheelers' sector bythe Dun
&Bradstreet-Rolta Corporate Awards
Won Gold in the Reader's Digest Trusted Brand 2009 in the 'Motorcycles' category
NDTV Profit Business Leadership Awards 2009 - two-wheeler category

2008
NDTV Profit Business Leadership Award 2008 - Hero Honda Wins the Coveted
"NDTV Profit Business Leadership Award 2008"
TopGear Design Awards 2008 - Hunk Bike of the Year Award
NDTV Profit Car India & Bike India Awards - NDTV "Viewers' Choice Award" to
Hunk in Bike categoryIndiaTimes Mindscape and Savile Row ( A Forbes Group
Venture ) Loyalty Awards - "Customer and Brand Loyalty Award" in Automobile (two-
wheeler) sector
Asian Retail Congress Award for Retail Excellence (Strategies and Solutions of
business innovation and transformation) - Best Customer Loyalty Program in Automobile
category
NDTV Profit Car India & Bike India Awards - Bike Manufacturer of the year
Overdrive Magazine - Bike Manufacturer of the year
TNS Voice of the Customer Awards:

No.1 executive motorcycle Splendor NXG

No.1 standard motorcycle CD Deluxe
No. premium motorcycle CBZ Xtreme

33
2007
The NDTV Profit Car India & Bike India Awards 2007 in the following category:

Overall "Bike of the Year" - CBZ X-treme

"Bike of the Year" - CBZ X-treme (up to 150 cc category)
"Bike Technology of the Year" - Glamout PGM FI

"Auto Tech of the Year" - Glamout PGM FI by Overdrive Magazine.

"Bike of the Year" - CBZ X-treme by Overdrive Magazine.

2006
Ranked CBZ X-treme "Bike of the Year" - by B S Motoring Magazine "Most Trusted
Company" , by TNS Voice of the Customer Awards 2006.
CD Deluxe rated as "No 1 standard motorcycle" by TNS Voice of the Customer Awards
2006.
Adjudged 7th Top Indian Company by Wallstreet Journal Asia (Top Indian Two Wheeler
Company).
One of the 8 Indian companies to enter the Forbes top 200 list of world's most reputed
companies.
No. 1 in automobile industry by TNS Corporate Social Responsibility Award.
Best in its class awards for each category by TNS Total Customer Satisfaction
Awards 2006:

Splendor Plus (Executive)

CD Deluxe (Entry)
Pleasure (Gearless Scooters)

Splendor & Passion - Top two models in two wheeler category by ET Brand Equity
Survey 2006.
Adjudged 7th Top Indian Company by Wallstreet Journal Asia (Top Indian Two Wheeler

34
Company).
Top Indian company in the Automobile - Two Wheeler sector by Dun & Bradstreet -
American Express Corporate Awards 2006.
Hero Honda Splendor rated as India's most preferred two-wheeler brand at the Awaaz
Consumer Awards 2006.
Certificate of Export Excellence for outstanding export performance during 2003-04 for
two-wheeler & three- wheelers - Complete (Non SSI) by Engineering Export Promotion
Council.
The NDTV Profit Car India & Bike India Awards 2006 in the following category:

Bike Maker of the Year

Bike of the Year - Achiever
Bike of the Year - Achiever (up to 150 cc category)
Bike of the Year - Glamour (up to 125 cc category)
NDTV Viewers' Choice Award to Glamour in the bike category

2005
Awaaz Consumer Awards 2005 - India's most preferred two-wheeler brand by CNBC in
the 'Automobiles' category.
Bike Maker of the Year Award by Overdrive Magazine.
ICWAI National Award for Excellence (Second) in Cost Management 2004 in the private
sector category by ICWAI.
10th MotilalOswal Wealth Creator Award for as the most consistent wealth creator for
the period 1991-2005.

2004
Winner of the Review 200 - Asia's Leading Companies Award (3rd Rank amongst the
top 10 Indian companies).
GVC Level 1 (Highest Rating) by CRISIL for corporate Governance.
Adjudged as the Best Value Creator - Large Size Companies 2003-04 by The Outlook
Money.

35
Corporate Excellence Award 2004 by Indian Institute of Materials Management.
Adjudged as the Organization with Innovative HR Practices by HT Power Jobs for HR
Excellence.
ICSI National Award for Excellence in Corporate Governance 2004 by The Institute of
Company Secretaries of India.

2003
Winner of the Review 200 - Asia 's Leading Companies Award (3rd Rank amongst the
top 10 Indian companies).
Most Respected Company in Automobile Sector by Business World.
Bike Maker of the Year by Overdrive Magazine.

