A PROJECT REPORT ON THE LUXURY CAR SEGMENT Submitted By:A !

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JA2 H2N3 COLLEGE BASANTS2NG 2NST2TUTE O4 SC2ENCE 5 J6 T6 LAL7AN2 COLLEGE O4 COMMERCE

/8-/9: B ,.b y Re,% m ti*#: A R* d: C;u",;< te: Mumb i = 900 0/0

Ce"ti!i, te

I, ____________________________________________________ Hereby certify that Aafreen Tinwala of Jai Hind College of T.Y.B.M.S. (Semester V) has com lete! the ro"ect o# THE LUXURY CAR SEGMENT the $ca!emic year 2011-2012. The i#formatio# s%bmitte! is tr%e a#! origi# all to the best of my &#o'le!ge.

Sig#at%re of g%i!e Sig#at%re of College ri#ci al

Sig#at%re of co%rse Sig#at%re of

(

coor!i#ator e)ter#al e)ami#er

3e,% " ti*#

I !eclare that the ro"ect e#title! THE LUXURY CAR SEGMENT %#!er the g%i!a#ce of Mr M!i" La#dawalla s%bmitte! i# artial f%lfilme#t of the re*%ireme#t for the a'ar! of the !egree of $a%&el!r' !f Mana(e)en* '*+die' to M+),ai Uni-er'i*./ M+),ai/ is my origi#al 'or& + carrie! o%t !%ri#g The year 2011-2012/ a#! #ot s%bmitte! for the a'ar! of a#y other !egree, !i loma, fello'shi or other similar or ri,e to a#y other i#stit%te, orga#i,atio# or %#i-ersity by a#y other erso#.

Signa ture of the Student

Aafreen Tinwala

A%#n!wled(e)en*

I# re aratio# of this re ort by me, I feel great leas%re beca%se it gi-es me e)te#si-e ractical &#o'le!ge i# my career. I get i!ea abo%t The /%)%ry Mar&et by this ro"ect.

I am tha#&f%l to Mr. Moi, /a&!a'alla for his -al%able i#s iratio# a#! g%i!a#ce ro-i!e! me thro%gho%t the co%rse of this ro"ect.

His atie#ce a#! critically go#e thro%gh the s%b"ect matter. I 'o%l! li&e to ta&e o ort%#ity to e) ress my gratit%!e to'ar!s all of them 'ho ha-e co#trib%te! !irectly or i#!irectly i# my ro"ect 'or&.

$t last I 'o%l! li&e to e)te#! my !ee se#se of gratit%!e to my frie#!s, colleag%es a#! each i#!i-i!%al 'ho !irectly or i#!irectly hel me !%ri#g the ro"ect 'or&.

EXECUTIVE SUMMARY
The luxury car market in India has registered a fair am unt f gr !th in the last fe! years and is gr !ing at the rate f "#$ %er year& A luxury car is a luxuri usly styled aut m 'ile !hich is designed t gi(e satisfacti n and c mf rt t its !ner & A luxury car ty%ically has carrying ca%acity f ) %assengers& The luxury cars in the Indian market are (ery ex%ensi(e* !ith %rice tags that start fr m Rs& "+ lakh& ,ence* luxury cars can nly 'e aff rded 'y the %e %le !h 'el ng t the high inc me gr u% and there are a l t f such takers in the Indian aut m 'ile market& Alm st e(ery sect r is eying India as a % tential in(esting hu'* and aut m 'ile sect r is n exce%ti n& -esides 'eing still a de(el %ing c untry* it sh uldn.t 'e a sur%rising fact that Indian ranks ! rld num'er / in terms f the num'er f milli naires& This era f de(el %ment in India has 'een at its 'est* des%ite recessi n* str ng fundamentals f Indian ec n my ha(e managed t % st a decent 012 gr !th last year& Increase in dis% sa'le inc me f the %e %le has led t a different lifestyle& 3 !* the mindset f Indian c nsumer is a l t different& 2re(i usly* Indian c nsumers used t check the %rices f e(erything they ' ught& 3 !* the c nsumer l ks at the ex%erience f the c m%any during the 'uying %r cess& M re than %rice* 4uality matters& This %aradigm shift has als changed the !ay c m%anies l k at India& Sl !ly and steadily the luxury car market !hich !as in a (ery nascent c nditi n in India* is n ! c unting n 'ig re(enues fr m the c untry.s cust mers& 5f late* there had 'een a stee% increase in the luxury car market& Year "++6 rec rded a !h %%ing "#$ gr !th in the luxury car market& It ! uld 'e ne!s f r many f us that India ranks num'er 7 in ex% rting aut m 'ile c m% nents& The 0erman machines !hich ha(e fame all (er the ! rld use c m% nents !hich are im% rted fr m India&3e! entrants like V lks!agen are g ing t heat u% the c m%etiti n e(en m re& Currently the fight is in 'et!een -M8 and Merc& 1es%ite 'eing a late entrant in the Market* -M8 has 'een successful in ca%turing a c nsidera'le am unt f market share& -ut* this fight 'et!een 9ust t! c m%anies is n t g ing t stay f r l ng as ne! %layers are entering the Indian market& This increased demand f r luxury cars* is n t s mething that s%urt all f a sudden& The gradual de(el %ment f the Indian ec n my and the increased dis% sa'le inc me has
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influenced %e %le t make a status sym' l !ith res%ect t their cars& :uxury sedans are a(aila'le fr m the %rice range f Rs& "+ lakhs ; /+ lakhs !hich are m stly %referred 'y the first time 'uyers in this segment& The achie(ers* !h ada%t t the latest ha%%ening and like t 'e d minant* are al!ays <uick in 'uying the hea(y %riced sedans&

C ntents
1. Intr ducti n===============================> 1.1. 0r !th f luxury aut m 'ile sect r&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&&> 1.(. 5'9ecti(es f study==========================&? 1... Sc %e f study============================6 1.0. Research meth d l gy========================&&&7+ 1.1. Research limitati ns========================== (. ..

0.

1.

2.

3.

4.

7" The three c m%eting luxury car 'rands in India================&&&&7/ (.1. -M8 (s& Mercedes -en@=======================&&&7A (.(. :atest and fastestB Audi=======================&&&&&7) ,ist ry f the / luxury car 'rands======================&7? ..1. -M8===============================&&7? ..(. Mercedes -en@============================ 76 .... Audi===============================&&&&"+ Re(ie! f literature===========================&&&&"7 0.1. -rand %ers nality==========================&&&&"7 0.(. Creati n f 'rand %ers nality======================&&"" 0... -rand %ers nality f cars=======================&&&&&"/ :uxury car segment===========================&&&&&"# 1.1. Characteristics===========================&&&&&&" # :uxury cars in India============================&") 2.1. -M8===============================&&&&" ) 2.(. Mercedes -en@============================&"? 2... Audi================================&&/ 7 C nsumer 'eha(i ur trends=========================&// 3.1. C gniti n t em ti n========================&&&&&&&&// 3.(. S%lurge f r s%ecial=========================== // 3... Its mine c nce%t============================ // 3.0. A% trends=============================== // 3.1. M (ing f r!ard============================ /# 1ata analysis and inter%retati n=======================&&&/> 4.1. 2rimary data============================&&&&&&/> 4.(. Sec ndary
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C,A2TER 7C I3TR51UCTI53
7&70r !th f the luxury aut m 'ile sect r
India* the ! rldDs sec ndBfastest gr !ing aut market* is in t %Bgear gr !th& The c untry is a h t destinati n f r aut m 'ile manufacturers due t its r 'ust ec n mic gr !th* fa( ura'le dem gra%hics* higher dis% sa'le inc me* changing lifestyle and % siti(e industrial ec B system& India is ex%ected t 'ec me the third 'iggest aut maker in the ! rld !ithin next decade& The various reasons for the growth of luxury cars in India are: E The ec n my is rising in the c untry !hich has gi(en the %e %le m re dis% sa'le inc me !hich they are s%ending in 'uying luxury cars& E Vari us l an schemes ha(e 'een launched 'y the aut m 'ile manufacturers and the financial instituti ns& This has made it (ery easy f r the %e %le t 'uy luxury cars and this has ' sted the luxury car market in India& E 8ith the IT ' m in the c untry many y ungsters are earning high %ay %ackages !hich ena'le them t 'uy luxury cars& And this ha(e further gi(en ' st t the market f luxury car in India& E The g (ernment ha(e f rmulated many % lices such as the relaxati n f e < u i t y regulati ns and the reducti n f im% rt tariffs %ertaining t the aut m 'ile industry& These ha(e hel%ed t reduce the %rices f the luxury cars* !hich in turn ha(e led t the gr !th f the luxury car market in India& The various automobile companies manufacturing luxury cars for India are: E -M8 manufacturers the -M8 #/+i and -M8 >)+li m dels E R lls R yce manufactures the R lls R yce 2hant m V 7" m del E 2 rsche manufactures the 677 Carrera* 677 Carrera S* and Cayman S m dels E 1aimler Chrysler manufactures the Mercedes -en@ C and E class m dels E -entley manufactures the -entley Range and -entley C ntinental m dels :uxury car market in India has gr !n (er the last fe! years& That it c ntinues t gr ! m re eff rts must 'e made 'y the Indian aut m 'ile industry and the g (ernment f India& And nly then the luxury car market in India !ill 'e a'le t reach its heights&

7&"5'9ecti(es f study
The research '9ecti(e is a statement* in a %recise termin l gy as % ssi'le f !hat inf rmati n is needed& The research '9ecti(es sh uld 'e framed s that 'taining the inf rmati n !ill ensure that the research %ur% se is satisfied& In India* the sky is 'right f r the luxury car makers& & The Indian c nsumers. inclinati n f r !ning a luxury car sh ts u% the demand f r such cars f r the %ast fe! m nths& Many car c m%anies are n ! intr ducing cars in the luxury car segment t attract ne! cust mers& The various objectives of the studies are as follows: T determine the sc %e f luxury cars in India& 0r !th %% rtunities f luxury cars in India& T identify and analy@e the fact rs influencing the %urchase f cars T determine the dem gra%hic (aria'les f the cust mers f different 'rands f cars

