Académique Documents
Professionnel Documents
Culture Documents
PROMOTION
Of
Good Year Tyres
INTRODUCTION
The tyre industry is largely dominated by the organized sector, the unorganized
sector is predominant with respect to bicycle tyres. The sector is raw-material
intensive, with raw material accounting for 70% of the total costs of production.
The major factors affecting the demand for tyres include the level of industrial
activity, availability and cost of credit, transportation volumes and network of roads,
execution of vehicle loading rules, radicalization, retreading and exports.
The Indian Tyre industry is expected to show a healthy growth rate of 9-10% over
the next five years, according to a study by Credit Analysis and Research Limited.
Goodyear has now produced tires in India for more than 45 years, with two big
manufacturing plants, one near Delhi and other in Aurangabad, Maharashtra.
Goodyear India Ltd. can proudly point out that it was they who launched the very first
Indian-made tubeless radial back in 2002.
Currently, radials account for 90% of passenger car tire market, 11% of the light
truck tire market, and only a very small 2% to 5% of the (heavy) truck tire market.
Marketing of GY as a brand
Commerci
al Vehicles
Others
Passenger
Vehicles
MHCV
HCV
LCV
Farm
Vehicles
Scoot
ers
Cars
Motor
Cycles
OTR
Industrial
Vehicles
Segments that GY is in
Tyre
Industry
Commercial
Vehicles
MHCV
HCV
Others
Passenger
Vehicles
LCV
Farm
Vehicles
Cars
Scooters
Motor
Cycles
OTR
Industrial
Vehicles
Further Segmentation
OTR are capable off driving on and off paved or gavel
surface. E.g. Airplanes, Mining and Agro vehicles etc.
On road includes all vehicles you see on road including
Trucks, Cars, Bikes etc.
OET as explained in the diagram are wider ,expensive &
provided better traction .
Replacement Tires: These are those tires that customers of
vehicle companies, replace their tire with, when the OE tires
are worn out.
Goodyear is a market leader in OE including Tractor and
Mining tires and second to leader in replacement tire
market.
Channel Distribution
Continued
Which practice they follow depends on the type of market, e.g.: In an off
season you can push through distributer but not via dealer
All dealers dealing with the Company will have to maintain Security Deposit
with the Company.
The minimum amount of SDS is Rs.1.00 Lac (one lac) for all dealers
dealing in Truck/Non Truck/all other categories.
The minimum amount of SDS is 0.50 Lac (fifty thousand) for dealers not
dealing in Truck/Specialty
Helps
Increment
To
To
GY faces Vertical Conflict and its conflicts with its independent dealers have
decimated the firms replacement tyres sales.
Platinum Members:
A platinum club which consists of its top dealers.
They are invited to all tyre promotions, dinners
and other events that happen in the region. Their
feedbacks are considered important for
companies marketing strategy.
If a VP visits that region he also visits the Dealers shop. Apart from this they
are invited to the annual conclave for sharing the corporate vision and the
plan for the next year with them. These annual conclaves are held in foreign
countries where the dealers are given fully paid trips
Gold Members:
The Rhino Gold club of dealers is a toned down version of the platinum
club. It is for the dealers who show promise but yet are not big enough to be
accommodated in the Platinum club. They also have CRMs installed in
their systems like the platinum members.
3) Referral Program
This is similar to all the other
referral programs where an
intermediary refers another and
if arrangements work out, then
some rewards are granted to the
referring party.
4) Chairmans Club
Here they have something
called the Chairmans Club, where
distinguished intermediaries are
invited a party is thrown every
3 months and are addressed by the
leadership on concerning issues.
This is considered prestigious to be
a member of this club
Innovations in Channel
Promotions
1)
Goodyear Farm and Commercial teams made several visits to dealers and customers
across the country. The management team during its visit, affirmed Goodyear's intent of
getting as close as possible to the customers through regular and frequent customer
meets
The associate dealers were positive about the impact of various initiatives being taken by
Goodyear to take the business to new heights.
1)
Goodyear recently announced the launch of an exceptional new phone application for
Indian customers - Goodyear 'Highway Helper'. It allows fast access to important phone
numbers (emergency, police, tow trucks, taxis, dealers, etc.) and also provides tire
dealer information, car maintenance, vital information on troubleshooting guides, safe
driving tips and even offers interactive mini games.
Goodyear India launched this initiative in collaboration with RACE - India's leading onroad repair service provider.
Competitor Analysis
SWOT Analysis
Strengths
1) It is a 200 year old company, with 5 yrs in India
and has a strong brand name.
2) Adaptations to change in market scenario is
strong.
3) Healthier steps are been strongly initiated and
outcomes are awaited.
4) Channel Conflict resolution strategies are
innovative and have shown results.
5) Leader in tractor and mining segment, thus
vowing distributers are easy n replacement
market
Weaknesses
1) Penetration level is less.
2) Intense competition for channels in the tyre
industry makes market share constant
3) Reputation not good as compared to
competitors related to friendliness to
intermediaries.
4) Prizing strategy gives dealers a lesser margin.
5) Innovations in channel marketing.
Opportunity
1) Most of the segments in India are untouched,
that could be ventured into. E.g.: Two wheeler
and LCV segment.
2) Innovative and catchy advertising campaigns.
3) Access to highest level of technology
developed in US. The company thus has first
chance to bring new products in India which
impresses intermediaries.
4) Improvement in road infrastructure under the
new schemes by Gadkari would help reach
smaller town and would require a deeper
distribution network.
Threats
1) Price frequently changes, thus difficult to
woe distributers and dealers.
2) Competitors have innovative, friendly and
a larger distribution network as compared.
3) Cyclical nature of the automobile
industries.
4) Lack of infrastructure in rural areas.
5) Sales depends a lot on car and tractor
sales in an area.
Recommendations
They should have a proper HR system in place for the dealers and
distributers so that , they could have a feeling of belongingness
Steps should be taken like more training programs and special incentives
so that a singular message reaches the customers from different
intermediaries.
More associations with other firms could be made, to penetrate deeper into
the market and increase market share.
THANK YOU
BY :
SALONI RAMSISARIA (15DM131)
SANKALP JAIN (15DM133)
SATYA NARAYAN MISHRA (15DM135)
SHUBHAM KOGTA (15DM146)
SHUBHAM SAXENA (15DM147)