2002
Bike Maker of the Year by Overdrive Magazine.
Winner of the Review 200 - Asia 's Leading Companies Award (4th Rank amongst the
top 10 Indian companies).
Company of the Year of ET Awards for Corporate Excellence.
Ranked 4th in 'Overall Best Managed Company' category, ranked 3rd in 'Best Financial
Management' and 'Best Operational Efficiency' category, ranked 6th in 'Overall Best
Investor Relations' category, by Asiamoney.
Highest Wealth Creating Company of the Year Award by the Money.
GVC Level 1 (Highest Rating) by CRISIL for Corporate Governance.

2001
Bike Maker of the Year by Overdrive Magazine.
Winner of the Review 200 - Asia 's Leading Companies Award (9th Rank amongst the
top 10 Indian Companies).
Winner of Three Leaves Award for showing Corporate Environment Responsibility in
the Automobile Sector by Centre for Science & Environment.

36
1999
National Productivity Award for the Best Productivity Award in the category of
Automobile & Tractor presented by Vice President of India.

1995
The Analyst Award 1995 presented to Hero Honda Motors Ltd. on being ranked 9th
amongst the most investor rewarding companies in India.
National Award for outstanding contribution to the Development of Indian Small Scale
Industry (NSIC Award - Presented by President of India).

1991
Economic Times-Harvard Business School Award for Corporate Performance to Hero
Honda Motors Ltd.

37
 4 P’s of Hero Moto Corp
1. Product
2. Price
3. Place
4. Promotion

1. Product:Hero MotoCorp offers wide range of two wheeler products that include
motorcycles and scooters, and has set the industry standards across all the market
segments.
2. Price: Hero MotoCorp offers wide range of two wheeler products that include from
low cost bikes to high end bikes. They create bikes for all segment of the society.
3. Place:The Company's growth in the two wheeler market in India is the result of an
intrinsic ability to increase reach in new geographies and growth markets. Hero
MotoCorp's extensive sales and service network now spans over to 5000 customer touch
points. These comprise a mix of authorized dealerships, service & spare parts outlets, and
dealer-appointed outlets across the country.with termination of contract with Honda
motors Hero MotoCorp can go to international market like Latin America and Sri-lanka.
4.Promotion:Hero Honda event sponsorship, Fill it-Shut it-Forgot It campaign,Dhak
Dhak Go campaign, Celebrity Endorsement,Why Should boys Have All the fun and the
latest one Hum Mein Hai Hero Are few Promotional strategies of HeroMotoCorp

38
 Fill it-Shut it-Forget it DhakDhak Go

Celebrity endorsement Why should boys have all the fun

39
Hum Mein Hai Hero

these were the few Advertising strategy of HeroMotoCorp. Appart from these strategy
HeroMotoCorp also have Promotion schemes like Test Rides on Products, Easy Finance,
Sponsorship, Quick Availability of product which makes them unique in the market.

40
 VISION
The story of Hero Honda began with a simple vision - the vision of a mobile and an
empowered India, powered by its bikes. Hero MotoCorp Ltd., company's new identity,
reflects its commitment towards providing world class mobility solutions with renewed
focus on expanding company's footprint in the global arena.
MISSION
Hero MotoCorp's mission is to become a global enterprise fulfilling its customers' needs
and aspirations for mobility, setting benchmarks in technology, styling and quality so that
it converts its customers into its brand advocates. The company will provide an engaging
environment for its people to perform to their true potential. It will continue its focus on
value creation and enduring relationships with its partners
STRATEGY
Hero MotoCorp's key strategies are to build a robust product portfolio across categories,
explore growth opportunities globally, continuously improve its operational efficiency,
aggressively expand its reach to customers, continue to invest in brand building activities
and ensure customer and shareholder delight.

41
Product InformationAnd Product Mix

 Achiever
 Ambition 133, Ambition 135
 CBZ, CBZ Star, CBZ Xtreme
 CD 100, CD 100 SS, CD Dawn, CD Deluxe, CD Deluxe (Self Start)
 Glamour, Glamour F.I
 Hunk
 Karizma, Karizma R, Karizma ZMR FI
 Passion, Passion+, Passion Pro
 Pleasure
 Splendor, Splendor+, Splendor+ (Limited Edition), Super Splendor, Splendor
NXG,Splendor PRO
 Impulse

42
With an objective to retain the top-spot in the market, the world's leading
two-wheeler maker - Hero MotoCorp - is planning to bring in several all-
new and facelifted products in the market in 2015. Here's a list of the all new
bikes that Hero will launch within the next 12 months.

2015 Hero Impulse

The Hero Impluse, India's first ever on-off road bike, has always been
known for its commendable engine performance and refinement level. The
2015 Impulse is expected to be a lot better in terms of power and
performance. It is being said that, Hero is aiming to improve the power
performance of the off-roader and is also working on its new mechanism.
Erik Buell Racing (EBR), Hero's new technology partner, will also offer
technical support for the new power-packed Impluse. Powering the new
Hero Impluse could be an all new engine, or the Karizma R's 223cc engine.