&

1.1

Sc %e f study
1efining the sc %e f the research r research ' undaries ensures the desired %recisi n r accuracy f the result &It is aimed t study the luxury car market and its sc %e
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in India& The main f cus f the %r 9ect is t study the gr !th f cars like -M8* MERCE1ES -E3F and AU1I& It als leads t identify and understand the sc %e and gr !th %% rtunities f luxury car 'rands in India 3 !adays* car has 'ec me a necessity and f rms a %art f life& Theref re* there is a significant sc %e t examine the %erce%ti n and %urchase 'eha(i ur f the c nsumers f cars& Gn !ledge f the 'uying 'eha(i ur f the different market segments hel%s a seller t select their target segment and e( l(e marketing strategies t increase the sales& The sc %e f this research has a (ery g d future&

1.( Research

meth d l gy

A research %r cess c nsists f stages r ste%s that guide the %r 9ect fr m its c nce%ti n thr ugh the final analysis* rec mmendati ns and ultimate acti ns& The research %r cess %r (ides a systematic %lanned a%%r ach t the research %r 9ects and ensures that all as%ect f
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the research %r 9ects is c nsistent !ith each ther& This cha%ter aims t understand the research meth d l gy esta'lishing a frame! rk f e(aluati n and re(aluati n f %rimary and sec ndary research& The techni<ues and c nce%ts used during %rimary and sec ndary research& The techni<ues and c nce%ts used during %rimary research in rder t arri(e at findings !hich are als dealt !ith and lead t a l gical deducti n t !ered the analysis and results& The research process has 4 distinct yet interested steps for research analysis:
1. (. .. 0.

H rmulati n f %r 'lem C llecti n f data Making sam%ling %lan Research limitati n

7&A&7 H rmulati n f %r 'lem I %r % se t first c nduct intensi(e %rimary research and sec ndary research t understand the full im%act and im%licati n f the luxury car industry* t re(ie! and criti<ue the industry n rms and re% rts n !hich certain issues shall 'e selected !hich I feel remain unans!ered r lia'le t change this shall 'e further taken u% in the next stage f ex%l rat ry research& Each ste% is (ie!ed as a se%arate %r cess that includes a c m'inati n f task* ste%* and s%ecific %r cedure& The ste%s undertaken are l gical* '9ecti(e* systematic* relia'le* (alid* im%ers nal and ng ing& 7&A&" C llecti n f data The c llecti n f data is d ne 'y ex%l rat ry research Ex%l rat ry research The methods I used for exploratory research are as follows:
1) 2rimary dataBThe %rimary data !as c llected 'y getting s me <uesti nnaires filled 'y

the cust mers& 3e! data gathered t hel% s l(e the %r 'lem at hand& As c m%ared t sec ndary data !hich is %re(i usly gathered data& An exam%le is inf rmati n gathered 'y a <uesti nnaire& 4ualitati(e and <uantitati(e data are the ne!ly c llected in the c urse f research& C nsist f riginal inf rmati n that c mes fr m %e %le and includes inf rmati n gathered fr m sur(eys* f cus gr u%s* inde%endent 'ser(ati n and test results& 1ata c llecti n t k %lace !ith the hel% f filing <uesti nnaires& The <uesti nnaire meth d has c me t the m re !idely used and ec n mical means f data c llecti n& The c mm n fact r in all (arieties f the <uesti nnaire meth d is the reliance n (er'al res% nses t <uesti ns* !ritten r ral& I f und it essential t make sure the <uesti nnaire !as easy t read and understand t all s%ectrums f %e %le in the sam%le& The <uesti nnaire administrati n ! uld n t take m re than AB# minutes& The data !as c llected 'y interacting !ith A+ res% ndents !h filled the <uesti nnaires and ga(e me the re<uired necessary inf rmati n& The res% ndents c nsisted f h use!i(es* students* 'usinessman* y ung executi(es* %r fessi nals etc& The re<uired inf rmati n !as c llected 'y directly interacting !ith these res% ndents&
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() Sec ndary dataB Sec ndary data is 'eing c llected 'y thr ugh internet* (ari us

!e'sites& S me articles n the research t %ic !ere als taken int c nsiderati n& There are t! ty%es f sec ndary dataC internal and external sec ndary data& A sec ndary s urce f data used c nsists f ' ks and !e'sites& 7&A&/ Making sam%ling %lan It is a descri%ti n f the characteristics f that gr u% f %e %le fr m !h m a c urse is intended& It attem%ts t descri'e them as they are rather than as the descri'er ! uld like them t 'e& Als called the audience the audience t 'e ser(ed 'y ur %r 9ects includes key dem gra%hic inf rmati n I ie age* sex*etcJ& The target % %ulati n is the % %ulati n I !ant t make c nclusi ns a' ut& 7&A&/&a Sam%le si@e This in( l(es figuring ut h ! many sam%les ne need. The sam%le si@e in this research is A+& 7&A&/& ' Area f sam%ling The area of sam li#g of this research 'as M%mbai , I#!ia. 7&A&/&c Sam%ling techni<ue A Sim%le rand m sam%le is a gr u% f su'9ects I a sam%leJ ch sen fr m a large gr u% Ia % %ulati nJ& Each su'9ect fr m the % %ulati n is ch sen rand mly and entirely 'y chance such that each su'9ect has same %r 'a'ility f 'eing ch sen at any stage during the sam%ling %r cess& This %r cess and techni<ue is kn !n as sim%le rand m sam%ling and sh uld n t 'e c nfused !ith rand m sam%ling&

1.1 Research limitati ns

This study conducted has the following limitations:

The sc %e f the research study is Mum'ai& S the % %ulati n c nsidered may n t 'e the actual re%resentati(e f the % %ulati n f the nati n& The inf rmati n gi(en 'y the res% ndents can 'e 'iased& Hre<uency f usage* in the <uesti n that asks f r highly c nsumed 'rand&

1(

C,A2TER "C T,E T,REE C5M2ETI30 :UXURY CAR -RA31S I3 I31IA

Ma9 r luxury cars in IndiaB MercedesB-en@* -M8 and Audi %ut t gether ha(e ar und ?#$market share&

Hig "

1.

The 0erman car 'rand MercedesB-en@ had first m (er ad(antage as it had started %erati ns in India in 766# and there !as n direct c m%etiti n in this categ ry& S * it remained K3umer Un . luxury car 'rand in India f r m re than a d e c a d e & - u t * m a r k e t dynamics ha(e changed significantly after the entry f -M8 in "++) f ll !ed 'y Audi in"++>&The (erall market share f luxury cars has 'een re rgani@ed due t the ne! entrants& This has resulted in ne! e<uati ns 'eing f rged am ngst the (ari us %layers* dri(en %rimarily 'y a ra%idly s!elling milli naireBclu' ha(ing di(ersified ch ices and %references& In "++)* -M8 had 6$ market share !hich has n ! gr !n t A"$* cata%ulting -M8 as the num'er ne luxury 'rand in terms f sales& Audi !hich started its %erati ns in "++> has had the fastest gr !thB rate am ngst the three and has n ! ca%tured "+$ f the luxury car market& S * the I n d i a n luxury car market is fa( ura'le f r ne! entrants !h are ca%a'le f g r a ' ' i n g t h e unta%%ed %% rtunities 'y f ll !ing the cust merB riented a%%r ach and ha(ing a'ility t induce demand 'y inn (ati n at each le(el f marketing mix& T get a dee%er understanding f the scenari !e need t de(el % int the c m%etiti(e strategies f these three 'rands&

"&7 -M8 and MercedesB-en@

MercedesB-en@ India :imited !as esta'lished in 3 (em'er 766A as a 9 in (enture 'et!een 1aimlerB-en@ A0 and erst!hile Telc I%resently* Tata M t rsJ& It has tra(ersed a l ng 9 u r n e y s t a r t i n g ! i t h t h e l a u n c h f n e f t h e m s t s u c c e s s f u l m d e l s ! r l d ! i d e ; t h e MercedesB-en@ E Class I87"AJ in March 766#&Mercedes India* n ! kn !n as 1aimlerChrysler India 2ri(ate :td&* has a stateB fBtheB artfullyBe<ui%%ed manufacturing unit in 2une& MercedesB-en@ is kn !n f r %r (iding the Indian cust mers* latest m dels and techn l gy f ll !ing strict <uality standards& The c m%any c nsiders India as ne f its m st %r mising markets& The MercedesB -en@ C Class and MercedesB-en@ E Class cars are l cally manufactured !hile the MercedesB-en@ S:BClass cars are im% rted as c m%letely 'uilt units IC-UsJ& The c m%any ffers SBClass* EBClass* CBClass* M Class* C:SBClass* S:GBClass* C:BClass and the May'ach& Hig "&7 Eur %ean Ma9 r -M8 entered in India in "++)& The c m%any !ith head<uarters in 0urga n and %r ducti n unit in Chennai had initial in(estment f 7&7 'illi n ru%ees& It has s!iftly de(el %ed ' th infrastructure and dealershi% net! rk& The %r ducti n %lant at Chennai* esta'lished in "++>* has an annual ca%acity f /+++ units in a single shift and it %r duces -M8 / series and -M8 # series sedans& The rest f m delsB -M8 > series* X/ and X# are im% rted as C-Us& -M8 / and # series acc unt f r ?+$ f the t tal sales f c m%any in India* f !hich -M8 # series has highest sales&-M8 India* !ith its aggressi(e marketing* fast ex%ansi n f %r duct %r files* strategic dealershi% l cati n selecti n and su%%lementary financial ser(ice ffering* has managed t !rest 'iggest market share fr m MercedesB-en@& -M8 and Audi*
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' th f cus n s% rtier features and ne! launches t enc urage y ung 'uyers& 1ecrease in the a(erage age f luxury car 'uyers is a fa( ura'le c nditi n f r this kind f selling strategy& In the Indian scenari * !here >#$ f %assenger cars and )+$ f luxury cars are %urchased thr ugh financing* financial su%%lementary su%% rt is critical t success f the car makers& Taking this int acc unt* -M8 0r u% is %lanning t intr duce -M8 Hinancial Ser(ices India* !hich !ill %r (ide ser(ices t -M8 cust mers* %r (iding financing facilities t fleetB !ners and c mmercialBfinancing t their dealers& 1isc unting lder m dels is an ther successful strategy a%%lied 'y the c m%any& It is als %lanning t launch K2reB5!ned Car Sales 2r gram. in "+7+& -M8.s #B year c (erage Iafter salesJ is an ther attracti(e fact r c m%ared t the "Byear !arranty %r (ided 'y MercedesB-en@& In the Indian scenari * the luxury cars are generally chauffeurBdri(en& This trend has 'een !ellBim'i'ed 'y -M8 as it has f cused m re n 'ackBseat facilities during designing and marketing& The c m%any has ' e e n f c u s i n g n s m e t h e r t e c h n l g i e s l i k e I n t e g r a l A c t i ( e B S t e e r i n g * 2 a r k 1 i s t a n c e C ntr l I21CJ and ,eadBu% 1is%lay IX#J f r %r (iding enhanced features f r c mf rt in the Indian dri(ing c nditi ns&-M8 has 'een acting (ery s!iftly in identifying its dealershi% l cati ns s as t achie(e maximum sales ( lume aligned& -M8 !ith 7# dealershi% l cati ns It! l cati ns in 1elhi and Mum'aiJ c m%etes !ith MercedesB-en@ ha(ing /" dealershi% l cati ns 'ecause it has strategically ex%anded its dealershi% net! rk t higher demand luxury car markets& In next %hase -M8 is %lanning t target emerging tier 7 and " cities like Lai%ur and :uckn ! t c m%ete !ith Mercedes !h se "#B/+$ sales re(enue c mes fr m tier " cities&

