Marketing Tata Nano and Nissan Micra using social media (Ali Raza Anjum)

Marketing Nissan Micra

& Tata Nano Using

NUST Business School

Amina Khalid NiaziAli Raza AnjumShehbaaz AalamEMBA: [email protected]

Agenda

Nissan Micra

&Advertisement

Tata Motors

hired new

managing

director Karl

Slym, the

Former head of

General Motors

India.

Nissan was a

global

automobile

manufactured

with no

presence in

India until 2008.

Tata Group had

a long history in

India It was

founded in 1868

as a trading

company. Tata

Motors

established in

1945.

Both Nissan and

Tata heavily

utilized the

traditional media

and social

media for

increasing

awareness and

sales.

What are the

lesson learnt

from these

campaigns and

how to use

these learnings

in future.

Case Study Overview

Social Media

Effectiveness ?Social Media director had one

week to gauge and present insights how much effective were social media campaign for Tata Nano

and Nissan Micra ?

New MD

ObjectivesPush Tata Nano to Other Markets so he is looking after the resultsof previous campaigns launched

by Tata so that he can plan a Way forward.

Nissan Micra

CampaignMD shown great interest in Nissan

Micra’s hatchback car which started from a short Bollywood type film and aired on Facebook Page. And

Ranbir Kapoor played a vital role in campaign.

Meeting with

Social Media Director Briefing about Social Media

campaign launched by Tata with MTV featuring Race-Style Road Trip where Facebook played a central

role.

What is Social Media

Social Media combinations of means to

Create Share

Exchange

Essentials of Social Media Growth

Communication channel to

connect across peers

Access to communication

channel everywhere

What to share and How to Share

Education

Social

Media

India is getting Social … 1.2 Billion People

243 Mill. of the Indians have

Internet Access.

970 Mill. of Indians have

Mobile Phones.

816 Mill of Indians can read and

write.

Education

Social

Media

Networks

100 Mill. Of Indians

India Social and Internet Statistics 2014

BACKGROUND

Global automobile manufacturer

Hatchbacks dominancy in Indian Market

Started selling Micra in July 2010

HatchBack Dominancy

B2 hatchbacks-Greatest volume of

sales

Hatchbacks classified as

A,B1 and B2

Hatchbacks dominated

Indian Market

NISSAN MICRA

NISSAN MICRA

• B2 HatchbackMICRA

• Maruti Swift and Ritz, the Ford Figoand the Hyundai i10 and i20

Competitors

MICRA BRANDING

Ranbir Kapoor - Brand Ambassador

Featured in numerous advertisements.

Both new and traditional advertising used.

Social media-connection with wider youth

base

“Drive Simpler. Live Better”

Social Media Campaign

Short Movie Aired on Social Media

Campaign Details

T A T A MOTORS

H I S T O R YO F

T A T A

IDEA GENERATION OF TATA NANO

RatanTata

Vision

Tata Nano

“I saw families riding around on scooters with kids standing up and the mother carrying a baby and decided to do something about it. It started as a quest for an affordable transportation solution”.

-- Ratan TataCEO

THE CHALLENGE

THE CHALLENGES

T A T A N A N O

The Tata Nano was introduced at the 9th auto expo by Tata Motors in New Delhi, India on Jan. 10, 2008.

T A T A N A N O

The ONE lakh Rs that car drives ONE billion dreams…

THE COMPETITORS

Maruti 800 Tata Nano

Engine 800 cc 623 cc

Length 3.335 m 3.1 m

Width 1.440 m 1.5 m

Height 1.405 m 1.6 m

Top speed 120 km/hr 90 km/hr

Cost 2.25 Lakh (on road) 1.26 lakh (on road)

COMPARISON WITH MARUTI

PRICING STRATEGY

Target Costing

Method

Low Manufacturing

Cost

Low Pricing Policy

with Minimum

Profit Margin.

TARGET MARKET

THE PEOPLE’S CAR

Khushyon ki chaabi….