43
Engine: Either an all new engine or Karizma R's 223cc engine
Expected launch: Mid/ Late 2015
Expected price: 90, 000 - 1 lakh
Hero HX250R

The Hero HX250R, unveiled at the 2014 Delhi Auto Expo, has been
developed by Hero MotoCorp and Erik Buell Racing (EBR). The HX250R
is powered by a new 249cc, 4-stroke, single cylinder, DOHC, liquid-cooled
engine, which produces a maximum power of 31bhp with a peak torque of
26Nm. The upcoming HX250R is Hero's first bike to get a 6-speed manual
transmission. It has a fuel tank capacity of 12.5-litre. The bike's lightweight
will help it maintain an optimum power-to-weight ratio, thus delvering a

44
great performance. The bike will get the powerful Combi brake system,
while ABS (Antilock braking system) might be optional. The Hero HX250R
will take on the likes of Honda CBR300R, KTM RC390, Kawasaki Ninja
300 and Yamaha R25R3.

Engine: 249cc, 31bhp, 26Nm

Expected launch: Mid 2015
Expected price: 1.5 lakh - 2.0 lakh
Hero Hastur

Hero Hastur, first unveiled as a 600cc street-naked concept at the 2014 Delhi
Auto Expo, was jointly developed by Hero and its new technology partner

45
Erik Buell Racing. The bike has been designed keeping in mind the
company's global markets. The front headlight with two projector lamps,
muscular tank with black casting under the bikes electrical, bar end mirrors
mounted on either side of the alloy-finished flat handlebars, sporty velvet-
finished seats with fancy yellow stitching design most of the bodywork. The
aggressive styling and minimalistic bodywork further complement its street-
naked look. The showcased version also features Hero's 'geoesic tubular
chassis' composed of a trellis frame and trellis swingarm. It gets inverted
forks at front and a monoshock at the rear. The concept bike is powered by a
620cc, four-stroke, liquid-cooled and parallel-twin engine with a patented
CSI cylinder head. It produces a maximum power of 78bhp at 9600rpm.
This fuel-injected engine accelerates 0-100Km/h in 3.8 seconds with a top-
speed of 240Km/h. Power will be delivered by a 6-speed transmission. The
Hero Hastur will compete against the Kawasaki ER-6n, Triumph Street
Triple and Honda CB500F.

46
Engine: 620cc, 78bhp, 72Nm
Expected launch: Late 2015
Expected price: 4 lakh - 5 lakh

Also Read: Hero's Upcoming Scooters For India in 2015

Hero ZIR 150cc Scooter

Hero Zir is a sporty maxi-scooter, which was unveiled at the 2014 Delhi
Auto Expo. The scooter will be offered in two variants - the flat floorboard
and a 'European style' step-through. The all-new Hero ZIR will be powered
by a 157cc single-cylinder engine that features 2-valve, 4-stroke and a liquid

47
cooling system. It will churn out a maximum power of 13.8bhp at 8500rpm
and 12.7Nm of torque at 7000rpm. What makes it a more premium product
is the European-styled step seat, dual projector lamps with daytime running
lights, sporty front protection screen, bright LED winkers and tail lamp, a
digital-analog console, flower type disc plates and integrated pillion handle.
The ZIR will offer advanced connectivity features too.

Engine: 157cc, 13.8bhp, 12.7Nm

Expected launch: Q1, 2015
Expected price: 75, 000 - 90, 000
Hero Leap Hybrid Scooter

48
India's first indigenous electric-hybrid scooter, Hero Leap Hybrid, had made
its debut as a concept at 2012 Auto Expo. Since the Leap will be launched
globally, it has been developed keeping exactly that in mind. The electric-
hybrid scooter is likely to be Hero's first product for the European market
and will feature an 8kW Permanent magnet AC (PMAC) motor powered by
lithium-ion batteries. The company claims that the traction motor helps it
deliver a peak torque of 60Nm. For improving the rev-range of the scooter, a
124cc fuel-injected petrol engine is also equipped that is said to cover
340Km on a single charge. It has a fuel tank capacity of 3-litre. The
electronic speed limit of the Leap is 100Km/h while running with the range
extender.