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"&" :atest and HastestB Audi A0

Audi India started %erating in "++> 'y esta'lishing its !n sales c m%any in Mum'ai& The c m%any started %r ducti n f Audi AA in 3 (em'er "++>* f ll !ed 'y Audi A) in "++? in its Auranga'ad %lant& Rest f the m dels B Audi A?* Audi 4# and 4>* Audi TT and su%er s % e e d r a c i n g c a r A u d i R ? a r e i m % r t e d a s C - U s & A u d i i n ( e s t e d s i g n i f i c a n t l y i n ' r a n d 'uilding* marketing the %r duct <ualities and im%r (ing after sales ser(ices in India& Audi ffers techn l gy !ith c m% sure and agility t current techn affluent Indian y uth& Gn !n f r its techn l gy* luxury and style* this 0erman car maker has recei(ed fi(e different a!ards 'y Indian aut media& Audi.s c mmitment t inn (ati(e and s %histicated design is !idely end rsed 'y car 'uyers& 5ne f the reas ns f Audi.s gl 'al success is its a'ility t identify % tential markets f r ex%ansi n& The c m%any selected India as its sec nd %r ducti n site after China& Hig "&" The l cal %r ducti n %r (ides Audi* a'ility t cater cust mer needs in a c s t e f f e c t i ( e manner& Audi is al!ays a first ch ice f techn Bgeeks !h !ant t get m re in( l(ed during the dri(e& -esides 'eing the fastest gr !ing luxury 'rand in India* Audi regularly 'rings ne! m dels and (ariants f existing m dels t sur%rise the car l (ers& Audi 4# is the m st end rsed im% rted s% rts utility (ehicle ISUVJ in India& The c m%any f ll !ed the same dealershi% l cati n strategy as -M8 'y selecting similar sales regi ns f high demand If ur dealershi% l cati ns in n rthern and central regi ns 1elhi* 0urga n* Chandigarh and :udhianaJ at 7/ l cati ns c untryB!ide& 1ue t these eff rts* Audi has ra%idly ca%tured market in India and has exerted c nsidera'le %ressure n the ther d minant %layers& The c m%any n ticed a )#$ 9um% in sales I"++ carsJ in May "+7+ c m%ared t May"++6 I7"7 carsJ& - th Audi and -M8 ha(e f cused in the ! rld class music system facility and ultra luxury l ks in their m dels& :uxury car segment is g ing t change as there are many ne! cars linedBu% f r launch during the %eri d "+7+B"+7" !ith a%%r ximately #+ t )+ ne! m dels fr m ma9 r gl 'al 'rands& The market futures !ill n t nly 'e dri(en 'y %r duct itself 'ut als ser(ices ass ciated !ith it& S it ! uld 'e a !ar f 'iggies* c m%eting n di(erse %arameters& Aut m 'ile market !ill 'e n ticing a great shift 'ut as the %re(i us %attern f market sh !s* the nly mantra f success !ill 'e a h listic a%%r ach aligned t the c m%any.s 'rand image and cust mer riented (isi n&

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C,A2TER /C ,IST5RY 5H T,E / :UXURY CAR -RA31S I-M8* MERCE1ES -E3F* and AU1IJ
/&7 -M8

13

Alth ugh -M8s current fame and re%utati n as ne f the greatest aut m 'ile manufacturers can 'e m stly linked t m dels %r duced in the last t! decades* the hist ry f the mar<uee stretches 'ack alm st 6+ years and c ntains numer us achie(ements that ha(e esta'lished it as a 'enchmark& -M8 stands f r -ayerische M t ren 8erke r -a(arian M t r C m%any& The c m%any !as esta'lished in 767/ and 'ased in Munich* 0 e r m a n y & I t s t a r t e d u t a s a n a e r e n g i n e m a n u f a c t u r e r * h e n c e t h e c m%any l g & The l g c m%rised f f ur <uadrants f alternating ! h i t e a n d ' l u e c l r & I t i s a s t y l i @ e d r e % r e s e n t a t i n f a n a i r % l a n e %r %eller s%inning against the clear 'lue sky& The l g re%resents a !hite %r %eller 'lade against a 'lue sky& It reflects the rigins f -M8 as a maker f military aircraft engines during 88I& Als * !hite and 'lue are the traditi nal c l urs f -a(aria&

/&" MERCE1ES ;-E3F

14

T h e M e r c e d e s B - e n @ l g i s n e f t h e m s t f a m u s ' r a n d s i n t h er! rld& The -en@ l g is a sim%listic threeB% inted star that re%resents i t s d m i n a t i n f t h e l a n d * t h e s e a * a n d t h e a i r & T h e f a m u s t h r e e B % inted star !as designed 'y 0 ttlie' 1aimler t sh ! the a'ility f his m t rs f r land* air and seaBusage& It !as first seen n a 1aimler in76+6* and !as c m'ined !ith the -en@ laurel !reath in 76") t signify the uni n f the t! firms& MercedesB -en@ is the ! rld.s ldest aut m 'ile manufacturer& The c m%any.s f unders* 0 ttlie' 1aimler and Carl -en@* c ntinued t make aut m ti(e hist ry f ll !ing their in(enti n f the aut m 'ile in 7??)& As an aut m ti(e %i neer* 1aimler and its em%l yees are c mmitted t excellence and act res% nsi'ly t !ards s ciety and the en(ir nment* t sha%e the future f safe and sustaina'le m 'ility !ith gr und'reaking techn l gies and highB<uality %r ducts.

15

/&/ AU1I

The Audi 'adge the DH ur RingsD is the em'lem f ne f the ldest car manufacturers in 0ermany& It sym' lises the 76/" merger f the f ur inde%endent m t rB(ehicle manufacturersC Audi* 1G8* , rch and 8anderer& T gether !ith the 3SU 'rand* !hich 9 ined in 76)6* these c m%anies are the r ts f the %resentBday AU1I A0& After the !ar the Audi name B !hich is :atin f r M,earNM B disa%%eared* 'ut !as re(i(ed in 76)#* using the f ur rings as a l g & Als * the name is s rt f a %un n Dh erchD* 0erman f r DhearD* name f ne f the f unders& The c m%any itself is m re than a century ld& The f ur rings in the l g ha(e n thing t d !ith the 5lym%ic rings&

C,A2TER AC REVIE8 5H :ITERATURE

A&7 -rand 2ers nality
A 'rand is Oa set f ex%ectati n and ass ciati n e( ked fr m a c m%any r %r duct& A 'rand is h ! y ur key c nstituentsB cust mers* em%l yees* shareh lders etc& ex%erience !hat y u
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d &P S me 'rands are f such great im% rtance t %e %le* that !e s%eak f them as a %art f ne.s life and identity* 'eing used t ex%ress ne& S me ! uld say that these 'rands ha(e their !n %ers nality* the 'rand %ers nality* !hich can 'e defined as Othe set f human characteristics ass ciated !ith a gi(en 'randP& Thus* it includes such characteristics as gender* age and s ci ec n mic class* as !ell as such classic human %ers nality is ' th distincti(e and enduring& -ased n the %remise that 'rand can ha(e the %ers nalities in much the same !ay as humans* 'rand %ers nality descri'e 'rands in terms f human characteristics& -rand %ers nality is seen as (alua'le fact r in increasing 'rand engagement and 'rand attachment* in much the same !ay as %e %le relate and 'id t ther %e %le& Much f the ! rking the area f 'rand %ers nality is 'ased n translated the ries f human %ers nality and using similar measure f %ers nality attri'utes and fact rs& -rand %ers nality refers t the set f human characteristics !e ass ciated !ith the 'rand& A c mm n !ay f determining this is t re%ly n the meta%h rC OIf the 'rand !as a %ers n* !hat ! uld heQshe 'e likeRP !e then list and gr u% the traits t descri'e the 'rand as* f r exam%leC caring* a%%r acha'le and trust! rthy&