SPECIFICATION OF NANO

• Looks: The snub-nosed car keeps in the tradition of the Fiat 500, Nissan Micra and the Smart.

• Dimensions: 3.1 metres (10.23 feet) long, 1.5 metres wide and 1.6 metres high. Can seat four to five people.

• Engine: A two cylinder 623 cc, 35 horsepower rear mounted, all aluminium, multi-point fuel injection petrol engine can power the car to top speeds of 105 kilometres per hour (65 miles per hour).

• Fuel Efficiency: 20 kilometres per litre, or 50 miles per gallon is claimed.

• Safety: Car exceeds current regulatory requirements with a strong passenger compartment, crumple zones, intrusion resistant doors, seat belts, strong seats and anchorage.

• Nearest Domestic Car Rival: Maruti 800, part of Japanese-owned Suzuki Maruti stable whose base model sells for about 4,800 dollars --nearly double the price of the Nano

• Market: India's car market is a huge draw because car penetration is just seven per 1,000 people, compared to 550 per 1,000 in such countries as Germany or 476 in France, according to the Society of Indian Automobiles.

SPECIFICATION OF NANO (Cont..)

ADVERTISEMENT OF TATA NANO

Publicity as “One lakh car” by mouth to mouth.

Auto expo 2008 New Delhi & Geneva.

Print & electronic media. Social Media.

Orkut, Facebook

o

NANO DRIVE WITH MTV

NANO DRIVE WITH MTV

FACE BOOK - NANO DRIVE WITH MTV

FACE BOOK - NANO DRIVE WITH MTV

Nano Drive

Comparison

SWOTSTP

Strengths

Nano MicraAffordable

Easy to drive in traffic

Fuel Efficiency

Low Maintenance Cost

Intl. Brand Nissan

Build Quality

Fuel Efficiency

Excellent Advertising

Weakness

Nano Micra

Perceived as Cheap Product

Smaller Fuel Tank

Limited Intl. Presence

Less Powerful Engine

Limited Sales Channel

Limited Service Channels

Price vs Size

Opportunities

Nano

Micra

Motivation for Bikers

Say no to Second Hand

Target Third World Countries

World Cheapest Car

Growing Automobile Industry

Use the Japanese Brand Name

Renault/Low Cost Cars

Threats

Nano

Micra

Motorcycles

Improvement in public transport

Innovation by competitors

Cheap Car Perception

Intense Competition

Increasing Fuel Prices

Improvement in public transport

SegmentNuclear families in the

Hatchback segment

PositionA simple small car which

would make life better for the ownerTarget

Upper middle class executives

NissanMicra

Segment-Target-Position

SegmentHatchback segment for

middle class

PositionPositioned as the

cheapest and most affordable carTarget

Targeted towards the families belonging to middle class segment

TataNano

Segment-Target-Position

Social Media Campaigns

Micra Campaign Impact

500,00 Facebook Fans

500 Test Drives

Increased Sales in April

Sustain Growth

Campaign Period: September 2011 To March 2012

YoY Growth Comparison

Nano Campaign Impact

80,000 Facebook Fans

Higher Perceived Quality

Increased Sales in June

Sustain Growth

YoY Growth Comparison

Campaign Period: May To June 2012

Challenges

4

Media Role

Traditional Media Social Media

Micra Campaign

Ranbir Kapoor Campaign for Nano

Sales

Domestic Sales Other Markets

Sustain Social Media

Engagement Make it more effective

Suggestions

4

Media Role

Traditional Media Social Media

Micra Campaign

Sales

Domestic Sales Other Markets

Sustain Social Media

Engagement Make it more effective

Ranbir Kapoor Campaign for Nano

Should be used for future campaigns

Resulted into effective campaign Do not limit only to social media

Increase Market Share

Learn from Nissan

Engage Celebrities

Launch more seasons

Use it in future

Local Language Barriers

Celebrity Ambassador for Nano

Thank You