49
Engine: 124cc, 10.7bhp, 60Nm
Expected launch: Early 2015
Expected price: 75, 000 - 1.10 lakh

50
Hero Moto Corp Duet
47,000 to 48,500
o Watch Video Review
o Get Finance Quote

Get on Road Price

View Specs

View Variants

51
Hero Moto Corp Maestro Edge
49,500 to 50,700
o Read Expert Review
o Watch Video Review
o Get Finance Quote

Get on Road Price

View Specs

View Variants

Hero Moto Corp Xtreme Sports

72,725 to 75,825
o Read Expert Review
o Get Finance Quote

Get on Road Price

View Specs

View Variants

52
Hero Moto Corp Achiever
61,425 to 61,425
o Get Finance Quote

Get on Road Price

View Specs

View Variants

Hero Moto Corp Xtreme

71,925 to 75,025

53
 o Read Expert Review
o Get Finance Quote

Get on Road Price

View Specs

View Variants

Hero Moto Corp Glamour

55,925 to 57,925
o Get Finance Quote

Get on Road Price

View Specs

View Variants

54
Hero Moto Corp HF Deluxe Eco
46,150 to 46,150
o Get Finance Quote

Get on Road Price

View Specs

View Variants

Hero Moto Corp Hunk

69,725 to 72,825

55
 o Get Finance Quote

Get on Road Price

View Specs

View Variants

Hero Moto Corp Impulse

71,400 to 71,400
o Read Expert Review
o Get Finance Quote

Get on Road Price

View Specs

View Variants

56
REEN MANUFACTURING

A mission to maintain high ecological standards sustainable development lies at the core
of Hero MotoCorp's vision of being one of India'smost environment friendly companies.

Hero MotoCorp believes that to create a sustainable enterprise, it is critical to strike

the right balance between business, mankind and nature.

CLEANER PROCESSES
Every raw material and chemical is thoroughly evaluated for its environmental impact
before it is introduced into our production process.
Over the last few years, Hero MotoCorp has proactively eliminated the use of harmful
substance like

Asbestos
Hexavalent Chromium
Phenolic Substances

Based in Haryana, one of India's driest states; Hero MotoCorp has introduced
Rainwater Harvesting at both its plants in Dharuhera and Gurgaon.
Across both plants, 16 rainwater harvesting catchments have been set up covering
a total area of more than 31540 sqmts. In a single year we managed to 18 million
litres of water.
One of India's most well known civil society organizations - the Centre for
Science and Environment (CSE) has adapted Hero MotoCorp's rainwater
harvesting project as a model project for enhancing public awareness.
The Centre also regularly monitors the performance of the system to check
ground water level and the water quality

SEGMENTATION

Market segmentation is a concept in economics and marketing. A market segment is a

sub-set of a market made up of people or organizations with one or more characteristics

57
that cause them to demand similar product and/or services based on qualities of those
products such as price or function. A true market segment meets all of the following
criteria: it is distinct from other segments (different segments have different needs), it is
homogeneous within the segment (exhibits common needs); it responds similarly to a
market stimulus, and it can be reached by a market intervention. The term is also used
when consumers with identical product and/or service needs are divided up into groups
so they can be charged different amounts for the services. The people in a given segment
are supposed to be similar in terms of criteria by which they are segmented and different
from other segments in terms of these criteria. These can be broadly viewed as 'positive'
and 'negative' applications of the same idea, splitting up the market into smaller groups.

Examples:

 Gender
 Price
 Interests
 Location
 Religion
 Income
 Size of Household

While there may be theoretically 'ideal' market segments, in reality every organization
engaged in a market will develop different ways of imagining market segments, and
create Product differentiation strategies to exploit these segments. The market
segmentation and corresponding product differentiation strategy can give a firm a
temporary commercial advantage

HeroMotoCorp segment its varrients with all the class of the society
Their product are segmented on the base of following criteria

 Geographic segmentation
 Demographic segmentation
 Psychographic segmentation

58
 Behavioral segmentation

The product are segmented on the basis of Price,Looks,Standards,Classetc Like Karizma

For high End Buyers and Youth Splendor for Middle Class People And Office goers
Hunk, CBZ, Glamour for the Younger growd like students Sleek as a dirt bike for all
roads Pleasure Scooter for female

Distribution

HERO HONDA HAS direct contact with the dealers. There are no middlemen involved.
The dealers directly sell to the customers. The channel is of 1st level which has only the
dealers as the link between the customers and the company.

The network starts from Manufacturer then dealers and sub-dealers then finally to
customer

59
OBJECTIVES

60
 Objectives
1. To study the marketing strategy adopted hero two wheeler in
Lucknow district.

2. To study how much people are interested in test drive

3. To study the satisfaction level of customer toward Hero bike

In Lucknow district.

4. TO study the source of awareness of hero

5. To analysis the different age group people who are interested

to buy HERO motocrop

61
 SCOPE OF THE STUDY
• The main scope of the study is to understand about various sales
promotion strategies which increase the sale.

• To Reach the target within a short span of time which increases the
productivity image.

• To improve the business environment within the organization.

• To Identify the sales promotion efficiency and effectiveness.

62
 Task Performed
 Asked questions, and carried a notebook.

 Setup meetings with our co-workers.

 Offer to help on additional projects.

 Kept a record of what I accomplished.

63
RESEARCH METHODOLOGY

64
 3. RESEARCH DESIGN

2.1 Introduction

The two wheeler industry in India collectively produces 20 Lakh vehicles a year.
Some players have managed to cut through consumer resistance with innovation, pricing
and aggressive marketing. The competition level in the two wheeler industry is very high
now. Many brands are fighting in the market for maximum share. They have to bring out
a lot of differentiation among them. The major duty of the marketer is to know the
reasons for preferring particular motor bike by the consumers.