A&" Creati n f 'rand %ers nality

-rand %ers nality traits are f rmed and influenced 'y any direct r indirect c ntact that the c nsumer has !ith a 'rand& A 'rand* unlike a %ers n* cann t think* feel r act& A 'rand has n '9ecti(e existence at all its sim%ly a c llecti n f %erce%ti n n the minds f the c nsumer& C nsumers acce%t the marketing acti ns t humani@e 'rands& Indirectly* the 'rand %ers nality is created 'y all the elements f the marketing mix& -etra* :ehman and Singh suggest that the %ers nality f a 'rand is created (er time* 'y the entire marketing mix f the
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'randB its %rice I high r l !* dd r e(enJ* retail st re l cati nI imaginary ass ciati nJ*and %r duct f rmI s lidQli<uid&etcJ 'enefitsJ* %ackaging details Ic l ur* si@e* material* sha%eJ* sym' lS used an all %hases f the 'rand c mmunicati n* sales %r m ti n* and media ad(ertisingP 5ne f the ad(antage f the 'rand %ers nality is that 'ased n their distincti(e %ers nalities* c nsumers are a'le t differentiate 'et!een 'rands& An ther ad(antage is that the c nsumer can inter%ret the 'rands image in such a !ay that it is %ers nally m re meaningful& Thus the c nsumer %ut m re eff rts in creating and using the 'rand %ers nality& A further ad(antage f 'rand %ers nality is that life is gi(en t a 'rand& -y (itali@ing a 'rand* an ther %ers%ecti(e f 'rand %ers nality can 'e examined* namely the r le f a 'rand as relati nshi% %artner in a c nsumer 'rand relati nshi%& 3ext !e !ill c ncentrate n these c nsumer 'rand relati nshi%s* 8hether the 'rand is a %r duct r a c m%any* the c m%any has t decide !hat %ers nality traits the 'rand is t ha(e& There are (ari us !ays f creating 'rand %ers nality& 5ne !ay is t match the 'rand %ers nality as cl sely as % ssi'le t that f c nsumers r t the %ers nality that they like& The %r cess !ill 'eC aJ 'J cJ dJ 1efine the target audience Hind ut !hat they need* !ant and like -uild a c nsumer %ers nality %r file Create the %r duct %ers nality t match that %r file

A&/ -rand %ers nality f cars

Are y u !hat y u dri(eR That is !hat are c m%anies seem t 'e asking and in the same 'reath trying t c n(ince y u a' ut& In ther ! rds* are y u the ,yundai accent !ner !h c mmands immediate res%ect !here(er she g es Iincluding fr the % tential fatherBinB la!J r are y u the sua(e executi(e fr m the Che(r let ad !h is e(er ready t share a m ment !ith l (ed neR 8ith a %leth ra f ne! m dels in the market* and generic 'enefits Isuch as s%ace r fuel efficiencyJ f a %articular car segment hardly a distinguishing fact r 'et!een car m dels* marketer are increasingly
((

differentiating n the em ti nal %ayB ff a %articular car m delQ'rand %r (ides t the cust mer& This* f c urse* (aries fr m the segment t segment and als n h ! l ng a %articular m del has 'een in the market& H r instance* !hile ad(ertising f r entry le(el r smaller cars tends t f cus m re n the rati nal r functi nal 'enefits f the (ehicles* the differentiati ns is increasingly n the em ti nal 'enefits !hen it c mes t high end cars&O0enerally* it has 'een seen as ne m (e u% the (alue chain* the differentiati n is m re n the em ti nal %ayB ff& 2e %le 'uy car as an extensi n f their %ers nality rather than 9ust features& A car* in India* hel%s 'uild u% sh ! ff* s cial esteem (alue& The ad(ertising ! uld a l s ( a r y a c c r d i n g t t h e s e g m e n t ! h i c h n e i s t a r g e t i n g * P h e s a y s & H r i n s t a n c e * t h e Che(r let 5%tra ad I!hich de%icts a y ung hus'and dri(ing his !ife t see the m n n the ccasi n f Gar(achauthJ sh !s an 5%tra c nsumer as s me ne !h 'elie(es in family (alues and indulging l (es nes&O8e find that ty%ically %r file f an 5%tra c nsumer is s me ne !h is in the age gr u% f /#BA#years and has a chauffeur& ,e 'uys a car n t nly f r himself 'ut als f r the family and tries t make u%* f r n t 'eing a'le t s%end en ugh time* 'y indulging l (e nes*P % ints utdated& The % siti ning g es !ell !ith the c m%anies catch lines f Of r a s%ecial 9 urney called lifeP& ,igh end car maker Sk da aut t * thr ugh its ad(ertising* attem%ts t c nnect !ith its c nsumer n em ti nal le(el& OCar is the extensi n f the %ers nality and ur ad(ertising sh !s the c nsumer t 'e y uthful* imageBc nsci us and e(en 'it a mach & The cam%aign 9 intly made 'y Sk da.s marketing de%artment and ad agency I-T8 n t nly c mmunicates the <uality f the 'rand 'ut an a%%reciati n f r the finer things in life& The target Sk da c nsumer is a SEC A7* %rimarily male* 'usinessman r s me ne in the seni r management* Osays Shashank (aid* manger ImarketingJ* Sk da Aut India& Surely* image 'uilding d es c me higher in the c nsumer.s scheme f %ri rities !hen 'uying a ne! car than e(er 'ef re& The im% rtance f 'rand image has risen shar%ly in the last fe! years& At the segment le(el* the increase in im% rtance is greater f r the midBsi@e cars* indicating the rele(ance f 'rand am ng the m re ex%ensi(e market segments& The manufacturer need t f cus m re h ! c n s u m e r s % e r c e i ( e t h e m a s f f e r i n g e x c i t i n g c a r s a n d ' e i n g c m m i t t e d t ! a r d s t h e m & C ntem% rariness f m del has a 'ig im%act n %urchase decisi n& The %erce%ti n f the car in terms f its %erf rmance and design* <uality* sales* after sales* c st f !nershi%* a%art fr m 'rand image* all im%act u% n the %urchase decisi n&P -rand image is n t dri(en 'y g d ad(ertising al ne 'ut is significantly im%acted u% n 'y the cars %erf rmance and design* <uality* and the c st f !nershi%& Am ng the three* %r duct <uality has the highest c rrelati n !ith 'rand image& Small car 'uyer seeks ca%a'ility in ad(ertising* and fuel efficiency is relati(ely m re im% rtant t them& Techn l gy* inn (ati n* and g d influence %remium midBsi@e 'uyers& 5ne reality f r us in India is that the market is extremely %riceQ(alue c nsci us& 8hile making %urchases 'ased n a' (e* there is rati nalised* !hich d es ha(e an im%act n the decisi n n a %articular make and m del f car& -e it rati nal r an em ti nal decisi n* c nsumers ! uld ha(e t think as a 'e(y f ne! m dels fl d the Indian market&

(.

C,A2TER #C :UXURY CAR SE0ME3T

:uxury (ehicle is a marketing term f r a (ehicle that %r (ides luxuryB %leasant and decent desira'le features 'ey nd strict necessity at increased ex%ense& The term suggest a (ehicle !ith greater e<ui%ment* %erf rmance * c nstructi n %recisi n* c mf rt* design ingenuity techn l gical inn (ati n r features that c n(ey 'rand image* cachet* status* r %restige r any ther feature r c m'inati n f features& Aut m 'ile manufacturers market s%ecific makes and m dels that are targeted at %articular s ci Bec n mic classes* and thus Ms cial status came t 'e ass ciated m re !ith a %articular (ehicle than !nershi% f a car %er seP& Theref re* aut makers differentiate am ng their %r duct lines in Oc llusi nP !ith the car 'uying %u'lic&

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8hile a high %rice is the m st fre<uent fact r* it is Mstyling* engineering* and e(en %u'lic %ini n !hich cars had the highest and l !est status ass ciated !ith them&ME(ery era in aut m 'ile hist ry has had Ma gr u% f car mar<uees and m dels that ha(e 'een ex%ensi(e t %urchase* due t their alleged su%eri rity f their design and engineeringP& Aimed at !ealth 'uyers* such aut m 'iles might 'e generically 'eing termed luxury cars& MThis term is als used f r uni<ue (ehicles %r duced during Man era !hen luxury !as indi(idualistic c nsiderati n and c ach! rk c uld 'e tail red t an !ner like a 'es% ke suit&M Alth ugh there is c nsidera'le literature a' ut s%ecific mar<uees* there is a lack f systematic and sch larly ! rk that Manaly@es the luxury car %hen men n itself&P Th ugh !idely used* the term luxury is 'r ad and highly (aria'le& It is a % e r c e % t u a l * c nditi nal and su'9ecti(e attri'ute and may 'e underst d differently 'y different %e %leCM8hat is a luxury car t s me&&& may 'e D rdinaryD t thers&M

#&7 Characteristics :uxury cars tend t c unter%art& ffer a higher degree f c mf rt than their mainstream

The various characteristics of luxury cars are:

The im% rtant characteristics include genuine leather u%h lstery and % lished ! d grain l k dash' ards& The luxury cars n ! a day ha(e traditi nally em%hasi@ed m re n c mf rt and safety& :uxury (ehicles are als a status sym' l f r c nsum%ti n& C ntem% rary luxury cars als ffer higher %erf rmance and 'etter handling* !hich is ften k n ! n a s s rt& 3e! safety techn l gies and c mf rt amenities* such as antiBl ck 'rakes* electr nic sta'ility c ntr l and 1V1 entertainment systems* 'ef re they trickle d !n t mass market cars& 3umer us Msmart carM features are largely nly f und n luxury cars as f "++6&

Eur %ean mar<uees like Mercedes -M8* and Laguar ha(e alm st ne(er ad %ted fr ntB!heel dri(e and retained a lineBu% m stly r entirely made u%&

