hoffmeyer

BRAND MANAGEMENT

JOHN HOFFMEYER’s MODEL

SYNDICATE: 10

Submitted To:

Prof. V. SASTREY

BAJAJ PULSAR DTSi

SUBMITTED BY:Abhishek Bhardwaj (11020541081)

Prateek Tiwari(11020541108) Rohit Goel (11020541116)

Roshni Ahuja (11020541117)Sneha Oswal (11020541127)

Supratim Sinha (11020541131)

JON HOFFMEYER’S BRAND EQUITY CONVERSION MODEL

Introduction

The Brand Equity for any brand is proportional to the number of committed, regular and loyal buyers. They are unlikely to switch to competitors as they have thorough knowledge of superiority of brand compared to substitutes.Unlike committed loyals, firm also have lethargic loyals or uncommitted regular users. They use brand simply by habit. These types of consumers can switch anytime thus highest risk of loss of share and equity thus Ian Hoffmeyer said that we must be aware of break up of market share so that we can manage each group to prevent future shock.

According to the model the market can be divided into 3 main types of consumers

1. Regular consumers of your product2. Non Users 3. Committed or Regular users of competitors’ product

In other words the market can be divided into 8 segments First four are regular users of our brand out of which two are committed and two are

uncommitted. Next two segments are open as they are non users right now. Finally the last two are users of competitors.

OUR BRAND

BAJAJ PULSAR DTSi

COMPETITOR’S BRAND

HERO HONDA UNICORN

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JON HOFFMEYER’S MODEL OF BRAND EQUITY CONVERSION

These consumers can be rated on a scale of 0 to 10 on different parameters

Amount of satisfaction10 – Highly satisfied0 – Highly unsatisfiedChoice of Brand10 – Most important0 – Most unimportant

Attractiveness to competitor’s brands

Regular Customers

Users

Committed Loyals

Uncommitted Loyals

Non-users Committed Loyals to Competitor Brands

Potential MarketSize

Number of Customers

Imaginary line of commitment

Degree of commitment

1618

11

15

4

8

18

10

2

0 – Most attracted10 – Most un-attracted

Repercussions of Jon Hoffmeyers model

We get to know break up of our customers and we can convert uncommitted loyals to committed loyals.

We can find the reasons why lethargic loyals are there Also by finding reasons we can fill in the gaps if any in lethargic loyals. This is done by line

extensions and brand extensions. As committed loyals are VIP customers, we protect them through loyalty reward schemes. We can also enquire the reasons for non users as well. If affordability is a problem then we will make less expensive brands or use in small quantity. If awareness is a problem then we can make them regular users. We find out about committed loyals buyers in competitive brands and look for opportunities for

breaking this bond. We attack uncommitted regular users of competitors and then we go for committed users.

Strategies for committed user

1. Extended warranty2. Discounts on auto parts and servicing3. Good offer on exchange with newer version of pulsar

Strategies for non committed user

1. Continuous innovation in technology like DTSi engine and Exhaust TEC2. Introducing new features in the existing model like Alloy Wheel, Black Pulsar

Strategies for Open and Available

1. Communicating the importance of the product.2. Comparative advantage of the product.3. Introduced the affordable bikes with similar features as of Pulsar.4. Introduced the concept of Probiking showroom

Strategies for Committed users of competitor brands

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1. Comparative advantage of the product.2. Comparative price and extra offers that are present.

BAJAJ PULSAR

One of the most successful brands of Bajaj Motors, Pulsar was launched on 24 november 2001. it came with a 150 cc or 180 cc air-cooled, single-cylinder, petrol, spark-ignited four-stroke engine.

In 2003, the second generation Pulsars featured Bajaj Auto's newly developed DTSi technology, which increased the power rating of both versions by 1 bhp each and also increased fuel economy.

In 2005, Bajaj launched another upgrade of the Pulsar. The rear shock absorbers were now gas-filled Nitrox absorbers.

In 2006, Bajaj introduced another version of Pulsar. New features included: pilot lamps separated from the main headlamp, turn indicators with clear lenses and amber bulb, self-cancelling turn indicator switch, flush LCD screen with digital read-out of key vehicle data, non-contact speed sensor, non-contact backlit switches, twin-stripe LED tail-light assembly and side panels altered for a sharp, tapering-towards-the-rear look.

In July 2007, Bajaj began selling the Bajaj Pulsar 220 DTS-Fi and Pulsar 200 DTS-i, featuring fuel injection and oil cooled engines, a digital dash, and modern styling.

Awards and Recognitions:

2008 BIKE INDIA- Bike of the year- upto 250 cc.

2007 CNBC-TV18 AUTOCAR Auto Awards- Bike of the Year.

2004 ICICI Bank OVERDRIVE Awards -Bike of the Year.

2003 BBC World Wheels Award-Viewers Choice Two Wheeler of Year.

2003 BBC World Wheels Award-Best Two Wheeler between Rs 55,000 to Rs 70,000.

2003 BBC World Wheels Award-Best Two Wheeler between Rs 45,000 to Rs 50,000.

2003 NFO Automotive- Motorcycle Total Customer Satisfaction Study.

2003 ICICI Bank OVERDRIVE Awards -Bike of the year.

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2002 OVERDRIVE Awards- Most exciting bike of the year.

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