2.2 Review of Literature

The Customer Perception Report includes questions in four key areas,
Expectations, Purchase Decisions, Customer Service, and Future Purchases. So the
customer should be invited to participate in the survey. Setting realistic expectations
during the sales process is a vital component of making happy customers. How a
company sets and meets product and service expectations plays a pivotal role in
fashioning customer opinions. How a company meets or exceeds expectations is
measured in three important areas: product/service, support, and price. These three areas
will be used to factor a score for the Expectations category. The results of the three
questions will be used to factor an overall expectations perception score.
The Purchase Decision category gives us a better understanding of how the customer
perceives the purchase process. Two key areas for questions include an open ended
question on why they purchased and a ratings question on their experience. The rating
Question data will be used for the analysis of Purchase Decision category. The open
ended responses from the “Why” questions will be used for product strengths analysis.
The results of the purchase experience question will be used for the overall Purchase
perception analysis. Customer service is one of the most important differentiations a
company can have. For this report, customers will rate a company in three key areas:
customer service, timeliness for problem resolution, and expertise. These three areas will
be used to factor a score for the Customer Service category.

65
Purpose of Literature Review

Literature review is one of the prime parts of every project. The very basic purpose of
the literature review is to gain insight on the theoretical background of the research
problem. It helps the researcher to gain strong theoretical basis of the problem under
study and also help to explore whether any one has done research on the related issue.
That’s why literature review helps one to find out the path of problem solving. In this
regards the very basic purpose of the literature review in this dissertation is same as
mentioned

2.6 Methodology

The research will be done through survey method. The collection of data will be
done through questionnaire, interview and related websites

The sample size taken for this research is 100 customers those who having
HEROmotor bikes.

The area of this survey consist of Lucknow city

The collection of data will be done with the help of a structured questionnaire. The
designing of questionnaire needs precision and classification of the subject, so that the
respondents can easily understand the question and can answer it sincerely and correctly.

2.7 Sources of Data

Primary data:-

Primary data consists of original information for the specific purpose at hand. It is
first hand information for the direct users of respondents. The tools used to collect the
data may vary and can be collected through various methods like questionnaire, personal
interview

66
Secondary data:-

Secondary data is the data which is already been collected and assembled. This
data is available with the companies or firms and it can be collected from newspapers,
periodicals, magazines, websites etc.

Sample Design

Sample

The sample size taken for this research is 100 customers having HEROmotorbikes.

Sampling Technique

Convenient Sampling technique is used for this project.

Data Collection Tool

Questionnaires as the primary form of collecting data.

Statistical techniques

1. Bar Diagrams

2. Pie-Chart

Statistical tools

1. Statistical software like Microsoft Excel

2.9 Limitations of the study:-

a) In this study it is not possible to collect the opinion of all the customers owing
to personal constraints. So the assumptions are drawn on the basis of the
information given by the respondents.

b) The study needs to be completed within a specified time of one month and in
certain restricted areas. So the findings cannot be generalized for the company
as a whole.

c) This study covers only a limited HEROsector. So this study will not be
applicable for those areas.

67
2.10 CHAPTERIZATION

1. Introduction

2. Research Methodology

3. Profile of the Industry and Company

4. Analysis of the Data Collected

5. Findings, Suggestions and Conclusion

Bibliography

Appendix

68
ANALYSIS AND INTERPRETATION
OF DATA

69
 4. 1 ANALYSIS OF DATA COLLECTED

Customer Awareness towards HERO MOTOCORP Motor Bikes in Lucknow City

Statement of Problem

Stepping down of Hero Honda’s position form a market leader to an ordinary market
survivor has posed and alarming condition before the company. The present study would
like to have an insight of consumer’s perception about the criteria of selecting the bikes.
Especially to figure out whether it is brand driven or quality driven

Before five years HERO was the market leader in motor bike industry in India. But in
now a day they are losing their grip in motor bike industry, none of their bike except
‘Splendor’ became a success. And the competitors like Bajaj and TVS has taken
advantage of this. There is no doubt that the companies market share is falling down. So
this study will help to understand and identify what the consumer feels or perceives
about HERO motor bikes. This will help the marketer to identify which all are the
factors that a consumer looks in to when he selects a particular bike. And also explains
how a consumer selects and interprets the qualities of bike that HERO offers.

Objectives of the Study

1. To analyze Customer Awareness towards HERO motor bikes

2. To get feed back on what consumer expects from Hero Honda

3. To analyze Customer Awareness towards services offered by HERO and

performance of the motor cycle

Methodology

The research will be done through survey method. The collection of data will be
done through questionnaire, interview and related websites.