C,A2TER )C :UXURY CARS I3 I31IA

)&7 -M8
-M8* the manufacturer f ! rldBfam us R llsBR yce cars* has fficially entered the Indian car market& -M8 * India !as set u% as a sales su'sidiary in 0urga n in "++) t s%earhead the f rmati n f its dealer net! rk* and f ll !ed it cl sely 'y setting u% a stateB fBtheBart assem'ly %lant in Chennai in Lanuary "++>&-M8 A0* r -ayerische M t ren 8erke A0* !as initially a 0erman aircraft engine manufacturing c m%any& In 7676* they turned t land (ehicle engines* and in 76"> 'uilt their first -M8 car christened -M8 /Q7#& H r the greater %art f the %ast century& -M8 Car hassled the ! rld in creating cars f r the rich& Exce%ti nal
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design c nce%t and elegance has al!ays 'een a %art f the -M8 cars&-M8 Cars in India %ut inn (ati n* intelligence and techn l gy t ensure the safety and dri(ing c mf rt f its %r ud !ners& -M8 India c m%etes !ith its ri(als 'y exhi'iting % !erfully %erf rming (ehicles and ha(ing a slight edge (er the thers& BMW !"# $!%%I&' I& T() %*+*", !" #)'M)&T

)&7&7 -M8 / SERIES

The smallest f the -M8s in India* the / Series is a highly c m%etent entryBle(el luxury sedan& As is the case !ith all cars fr m the -a(arian mar<uee the / Series is a car that %acks in su%er' %erf rmance !ith highBend features& 8ith uni<uely -M8 design* the / Series c mes !ith f ur engine %ti ns B the inline A /"+i* inline ) /"#i* the inline ) //+i and the inline A /"+d& E<ui%%ed !ith i1ri(e multimedia techn l gy* %erfect handlingBsteering %recisi n and % !erB%acked %erf rmance* the / Series is t 'e ex%erienced t 'e 'elie(ed& The / series in an ex<uisite s% rts sedan a(aila'le ' th in %etr l and diesel& It falls in the luxury segment& The exteri r exudes c nfidence and a % !erful fl ! f ex%ressi n& The indi(idual exteri r details dis%lay elegance that re(eals themsel(es su'tly t the eyes& The / series !ith its %etr l and diesel (ariants targets the u%%er middle class and the rich Indian c nsumer !ith -M8 cars ha(ing a %rice range 'et!een ru%ees t!enty fi(e and thirty lakhs.

)&7&" 2rices f -M8 / series

BMW - #eries ar .rice %ist / luxury car from BMW Variants -M8 / series /"+d c r% rate editi n -M8 / series /"+i -M8 / series //+i -M8 / series /"+d highline -M8 / series /"?i 2rice range Rs "A*A+*+++ Rs ">*?+*+++ Rs //*6#*+++ Rs /7*#+*+++ Rs /"*++*+++
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)&" Mercedes -en@

Mercedes-en@ cars fficially came t India in 766A in c lla' rati n ! i t h T e l c & Traditi nally* Mercedes-en@ cars ha(e c nsistently catered t !ealthy * rich*and su%erBrich c nsumers& The manufacturerDs name kee%s n changing* 'ut MercedesB-en@ cars remain MercedesB-en@* f r the MercedesB-en@ name has a greater 'rand relati nshi% !ith ! rld c nsumers than their manufacturer.s current c r% rate name B 1aimlerB-en@* 1aimlerBChrysler* r 1aimler A00 2 %ular Mercedes -en@ sedan car %rices range 'et!een ar und ru%ees t!entyBnine lakhs t MercedesB-en@es at a 'it a' (e ne cr re thirty lakhs ru%ees& Mercedes Ben1 presence in India
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MercedesB-en@ has 'een ass ciated !ith India f r m re than #+ years& 2resently* MercedesB -en@ India.s engagement in India c (ers se(eral d mainsC aJ 'J cJ dJ : cal %r ducti n f MercedesB-en@ cars Making a(aila'le im% rted MercedesB-en@ cars C mmercial Vehicle %erati ns 0l 'al s urcing f aut c m% nents

#ocial Involvement of Mercedes2Ben1 MercedesB-en@ is als in( l(ed !ith s cialB riented %r grams acr ss India likeC
a) -i fuel fr m Latr %ha.

'J R ad safety %r 9ect f r children cJ Aut m ti(e educati n* etc& dJ Ca%ti(e aut m ti(e techn l gy research and de(el %ment

MercedesB-en@ India has 'een delighting cust mers !ith str ng 'rands and a !ide range f %r ducts e<ui%%ed !ith the latest in aut m ti(e techn l gy& The c m%any has 'een the %i neer f the luxury car segment in India !ith its ince%ti n !ay 'ack in 766#& It is the nly luxury car maker in India t ha(e such a !ide range f cars& The different ranges a(aila'le t day are the CBClass* C:BClass* C:SBClass* EBClass Sal n* EBClass C u%e* EBClass Ca'ri let* 0:BClass* MBClass* RBClass* SBClass* S:BClass* S:GBClass* and the May'ach&

2.(.1 Merce!es Be#, C 7Class (Se!a#)

Merce!es Be#, (Se!a#) The C Class Se!a# is the e#try le-el se!a# i# the l%)%ry segme#t. The C class is a sig#at%re stateme#t of the refi#e! a#! the % 'ar!ly mobile. The Merce!es Be#, C7Class 'ith its etrol a#! !iesel -aria#ts targets the % er mi!!le class co#s%mer 'ith Merce!es7Be#, car rices bet'ee# r% ees t'e#ty fi-e a#! thirty la&hs.
The Merce!es7Be#, C7Class is a# e#try le-el l%)%ry car i# the I#!ia# mar&et. 8irect com etitio# to the BM9 . Series a#! $%!i $0, the C7Class has remai#e! as the elega#t choice amo#gst the cars. Soli! b%ilt, classic goo! loo&s a#! 'ell a oi#te! i#teriors are sy#o#ymo%s 'ith the bra#! a#! this is 'hat !ri-es c%stomers to this car. $-ailable i# a choice of trim le-els a#! etrol a#! !iesel e#gi#e o tio#s, the C7Class is a !efi#ite 'ay to a##o%#ce that yo% ha-e i#!ee! arri-e! i# life. $!!i#g to this, The C7Class #o' comes i# 'ith a a#oramic s%# roof, $tte#tio# $ssist a#! a host of other feat%res.

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)&"&" 2ricing f Mercedes -en@

Variants C "++ C0I Elegance C "++ C0I A(antgarde C "++ C0I Elegance -lue EHHICIE3CY C "++ C0I A(antgarde -:ueEHHICIE3CY C "#+ C1I Elegance C "#+ C1I A(antgarde C "#+ C1I Elegance -:ueEHHICIE3CY

2rice range Rs& "?*/+*+++ Rs& "6*#/*+++ Rs& "?*#?*+++ Rs& "6*>6*6>+

Rs& /"*+/*#++ Rs& /"*?7*#++ Rs& /"*+/*+++

C "#+ C1I A(antgarde

Rs& /"*/+*+++
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-:ueEHHICIE3CY

)&/ Audi
The fam us DH ur RingsD B f Audi are sym' li@ed n its 'adge& It has ruled Eur %ean r ads since 76/"* th ugh Audi 'egan manufacturing in 7?66& The f ur rings Audi 'adge sym' li@e f ur %i neer car manufacturers f the f 0ermanyC Audi*

1G8* , rch and 8anderer& Audi A0 came fr m amalgamating these c m%anies in 76/"& Audi cars sym' li@e status and % r e s t i g e f r A u d i c n s u m e r s ! r l d ! i d e * a n d f r A u d i c n s u m e r s * Audi Cars a r e m r e ! rksB fBart than sim%le su%er efficient machines& An Audi car is a statement f !h By uBare& Audi are regarded as
.6

a sym' l f class* elegance and luxury& Audi India 'egan di(isi n

%erati ns in "++> as a

f V l k s ! a g e n 0 r u % S a l e s I n d i a 2 ( t & : t d & ' a s e d i n Mum'ai& the Indian elite as the 'est luxury cars f Audi AA* Audi A)* Audi f Audi

Audi cars n ! in India are fully im% rted r assem'led at the Auranga'ad %lant f Sk da Aut & Audi India is %r 9ecting its cars t t match their status& Audi cars are starting t fire the fancy f the rich Indian c nsumer and the u%%er middle class ! i t h t h e i r c u r r e n t r a n g e A ? * a n d A u d i 4 > s e d a n c a r s & Audi India is ex%anding the net! rk ru%ees thirtyBt! lakhs t a 'it a' (e ru%ees neBCr re&

dealershi%s acr ss Indian metr s& 2 %ular Audi m dels range in nBr ad %rice fr m 'el !