The sample size for this research is 100 customers those who having HERO
motor bikes.

70
 The area of this survey consist of Lucknow city

The collection of data will be done with the help of a structured questionnaire. The
designing of questionnaire needs precision and classification of the subject, so that the
respondents can easily understand the question and can answer it sincerely and correctly.

Sources of Data

Primary data:-

Primary data consists of original information for the specific purpose at hand. It is
first hand information for the direct users of respondents. The tools used to collect the
data may vary depend can be collected through various methods like questionnaire, direct
personal interview

Secondary data:-

Secondary data is the data which is already been collected and assembled. This
data is available with the companies or firms and it can be collected from newspapers,
periodicals, magazines, websites etc.

71
 Analysis of the Data Collected
4.1.1 Gender of the Respondents
Table No 4. 1
GENDER NO OF RESPONDENTS % OF RESPONDENTS
MALE 96 96%
FEMALE 4 4%
TOTAL 100 100%
Source: survey data

Interpretation:

The above table showing the sex of the respondents those who participated
in the survey

Chart No 4.1

Gender of Respondents

Male
Female

Analysis:

Above 90% of respondents of the survey were male customers and there were
only a few female respondents.

72
4.1.2 Age of the Respondents

Table No 4. 2

AGE NO. OF RESPONDENTS % OF RESPONDENTS

18-25 42 42%
25-40 34 34%
40-55 19 19%
ABOVE 55 5 5%
TOTAL 100 100%
Source: survey data
Interpretation:
The above table showing the age categories of the HEROcustomers who participated in
the survey .

Chart No 4.2

Age of the respondents

45

40

35

30

No of 25
Re sponde nts 20

15
10

0
18-25 25-40 40-55 >55
Age

Analysis:

Above 40% of the participants of the survey were between18-25 of age and second
most participants were between25-40. There were only 5 participants responded above 55
age group

73
4.1.3 Occupation of the Respondents

Table No 4. 3

Occupation No of Respondents % of Respondents

Business 18 18%
Professional 14 14%
Employee 20 20%
Student 38 38%
Others 10 10%
Total 100 100%
Source: survey data
Interpretation:
The above table showing the occupation of the HEROowners those who participated
in the survey and their percentage wise analysis

Chart No 4.3

Occupation of the Respodents

40

35

30
Noof Respondents

25

20

15

10

0
Business Pfsnl Emplye Stdnt Others
Occupation

Analysis:

The majority of the HEROcustomers participated in the survey were students.

There were 38% and the 20% employees who are HEROowners. And the
Professionals and Businessmen constitute only 32%.

74
 4.1.4 SOURCES OF AWARENESS OF HERO Motocorp
Table No 4. 4
SOURCE NO. OF RESPONDENTS % OF RESPONDENTS
ADVERTISEMENT 38 38%
FRIENDS 24 24%
RELATIVES 10 10%
OTHERS 28 28%
TOTAL 100 100%
Source: survey data
INTERPRETATION: -
The above table tells about which of the source is more effective in spreading the
awareness about HERObikes

Chart No 4.4

SOURCES OF AWARENESS OF HERO

40.00% 38% HONDA
35.00%

st 30.00% 28%
n
e 24%
25.00%
d
n
o 20.00%
p
se
R 15.00%
fo 10%
10.00%
%
5.00%

0.00%
ADVERTISEMENT FRIENDS RELATIVES OTHERS
Status
Analysis:

This statistic reveals that greater part of respondents have got the information from T.V
and advertisement other than friends & relatives which plays an important role in
influencing them to opt for Hero Honda.
This reveals that HEROis able to influence its consumer base to tell other about their
product.

75
 4.1.5 SATISFACTION ABOUT PRODUCT BRIEFING DONE BY SALES
EXECUTIVE
Table No 4. 5
SATISFACTION NO. OF RESPONDENTS % OF RESPONDENTS
YES 92 92%
NO 08 08%
TOTAL 100 100%
Source: survey data

INTERPRETATION: -
This table showing the satisfaction level of customer about the product briefing
done by the sales executive

Chart No 4.5

SATISFACTION ABOUT SALESMANSHIP

100.00%
92%
90.00%

80.00%
% of Respondents

70.00%

60.00%

50.00% No of Respondent

40.00%

30.00%

20.00%

8%
10.00%

0.00%
YES NO

SATISFACTION

Analysis:
The statistic reveals that the product profile presented by the Salesman of HEROis truly
trustworthy with a majority of 92% of respondents showing satisfaction towards products
briefing.

76
4.1.6 TEST RIDE PROCESS
Table No 4. 6
TEST RIDE NO. OF RESPONDENTS % OF RESPONDENT
YES 100 100%
SNO 0 0%
TOTAL 100 100%
Source: survey data.
INTERPRETATION: -
This table showing no. of respondents took a test drive of HERObike

Chart No 4.6

Test Ride Process

120

100
No. of Respondents

80

60

40

20

0
Yes No
Test Ride

Analysis:
The statistic reveals that almost all the customers are offered for a test drive and were
satisfied with the process.