)&/&7 Audi AA
The "+7" Audi AA ranks / ut f "7 U%scale Midsi@e Cars& This ranking is 'ased n ur analysis f "6 %u'lished re(ie!s and test dri(es f the Audi AA& 8ith its shar% interi r and exteri r styling* a(aila'le allB!heel dri(e and g d fuel ec n my* the "+7" Audi AA is a (ia'le alternati(e t m re c stly ri(als& Hre<uent c m%aris ns are dra!n t ri(als such as the -M8 /BSeries* !hich test dri(ers ften c nsider t 'e the 'enchmark f r %erf rmance !ithin the class& Many say that the Audi AA may ultimately suit dri(ers 'etter in the real ! rld& OThe AA may 'e 'est in class* %eri d*P !rites Aut m 'ile Maga@ine& O2urists and !eekend racers !ill rightfully stand 'ehind the 'etterB'alanced -M8 /Bseries* 'ut f r the ma9 rity f 'uyers l king f r 0erman dri(ing dynamics* great design* and g ec n my* this may 'e the 'est 'et& d fuel

.1

)&/&" 2ricing f Audi

Variants Audi AA 7&? THSI 3e! Audi AA "&+ T1I multitr nic Audi AA "&+ THSI 3e! Audi AA /&" HSI ti%tr nic 4uattr Audi AA /&+ T1I 4uattr 2rices Rs "6*>7*A++ Rs "6*++*+++ Rs /7*))*A++ Rs /)*++*+++ Rs />*>"*+++

C,A2TER >C C53SUMER -E,AVI5UR TRE31S

.(

In the %ast* %restige !as due t real financial distance& At heart* luxury is a' ut exclusi(ity& T day* gi(en the rise in %urchasing % !er* luxury c nsum%ti n is n l nger reser(ed f r the fe!& This is a time in hist ry !hen the affluent masses are n l nger at a financial distance fr m luxury& -ut %restige and exclusi(ity has t 'e dri(en 'y distance ; exce%t this distance is n l nger financial* 'ut intellectual and cultural& A 'etter !ay t l k at the trends that exist in this market is t segregate them int categ ries* namely the marketing mix trends I%r duct* %rice* %lace* %r m ti nJ and c nsumer 'eha(i ur trends&

>&7 C gniti n t em ti n
The Indian c nsumer* t day* is influenced m re 'y the affecti(e c m% nents than 'y the c gniti(e elements& In the case f Mercedes -en@* the c m%any c mmunicates the str ng relati nshi% f the car !ith status* sn ' (alue and image& In the case f Audi* the c m%any c mmunicates sleek design and s n& , !e(er* it is n l nger necessarily true that cust mers !ill take the c gniti(e r ute !hile %urchasing a luxury car& Cust mers may (ie! Mercedes -en@* Audi and -M8 as %arity cars Ie<ui(alentsJ 'ased n c gniti n* and make the final ch ice 'ased n the affecti(e r ute& This is !here the trend takes us& The luxury 'rands ha(e taken this affecti(e r ute and try t e( ke em ti n thr ugh style and design& A re% rt says that Mercedes -en@ s ld /+++ cars in India in "++>* 'ut is ex%ecting a dr % in sales this year 'ecause Audi and -M8 ha(e entered the Indian market !ith m re stylish cars and the c nsumers. feelings t !ards these cars are extremely % siti(e&

>&" S%lurge f r Ks%ecial.

The m st im% rtant day f r an Indian is hisQher marriage* a cerem ny !hich has f r l ng seen %e %le s%ending f r the s%ecial day !ith ut hesitati n& 0i(en that the day 'el ngs t the 'ride and the gr m* %e %le are increasingly demanding the m st Bs%lurge a'le item that there can 'eS a term n ! syn nym us !ith luxury cars& That is !hyS increasingly rental c m%anies are %urchasing Mercedes and its likes B 'ecause there is an increasing demand f r the same fr m the Omarriage marketP& This trend shall c ntinue !ith enhanced demand* as the demand f r t h e d e m a n d f r t h e s e c a r s f r K s % e c i a l ccasi ns. !ill % e n e t r a t e t h e m i d d l e i n c m e categ ries in the c untry&

>&/ OIts mineP c nce%t

H r a c nsumer !h ch ses his h use and his ! rk%lace* the car I!hich is %r 'a'ly his m st %ri@ed % ssessi nJ !ill n t remain s mething he can.t ch se f r l ng& The future trends ! uld !itness cust mi@ed luxury cars entering the Indian market&

>&A A2 Trends
>&A&7 2r duct
..

Each f the c m%anies started ff in India !ith nly 7B" cars& Audi started !ith AA* -M8 !ith -M8 / series and Mercedes !ith C""+ and 1"#+& Mercedes started its %erati n in India in 766) and then sl !ly -M8 and Audi came in& The cars !ere im% rted as c m%letely 'uilt units& And the indigenisati n !as initially (ery less t the tune f "&# t / $&At %resentS the range f cars !hich a c m%any %r (ides in India is alm st e<ual t its full gl 'al % rtf li & Als * c m%anies started their %r ducti n units in the c untry& Audi started its %r ducti n in Auranga'ad and Mercedes has started it l ng ag in 2une& The c m%any 'ring in the cars as kn cked d !n units and assem'le them in India* thus sa(ing su'stantially n the c st f the 77+ $ im% rt duty f im% rt f luxury cars& Als the indigeni@ati n f the cars has increased fr m "B/ $ t m re than )+B>+ $& >&A&" 2rice The cars launched 'y Mercedes* -M8 and Audi !ere in the range f "+B/+ lakhs in the mid 6+s* a %rice range !hich !as syn nym us !ith extreme luxury& T day* n t nly has the range ex%anded t a%%r ximate the gl 'al % rtf li s* there has 'een a massi(e %lay !ith the fl r and ceiling %rices f luxury cars !hich is n ! "+ lakhs t alm st a cr re& The ultra luxury segment hasn.t made an inr ad in India* 'ut there ha(e 'een a fe! sales %er year !here the c nsumers im% rt the car& This has %r m%ted c m%anies like R lls R yce and May'ach t enter India& >&A&/ 2lace In the %ast* the luxury car c m%anies nly had 7B" dealers in the metr s* ma9 rly Mum'ai and 1elhi& 3 ! !ith the demand c ming in* n t nly fr m the metr s 'ut als the smaller Tier " cities* the num'ers f dealershi%s ha(e g ne u% su'stantially and the c m%anies are trying t ex%and as fast as % ssi'le& Als * since the cars !ere im% rted* the s%are %arts deli(ery !asn.t s g d& The lead time re<uired t get a s%are %art !as <uite high& T day c m%anies understand that the luxury c nsumer is a (ery demanding cust mer and is (ery %articular a' ut taking care f the car& 8ith the ex%ansi n f the dealershi% net! rk in the c untry* the %r 'lem f the s%are %art deli(ery gets 'etter& 3 ! the c m%anies ha(e a chance t 'uild cust mer l yalty thr ugh t tal cust mer satisfacti n& >&A&A 2r m ti n

.0

Hr m !hat used t 'e a minimal le(el f %resence in Indian Aut Ex% s* luxury aut m 'ile c m%anies are increasingly m (ing t !ards melding !ith the sua(e c nsumersC
a) Studi

-M8 in the c r% rate heart f 3ati nal Ca%ital Regi n !ith a %ur% se f

ca%turing share f heart

b) 2artici%ati n in fashi n !eeks and %h t exhi'its e&g& BAudi 87" 4uattr

%resented in :akme India Hashi n 8eek

c) 2r duct %lacement in - lly!

d m (ies* !ith the recent -M8 %lacement in OR ck

5nNP
!) Ass ciati n !ith lifestyle s% rts e&g&; Audi rgani@ing the Audi 4uattr cu% in India*

ass ciating !ith g lf and m t rs% rts&

>&# M (ing f r!ard

Alth ugh the gr !th in the luxury aut m 'ile segment is c m%ared t the recent Chinese markets* the f rces sha%ing the de(el %ment are <uite different in India and China& If China.s starting % int !as a slate !i%ed clean 'y Ma * India.s is a chalk' ard c (ered !ith myriad traditi ns* religi us 'eliefs* c l urful festi(als* a thereB'ut n tBthere caste system ; all se!n t gether int a ( cal dem cracy& If the task in China !as t fill a near (acuum* in India luxury 'rand ha(e t find a !ay t 'lend in !ith the milieu f l cal traditi ns& H r the same* !e de(el % a >B% int frame! rk f r seamlessly ca%turing India.s gr !ing fascinati n !ith luxury c nsum%ti nC
a) Res%ectC C nnect !ith luxury c nsumers as a selecti(e target& :uxury 'rands need

t res%ect this % int f difference in all interacti ns 'et!een the 'rand and the c nsumer&
b)

SegmentC Ackn !ledge luxury c nsumer su'sets& :uxury 'rands need t identify* differentiate and %ri riti@e the m st %r fita'le su'sets f r targeted strategies&

c) InsightC Identify !hat is im% rtant t the defined target& M ti(ati ns c uld 'e 'ased

n %ers nal and n nB%ers nal fact rs&

!) e)

C nnectC Assess !hich 'rand interacti ns really matter& H r exam%le* friends and family are an im% rtant influence n luxury c nsum%ti n in India& Ex%erienceC Esta'lish em ti nal c nnecti(ity& 1ee% and meaningful relati nshi%s need t 'e de(el %ed in rder t !in the Ks ul. f the luxury c nsumer&

.1

f) IndiannessC Em'race and cele'rate the KIndianness. 'rand& India has a (ery % !erful

and uni<ue identity* and this needs t 'e le(eraged !ithin a luxury 'rand c ntext&
g)

C nsistencyC Ad %t a truly h listic a%%r ach* t ensure that all 'rand interacti ns* !hether ad(ertising r cust mer ser(ice* are c nsistent !ith the 'rand % siti ning&

C nsumer -eha(i ur c nsists

f all human 'eha(i ur that g es in making %urchase

decisi ns& An understanding f the c nsumer 'eha(i ur ena'les a marketer t take marketing decisi ns !hich are c m%ati'le !ith its c nsumer needs& There are f ur ma9 r classes f c nsumer 'eha(i ur determinants and ex%ectati ns* namely* cultural* s ci ec n mic* %ers nal and %sych l gical& The s ci Bec n mic determinants f c nsumer 'eha(i ur c nsist f age* marital status* ccu%ati n* educati n* inc me* family si@e etc &Reali@ing the im% rtance f %assenger car industry in the %resent ec n mic situati n* the researcher has analy@ed the %erce%ti ns* and 'eha(i ur f c nsumers related t this %r duct& It is rightly saidS yesterday.s luxuries are t day.s necessities& ,ence in this digital ! rld* car is n l nger a luxury& Hr m the discussi ns made in the %re(i us cha%ters* there are certain %r duct attri'utes !hich are identified in the study as influencing the %urchase decisi n and satisfying the c nsumers& The gr !th in the % %ulati n f India and the increasing num'er f middle class c nsumers has attracted the attenti n f car manufacturers and marketers& The manufacturers and marketers !h study the 'eha(i ur f c nsumers and cater t their needs !ill 'e successful& It may 'e c ncluded that c nsumer 'eha(i ur has a greater r le t %lay in the :20 era f ec n mic acti(ities f r !hich a necessary sur(ey and research sh uld 'e c nducted in an efficient manner&

C,A2TER ?C 1ATA A3A:YSIS A31 I3TER2RETATI53

?&7 2rimary data c llecti n
The data !as c llected thr ugh <uesti nnaires fr m A+ cust mers& The c llected data are g ing t get analy@ed here 'y using ta'les and charts like %ie charts and 'ar diagrams& Hurther* the inferences are 'een made fr m the c llected data&

.2

3*)#TI4&&!I") 47J 8hich age gr u% is m st interested in 'uying luxury carsR Ta'le 7&7 Age 7?B"A "#B/A /#BAA A#B#A ## and m re T tal AnalysisC Acc rding t the res% ndents* Age gr u% f "#B/A is m st interested in 'uying :uxury cars that is ar und /A$ f ll !ed 'y Age 0r u% f /#BAA& 4"J 1 es %urchase f :uxury is car directly related t inc me le(elR Ta'le "&7 3 ) 7A 77 > " A+ f res% ndents

Ans!ers Yes 3 AnalysisC The result !as t tally ske!ed t

3 /> /

f res% ndents

ne side and res% ndents agree that 2urchase f

:uxury cars is t tally related t the Inc me le(el f an Indi(idual !hich is 6"$& 4/J Rank the f ll !ing %arameters n y ur %urchase %referenceR
.3

Ta'le /&7 Ans!ers 2rice 4uality A(aila'ility In( l(ement Rec mmendati n T tal 3 7+ 7# > # / A+ f res% ndents

AnalysisC M st f the res% ndents %refer <uality f ll !ed 'y %rice and a(aila'ility& This res% nse sh !s that cust mers are ready t %ay f <uality& 4AJ 8hy d es ne %ers n %urchase a :uxury -randR Ta'le A&7 Value 4uality Hlaunt (alue Interested in art Exclusi(ity AnalysisC In %ini n f res% ndents* ma9 rity f %e %le 'uy luxury cars 'ecause they !ant t flaunt their su%eri rity (er thers& H ll !ed 'y th se %e %le !h really ha(e taste f art and exclusi(eness f the luxury that is ar und /+$& 4#J Is the <uality f :uxury 'rands are m re su%eri r then thersR 3 / "+ > 7+ f res% ndents

Chart #&7

AnalysisC

.4

5ur assum%ti n is c rrect* a' ut >/$ f the res% ndents 'elie(e in the su%eri r <uality f luxury cars& 4)J Are ser(ices %r (ided 'y luxury 'rands is 'etter than thersR Chart )&7

AnalysisC A' ut >"$ f the res% ndents are f the (ie! that ser(ice <uality in luxury car 'rands is m re su%eri r then ther 'rands& 4>J 8hat is the fact r the effect m st !hile %urchasing a carR Chart >&7

AnalysisC The gra%h indicates that ma9 rly %e %le tend t see as 'rand f the car as the ma9 r fact r thata f f e c t s t h e ' u y i n g d e c i s i n f a c u s t m e r a n d t h e r f a c t r s t h at are t t a k e n i n t c nsiderati ns are engine % !er* sha%e* l ks* etc&

4?J 8hat are the fact rs that influence the ccu%ati ns in 'uying decisi nR Ta'le ?&7 Ty%es f 9 ' 2r fessi nals 0 (ernment em%l yees 3ri.s -usinessman 3 "A ) 77 6 f res% ndents 2ercentage A?$ 7"$ ""$ 7?$

.5

T tal AnalysisC

#+

7++$

Hr m the a' (e chart it can 'e f und that the A?$ cust mers are %r fessi nals* ""$ !ere 3RIKs& 46J 8hat is the %urchasing %attern f luxury carsR Chart 6&7

AnalysisC Hr m the a' (e chart it can 'e f und that ??$ f the cust mers ha(e n %re(i us ex%erience !ith 'uying luxury cars& 47+J 8hat are the s urces f inf rmati n t get t kn ! a' ut the luxury carsR Ta'le 7+&7

S5URCES Tele(isi n 3e!s%a%er 2ers nnel s urces 2r duct dem s sales re%resentati(es Ex%erienced users

35& 5H RES2531E3TS "" / ) " # 7"

2ERCE3TA0E AA$ )$ 7"$ A$ 7+$ "A$

06

T5TA: AnalysisC

#+

7++$

Hr m the a' (e chart it can 'e f und that AA$ !ere influenced 'y the TV ad(ertisement& "A $ influenced 'y ex%erienced users* 7"$ !ere influenced 'y 2ers nal s urces and 7+$ !ere influenced 'y sales re%resentati(es& 3e!s %a%er and %r duct dem s !ere influenced 'y )$ and A$ res%ecti(ely. 477J 8hat are the general fact rs that influence a cust mer %urchase decisi nR Chart 77&7

!nalysis: The a' (e ta'le sh !s that m st f the cust mers rates c mf rt as the m st im% rtant fact r f r %urchasing a car* then c mes mileage* style and %rice res%ecti(ely& C l ur is n t ha(ing that much influence n 'uying decisi n& 47"J 8hat are the cust mers %ini n n style f r %urchasing a luxury carR Chart 7"&7

01

AnalysisC Hr m the a' (e ta'le !e can see that* /A$ cust mers !ere highly influenced and )A $ !ere influenced 'y the style f the luxury cars !hile making their %urchase decisi n& The rest "$ !ere n t influenced 'y the style&

47/J 8hat is the cust mers %ini n a' ut c mf rtR hart 5-05

AnalysisC

0(

The a' (e chart sh !s that >+ $ cust mers !ere highly influenced and /+$ !ere influenced 'y the c mf rt and c n(enience !hile making %urchase decisi n& 47AJ 8hat is cust mer.s %ini n a' ut %riceR Chart 7A&7

AnalysisC The chart a' (e sh !s that A? $ cust mers !ere influenced and A"$ !ere highly influenced 'y the %rice& The remaining 7+$ !ere n t influenced 'y the %rice& 47#J 8hat is cust mer %ini n a' ut %rice f luxury carsR Chart 7#&7

0.

AnalysisC Hr m the a' (e ta'le !e can see that ?"$ cust mers !ere influenced and 7A$ !ere highly influenced 'y the %r duct features f luxury cars& A$ !as n t influenced 'y the %r duct features& 47)J 8hat is cust mer %ini n a' ut techn l gy !hile %urchasing a luxury carR Ta'le 7)&7 :e(el f influence ,ighly influenced Influenced 3 t influenced T tal 3 7A // / #+ f res% ndents 2ercentage "?$ ))$ )$ 7++$

Chart 7)&7

00

AnalysisC The a' (e ta'le sh !s that 7A$ cust mers !ere highly influenced and //$ cust mers highly influenced 'y the techn l gy& Remaining /$ !as n t influenced 'y the techn l gy& 47>J 8hat is cust mer.s %ini n a' ut 'rand image f luxury carsR Chart 7>&7

AnalysisC

01

The chart a' (e sh !s that )"$ f cust mers !ere influenced 'y the 'rand image !hile making their 'uying decisi n !hereas /?$ res% ndents !ere n t influenced 'y the 'rand image&

47?J 8hat is the %ur% se f cust mers 'uying decisi nR Chart 7?&7

AnalysisC The chart sh !s that 6)$ cust mers using their car f r %ers nal %ur% ses& The remaining A$ !ere using it f r fficial %ur% ses& 476J 8hat is the %ini n f cust mer a' ut after sales ser(iceR Ta'le 76&7

:EVE: 5H I3H:UE3CE ,ighly influenced Influenced 3eutral :ess influenced

35 5H RES2531E3TS 7) 7/ 7A )

2ERCE3TA0E /"$ ")$ "?$ 7"$

02

3 t influenced T tal

7 #+

"$ 7++$

Analysis This sh !s that /"$ cust mers are highly influenced !ith the after sales ser(ice f the c m%anies !here as there is a mere "$ cust mers !h aren.t satisfied !ith the after sales

?&" Sec ndary data c llecti n

03

Sec ndary data is data c llected 'y s me ne ther than the user& C mm n s urces f sec ndary data include censuses* sur(eys* rgani@ati nal rec rds and data c llected thr ugh <ualitati(e meth d l gies r <ualitati(e research. The recent gr !th in the luxury car market in India is much m re than mere market dynamics in a %articular car segment& It is a reflecti n f the changing lifestyle f the affluent class in the c untry& In India* the luxury car segment IA(erage 2rice "#B/+ :akhJ has 'een gr !ing at an a(erage rate f "+$ r a' (e during recent yearsS it seems t 'e least affected 'y the gl 'al financial crisis& 1uring ! rst recessi n %eri d !hen ! rld !as facing l ! market demand trends* Indian l u x u r y c a r s e g m e n t g r e ! a t " / $ t ) * ) > 7 ( e h i c l e s a c c r d i n g t t h e S c i e t y f I n d i a n Aut m 'ile Manufacturers ISIAMJ des%ite a +&#$ decline in %assenger car sales* t 77&+Alakh (ehicles IA%rilB1ecem'er "++? Re% rtJ& -ut financial year ended March "+7+ has s h ! n gr !th f aut m ti(e sect r u% 'y "#$ t 7#&") lakh (ehicles& This i n d i c a t e s %timistic sign f rec (ery f sect r& 8hile the Indian aut industry is ex%ected t gr ! at 7 > $ t 7 6 $ n a n a ( e r a g e * s a l e s f l u x u r y a n d s u % e r B luxury cars are ex%ected t g r ! ex% nentially& :uxury car segment acc unts nly f r /BA$ f t tal car sales in India& -ut !hat lures the internati nal ma9 rs is the fact that this segment is gr !ing at "#$B%lus I"++6salesJ* much higher than 7#B 7>$ gr !th registered 'y the small %assenger car segment (er the %ast fe! years& This gr !th f luxury car sales is dri(en ma9 rly 'y increased !ealthBcreati n !ithin a(erage Indian % %ulati n and the desire f indi(iduals t 9 in the milli naireBc l u ' ' y flaunting their !ealth& 0r !th f Indian ec n my has 'een faster than t h e r emerging ec n mies during recent times& 0l 'ally* India had the highest gr !thBrate I""&>$J f milli naire % %ulati n during the year "++>& India added "/*+++ milli naires fr m "++) t "++>* taking t tal figure t ar und 7"/*+++ milli nairesS !ealth as measured in US 1 llars I M e r r i l l : y n c h C a % 0 e m i n i R e % r t J & , ! e ( e r * d u r i n g r e c e s s i n * t h e c u n t r y n t i c e d a decline f /7&)$ in num'er f milli naires& -ut % stBrecessi n rec (ery !as much faster c m%ared t ther ec n mies& These num'ers are ex%ected t gr ! u% t 7*A+*+++ 'y the year "+7+& This r 'ust gr !th in the num'er f milli naires in the c untry* 'eing ne f the highest gl 'ally* %a(es the !ay f r further gr !th f the luxury car market& 0ra%h ?&"&7