The test ride is offered within the limits of the showroom and a service employee is
sent with the customer.

77
4.1.7 PERCEPTION TOWARDS SALES PROCESS

Table No 4. 7
PERCEPTION NO. OF RESPONDENTS % OF RESPONDENTS
VERY GOOD 33 33%
GOOD 56 56%
FAIR 11 11%
POOR 00 00%
TOTAL 100 100%
Source: survey data.

Interpretation: -
This table indicates perception level of HEROcustomers about the over all sales
process of HERObikes providing by the manufacturer through their dealers

Chart No 4.7
PERCEPTION TOWARDS SALES PROCESS

6 0.0 0%
56%

5 0.0 0%

ts 4 0.0 0%

n
ed 33%
n
op 3 0.0 0%
se
R
fo
% 2 0.0 0%

11%
1 0.0 0%

0%
0.0 0%
V ERYGO OD GO OD FAIR POO R
PER CEPTION

Analysis:
The study reveals that the consumer perceives the dealer’s sales process as good and
very good with the percentage being 56% and 33% respectively.

78
 4.1.8 SATISFACTION ABOUT AFTER SALES SERVICE

Table No 4.8
Source: survey data

SATISFIED NO. OF RESPONDENTS % OF RESPONDENTS

YES 93 93%
NO 07 07%
TOTAL 100 100%

Interpretation: -
This table shows the satisfaction level of customers about the after sales services
provided by Hero Honda
Chart No 4.8

SATISFACTION ABOUT AFTER SALES SERVICE

100 .00 % 93 %

90 .00 %

80 .00 %

70 .00 %
st
en 60 .00 %
d
n
o 50 .00 %
p
se
R 40 .00 %
fo
30 .00 %
%
20 .00 %

10 .00 % 7%

0 .00 %

YES NO
SATISF IED

Analysis:
The statistic indicates that the greater part of respondent are satisfied with the
sales service which falls

79
4.1.9 PERCEPTION OF RESPONDENTS REGARDING COMPLAINT
RECOGNITION

Table No 4.9
PERCEPTION NO. OF RESPONDENTS % OF RESPONDENTS
VERYGOOD 36 36%
GOOD 53 53%
FAIR 11 11%
POOR 0 0%
TOTAL 100 100%
Source: survey data.

Interpretation: -
The table reveals that the complaints of consumer after sales were duly attended by the
sales force. This shall be of competitive tool to be used to build up the brand image.

Chart No 4.9

Perception of Respondents regarding complaint

recognition

Very Good
Good
Fair
Poor

Analysis:
More than 50% of the respondents said that the complaint recognition of HEROis
good. And nobody claimed that their complaint recognition is poor. This indicates
that HEROis providing their customers good services.

80
 4.1.10 PERCEPTION TOWARDS MECHANICS OF HERO HONDA
Table No 4.10

EXPERT MECHANICS NO.OF RESPONDENTS % OF RESPONDENTS

YES 78 78%
NO 22 22%
TOTAL 100 100%
Source: survey data
Interpretation:
This table shows that whether HEROhave their own well trained and expert
mechanics those who can meet the needs and expectation of the consumer or not

Chart No 4.10

Expert Mechanics

90

80

70
No of Respondents

60

50

40

30

20

10

0
Yes No
Response

Analysis: Majority of the consumers felt that HEROhaving good and well trained
mechanics to provide better service to the customers as per their expectation.

81
FINDINGS, SUGGESTIONS AND
CONCLUSION

82
 5.1 FINDINGS

The old prophecy that once a customer is a customer has become a myth in the
present day competitive world. Brand image is no longer works a magic with the
consumer. So to hold the customer to the brand and attract new consumers the company
must produce products that are efficient and competent along with its marketing activities
that help in sales of the product.

After analyzing the response of the consumer interviewing through questionnaire and
observation the following were found in the study.

1. HERO motor cycles were the market leader in the Two Wheeler segment.
But they are losing their grip in the market. Even the 48% HERO
customers said that if they get a second chance they would prefer Bajaj.

2. The Brand Name of HERO is still there in the market and in the minds of
the customer.

3. There are only a few women HER Ocustomers and they own HERO
Pleasure.

4. Now days the main HER customers are students between 18-25 years of
age and they like the bike because of its mileage.

5. Advertisements of HERObikes are very effective. Introduction of Hrithik

Roshan helps HEROa lot.

6. Majority of the customers got the opportunity of test ride and they are
satisfied with the product briefing by the HEROsales executive.

7. The most demanded HEROBrands are Splendor+ and Super Splendor.

Major part of the users of this brand is employees next are students.

8. Most of the HEROcustomers have satisfied with the after sale service and
servicing of bike.

83
9. From analysis and interpretation it is found that HEROis mainly chosen
for its mileage performance and brand image.

10. Majority of the customers have satisfied with the performance of Hero
Honda.

11. HEROis the only two wheeler company in India which has given these
vast ranges of motorcycles to the market, obtained form general
observation during the study

12. HEROhas plans of letting some more new models in future such as CBZ
Extreme .As per the information it was found that splendor is the world’s
largest selling bike.

13. Majority of the customers were aware of HEROthrough T.V. &

newspapers advertisement. Other than this there friends & Relatives also
place an important role in influencing the customer

14. And in the case of servicing and repairing the bike most of them prefer
Service Centers Majority of customers get their vehicle service a
Authorized service units and authorized dealers and very few services on
to local services centers.

15. The most important factor which influenced the customer to buy a
HERObike is price reduction followed by fuel efficiency.

16. Customers are satisfied about HERObike because of easy availability of

spares parts of their bike.

17. From the survey it’s revealed that Bajaj motors is the foremost competitor
of HEROfollowed by TVS.

18. HERObikes are said to have very good resale value in the market.

84
 5.2 CONCLUSION

HEROis one of leading two wheeler producer in the world and a major player in the
Indian Market. They were the producer of largest selling motor cycle of the world that is
HEROSplendor it has its own importance still in the market. But from the past two or
three years HEROsuffered a slight loss in its market share and Bajaj became a big
competitor to Hero Honda. The introduction of Bajaj Pulsar is one of the biggest threat to
Hero Honda. HEROis one of the leading two wheeler producer in the globe. It holds an
important place in the minds of consumer by providing efficient service and better
products. Product efficiency and innovations are the method they live up today. Their
engineering is comprehensive.

Customer Awarenesstowards HEROmotorcycles is very good. It has created a very good

brand image for it self by providing low maintenance, fuel efficient, sleek looking models
along with efficient after sales service. It has attracted every class of customers.

In today’s competitive business environment, it is only due to the positive perception of

the consumer that the company is being able to compete in the market with its other
competitors.

85
 5.3 FEEDBACK

1. Most of the customers are of the view that the price tag of HERObikes as
compared to other similar bikes is a bit higher. Hence the price of the bikes
especially the power range bikes like CD DELUXE, CBZ XTREME, and
KARIZMA could be reduced.

2. CD-Dawn, Splendor+ and Passion Plus, could be added with more power,
mileage and given with more colours.

3. The customers should be provided with enough information regarding

effective maintenance of the bike so that the consumers get the best from the
bike.
4. HEROhas to identify those dealers who are facing the problem with sales and
take adequate measures to keep up the so far created brand image.

5. HEROhas to use more promotional techniques to improve the sales in future.

It has to conduct more road shows/public display by which the consumer is
given with much detailed information about the product and more public
awareness is created.

6. Many existing customer have stated that some HEROvehicle

(CD-Dawn, Splendor) do not have a good road grip. Hence it is suggested that
those vehicle must be re-engineered for better road grip.

7. Many existing customers have stated that the splendor+ be provided with self
starter and disc brakes. So the company should focus on those factors.

86
8. HEROhas offered just one model (HEROPLEASURE) for women whereas its
competitors are offering more then two so they should concentrate on that
aspect.
9. The models ACHIEVER and AMBITION should be re-launched with more
value added features.
10. Apart from KARIZMA and CBZ-XTREME all other models are light weight
and hence are prone to accidents.

87
BIBLIOGRAPHY

88
 BIBLIOGRAPHY

TEXTBOOKS REFERRED

Kotler Philip, Marketing Management, Pearson Education Inc. 11th Edition.

Consumer Behaviour – Building Marketing Strategy 9th Edition 2003, Tata
McGraw Hill.
Stanton William J, Etzel Michael J, Walker Bruce J, Fundamentals of Marketing,
McGraw-Hill international, Singapore, 1998

MAGAZINES
Business Today
Business World
Business standard
Auto India
Overdrive

NEWSPAPER REFERRED

Economics Times
Business Times
The Times of India
Business Standard

WEB SITE REFERRED

www.herohonda.com

www.herogroup.com

www.autoindia.com

89
ANNEXURE

90
1 Gender of the Respondents
Table No 4. 1
GENDER NO OF RESPONDENTS % OF RESPONDENTS
MALE 96 96%
FEMALE 4 4%
TOTAL 100 100%

2 Age of the Respondents

Yes No

3 Occupation of the Respondents

Yes No

4. SOURCES OF AWARENESS OF HERO Motocorp

Yes No

5. What are the sales of bikes in a month?

Yes No

6. Quantity of sales of 100 c.c bikes in a month

Yes No

7. Selling of 100 c.c bikes Profitable or not?

Yes No

8. Any suggestion to Manufacturer to enhance there Sales volume of 100 c.c

bikes

Yes No

91