0ra%h ?&"&"

In the %ast fe! years this gr !th f luxury car sales is dri(en ma9 rly 'y increased !ealthBcreati n !ithin a(erage Indian % %ulati n and the desire f indi(iduals t 9 in the milli naireBc l u ' ' y f l a u n t i n g t h e i r ! e a l t h & 0 r ! t h f Indian e c n m y h a s ' e e n f a s t e r t h a n t h e r emerging ec n mies during recent times&
04

0l 'ally* India had the highest gr !thBrate I""&>$J f milli naire % %ulati n during the year "++>& India added "/*+++ milli naires fr m "++) t "++>* taking t tal figure t ar und 7"/*+++ milli nairesS !ealth as measured in US 1 llars I M e r r i l l : y n c h C a % 0 e m i n i R e % r t J & , ! e ( e r * d u r i n g r e c e s s i n * t h e c u n t r y n t i c e d a decline f /7&)$ in num'er f milli naires& -ut % stBrecessi n rec (ery !as much faster c m%ared t ther ec n mies& These num'ers are ex%ected t gr ! u% t 7*A+*+++ 'y the year "+7+& This r 'ust gr !th in the num'er f milli naires in the c untry* 'eing ne f the highest gl 'ally* %a(es the !ay f r further gr !th f the luxury car market& In additi n* the a(erage age f an Indian milli naire has c me d !n t /#BA+ years fr m the earlier a(erage f #+ years& An increasing num'er f y ung entre%reneurs and %r fessi nals fr m (ari us fields are 'uying luxury cars and this affluent segment has 'een ' sting sales ( lumes& If !e l k int city!ise !ealth distri'uti n* the n rthern regi n in IndiaI c m%rising f cities like 1elhi* Chandigarh* :udhiana* Shimla* and LalandharJ c m%rises higher density f milli naire % %ulati n than rest f the %arts& This regi n theref re has the highest luxury car sales& After this c me* 0reater Mum'ai* Ahmeda'ad* 2une* and Chennai& These cities ha(e a luxury car sales %attern !hich is still higher c m % a r e t r e s t f t h e c untry& The hist rical regi nal sales data f luxury cars s ld in India* sh !s that /"B/#$ f the t tal are s ld in 1elhi regi n nly& This is % ssi'ly due t the %sych l gical %reference shift am ng the 3 rth Indian % %ulati n t sh ! ff their !ealth& 1elhi is f ll !ed in this list 'y Mum'ai* and 2un9a' state* !here :udhiana and Lalandhar are at the t % t! sl ts& 1elhi als ha%%ens t 'e the 'iggest market f r MercedesB-en@* Mum'ai ranks sec nd f ll !ed 'y the states f 0u9arat* Garnataka* Tamil 3adu and 2un9a'& This ge gra%hically distri'uted % %ulati n c uld 'e clustered int classes n the 'asis f (erall 'eha(i ural %atterns 'ser(ed in luxury 'rand c nsumers&

05

C,A2TER 6C C53C:USI53
The ad(ancing demand f luxury cars acr ss the gl 'e re%resents a %r mising trend t the gr !th f the aut m 'ile industry& The rising demand f luxury cars in India is a sign f %e %le getting richer day 'y day as !ell as their desires are als increasing and there is als increase in the s%ending % !er f the cust mer !hich sh !s that ec n my f India is als de(el %ing at a fast rate& There has 'een a "++ $ gr !th in the aut m 'ile industry in India es%ecially in the luxury segment and the s% rts car segment& 1ue t !hich Eur %ean luxury car makers are intr ducing m st f their s% rts cars m dels in India due t the rising demand and interest f the %e %le& Increase in dis% sa'le inc me f the %e %le has led t a different lifestyle& 3 !* the mindset f Indian c nsumer is a l t different& 2re(i usly* Indian c nsumers used t check the %rices f e(erything they ' ught& 3 !* the c nsumer l ks at the ex%erience f the c m%any during the 'uying %r cess& M re than %rice* 4uality matters& This %aradigm shift has als changed the !ay c m%anies l k at India& Sl !ly and steadily the luxury car market !hich !as in a (ery nascent c nditi n in India* is n ! c unting n 'ig re(enues fr m the c untry.s cust mers& 5f late* there had 'een a stee% increase in the luxury car market& Year "++6 rec rded a !h %%ing "#$ gr !th in the luxury car market& It ! uld 'e ne!s f r many f us that India ranks num'er 7 in ex% rting aut m 'ile c m% nents& The 0erman machines !hich ha(e fame all (er the ! rld use c m% nents !hich are im% rted fr m India& 3e! entrants like V lks!agen are g ing t heat u% the c m%etiti n e(en m re& Currently the fight is in 'et!een -M8 and Merc& 1es%ite 'eing a late entrant in the Market* -M8 has 'een successful in ca%turing a c nsidera'le am unt f market share& -ut* this fight 'et!een 9ust t! c m%anies is n t g ing t stay f r l ng as ne! %layers are entering the Indian market&

16

C,A2TER 7+C -I-:I50RA2,Y

7+&7 -i'li gra%hy ' ks

7& Marketing management ; 2hili% G tler* Tenth Editi n* 2rentice ,all India "& Meth d l gy f research in s cial sciences ; 1r& 5&R& Grishnas!ami T 1r& M& Ranganatham* Hirst Editi n* ,imalaya 2u'lishing , use& /& C nsumer -eha(i rB :e n 0& Schiffman and :eslie :a@ar Ganuk* 3inth Editi n* 2ears n Educati n& A& C nsumer -eha(i rB ,a!kins* -est and C ney* Eighth Editi n* Tata Mc0ra!B,ill& #& 5(erdri(eB 5ct 'er "+77 editi n %g n * 6?B7++& )& Aut carB Se%tem'er "+77 editi n %g n 7/?B7A7&

7+&" 8e'sites
1. 0athered inf rmati n related t

the gr !th f luxury car segment in India fr m

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(. !!!&'m!&c mQindia& .. !!!&mercedes&c mQ India& 0. !!!&audi&c mQindia&

7+&/ Annexure
A set f <uesti nnaire 47J 8hich Age gr u% is m st interested in 'uying :uxury carsR
a) 7?B"A 11

b) "#B/A c) /#BAA !) A' (e ##

4"J Rank the f ll !ing %arameters n y ur %urchase %referenceR

a) 2rice b) 4uality c) A(aila'ility !) In( l(ement e) Rec mmendati n

4/J 1 es %urchase f :uxury is car directly related t inc me le(elR

a) Yes b) 3

4AJ 8hy d es ne %ers n %urchase a :uxury -randR

a) b) c) !)

4uality Hlaunt (alue Interested in art Exclusi(ity

4#J 8hat <uality f :uxury cars is m re su%eri r then thersR

a) b) c) !) e)

Str ngly agree Agree 3eutral 1isagree Str ngly disagree

4)J 8hat are the ser(ices %r (ided 'y luxury 'rands is 'etter than thers R
a) Str ngly agree b) Agree c) 3eutral !) 1isagree e) Str ngly disagree

4>J 8hat is the fact r the effect m st !hile %urchasing a carR

1(

a) b) c) !) e)

Engine % !er Sha%e Accelerati n time : ks -rand

4?J 8hat is the %urchasing %attern f luxury carsR

a) Yes b) 3

46J 8hat are the s urces f inf rmati nR

a) Tele(isi n

'J cJ dJ eJ fJ

3e!s%a%er 2ers nnel s urces 2r duct dem s Sales re%resentati(es Ex%erienced users

47+J 8hat are the general fact rs influencing %urchase decisi n f the cust mersR
a) Style

'J C mf rt cJ Mileage !) 2rice C l ur

477J 8hat is the cust mer.s %ini n n style f r %urchasing luxury carsR aJ ,ighly influenced 'J Influenced c) :ess influenced

47"J 8hat are cust mer.s %ini ns a' ut c mf rt f r %urchasing luxury carsR aJ ,ighly influenced 'J Influenced cJ 3 t influenced

47/J 8hat are cust mer.s %ini ns a' ut %rice f r luxury carsR aJ ,ighly influenced
1.

'J Influenced c) 3 t influenced

47AJ 8hat are cust mer %ini ns a' ut %r duct features f r luxury carsR aJ ,ighly influenced 'J Influenced cJ 3 t influenced 47#J 8hat are cust mer.s %ini ns a' ut techn l gy f r luxury carsR aJ ,ighly influenced 'J Influenced cJ 3 t influenced

47)J 8hat are cust mer.s %ini ns a' ut 'rand image f r luxury carsR aJ Yes 'J 3 47>J 8hat is the %ur% se f 'uying decisi n f cust mers f r luxury carsR aJ 5fficial 'J 2ers nal

47?J 8hat is the %ini n f cust mers a' ut after sales ser(ice f r luxury carsR
a) b) c) !) e)

,ighly influenced Influenced 3eutral :ess influenced 3 t influenced

10