Ather s340 Electroc Scooter
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Marketing Plan Developed by our Group as part of EGMP at IIMB.
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Ather s340 Electroc Scooter
- 1. MARKETING PLAN FOR ATHER S340 EGMP33 BATCH, IIMB EGMP33156 Pritwin Peter EGMP33159 Rajesha Maiyya EGMP33160 Rakesh G. S. EGMP33163 Ravi Vaikuntachar EGMP33180 Srivatsa R.
- 2. 0 5 10 15 20 25 30 35 40 72.5 Lakh 74.4 Lakh 93.7 Lakh 1.2 Crore 1.3 Crore 1.4 Crore 1.5 Crore 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14 Units % of Scooters SCOOTER MARKET INDIA STORY ⢠Growing Trend of Two Wheeler Market ⢠Increasing percentage of Scooters in 2Wheeler segment ⢠Alternative against conventional scooters Source
- 3. ATHER ENERGY GAME CHANGER..!!! Electric scooters do not registration from RTOâs. This would create legal issues. The vehicles are not covered legally possibly not insured. Following issues need to be addressed. ⢠Easy Trading , unlike registered vehicles ⢠Accountability if an accident occurs ⢠Disposal of expired battery Source
- 4. ATHER ENERGY WHO ARE WE ⢠Ather Energy is a Bangalore Based Startup ⢠Incubated at IIT, Madras ⢠First funding from IIT Madras â INR 45 Lakhs ⢠Flipkart Adopted and Funded â USD 1 Million, helped redefine the scooters ⢠Second Round of Funding â USD 12 Million, Production and testing
- 5. WEAKNESS ⢠Startup with zero presence in Indian Giant Two Wheeler Segment ⢠Hindrance in replacing the existing After Service model ⢠High Vehicle cost for new entrant; twice the price of competition ⢠Customer mindset negative due to slew of failed EVâs ⢠Strong Competition from established OEMâs ⢠Potential Acquisition by OEM due to Financial Muscle Power ⢠Non availability of Test Drive experience for new customer ATHER ENERGY STRENGTHS vs WEAKNESS STRENGTHS ⢠Leveraging Existing Sales and Distribution network of Flipkart ⢠Significant cost Reduction due to Digital marketing since offering targeted for Metros and young generation ⢠Lightest Two wheeler in Indian Market with contemporary styling ⢠Government subsidy of up to Rs 28,000 (FAME) bringing in reduced price to customers ⢠Vehicle specification improving usability: 100 km mileage & 70km/hr VS 50 km mileage & 40 Km/hr offered by current competition
- 6. ATHER : S340 ENGINEERED BEAUTIFULLY..!!!
- 7. ⢠Top Speed 75KM/hr ⢠Equivalent top speed as Petrol Scooters ⢠In par to the Maximum city Drivable Speed ⢠Electric Scooter ⢠Free from Fuel prices ⢠Lithium Battery lasting upto 60000KM ⢠10 X Battery compared to other Electric Scooters ⢠Charges 8 X time faster ⢠Android Based personalized dashboard ⢠Navigation System â Unique Feature in any two wheeler ⢠Theft Protection ⢠Swift Pick up 0-60 in 11Sec ⢠All in 15 Kg of Weight ATHER : S340 FUTURISTIC SCOOTER..!!!
- 8. ATHER : S340 âGO SCOOTRIC..!!!â
- 9. ATHER : S340 Online Order & Door DELIVERY..!!! ⢠Launch Date 1st May 2016 ⢠Order your Scooter Online ⢠Door Delivery by Flipkart ⢠After sale service at your door step Proposed View on Flipkart page for Ather S 340 order placement
- 10. ATHER : S340 AND OTHERS..!!! ⢠Existing Indian OEM offering EV products like HERO Electric Ampere Yo EXL ⢠Petrol two wheelers â a known devil in the eyes of customer Honda Activa TVS Scooty Vespa
- 11. ATHER : S340 LIGHT ON YOUR POCKET..!!! S340 Ex Showroom Delhi Price INR 99999.00 0 20000 40000 60000 80000 100000 120000 140000 160000 180000 Ather S340 Yamaha Ray Hero Pleasure Vespa Suzuki Access TVS Scooty Honda Dio Honda Activa Insurance* Road tax Fuel Cost * Vehicle Cost ⢠Mileage 60KM/Lt , Total KM considered 60000 KM ⢠Insurance cost considered for 5 years, and Petrol cost as 70 INR /L ⢠S340 calculation 2.5 Units for 8hours full charge giving 75 KM drive , 2,5 units cost INR 10 Lowest in the Class for 5 years*
- 12. ATHER : S340 vs EVâs Models ATHER S340 Yo EXL Hero Photon Battery Life 60000 KM 50000 KM Battery Recharge Cycle 1.5 Hr 6-8 Hr 8 Hr Top Speed 75 Km/Hr 50 Km/Hr 45 Km/Hr Range Upto 100 Km Upto 55 Km Acceleration 0-60 in 11sec NA NA Sale Online Dealer Showrooms Dealer Showrooms After Sale Online Dealer Service Dealer Service Mobile Sync Android NA NA Weight 15 Kg 128 Kg 111 Kg Appearance Gen NXT Outdated Outdated Connected Features Navigation & Theft Protection NA Anti Theft Price ( INR) 99999 50171 52790
- 13. ATHER : S340 FOR YOU..!!! ⢠Age Group ⢠18-35 years ⢠Short Distance Travelers ⢠60-100 KM/Day ⢠Commuters to: ⢠Office ⢠Institutions like Schools, Colleges etc ⢠Techno & Environment Lovers ⢠First Android Sync ability ⢠First Personalized Scooter ⢠First Navigation & Theft Security Enabled Scooter ⢠Eco Friendly but better than Petrol ⢠CLEAN, SMART AND âCONNECTEDâ GENERATION
- 14. ATHER : S340 MARKETING SCHEDULE Launch on 1st May 2016 DIGITAL MARKETING CURIOSOTY GENERATION ⢠FACEBOOK ⢠TWITTER PRINT AD Leading Newspaper Jan 2016 AUTO EXPOâs PRE BOOKING ⢠On Flipkart PROMO & TEST DRIVE CAMPAIGN EV FUTURE Press Conference and PR Activities' My Next Scooter Campaign Corporate and Colleges Roadshow Eco Bikers Club Launch Customer Voice Campaigns Referral Campaign
Hinweis der Redaktion
- Marketing plan for Ather S340
- The above graph indicated the growth of India 2 wheeler Market. And within this Market the scooters have been growing steadily in percentage to an extend of 25% of the overall sales in 2013-2014 is only scooters. We are trying to find a product which can a be a replacement to conventional scooters which is primarily run on fossil fuels but does not lack in any of the features , in fact give some additional features which is never in this space.
- Besides the growing trend of , recently there has been a great drive in India for bringing down the emission levels especially in Major metroâs. for the same reason NEMMP has developed a scheme called FAME ( Faster Adoption and Manufacturing of electric (hybrid) Vehicles. This scheme also have a clearly laid out target of increasing the vehicle sale which is running on electric vehicle by 2020, besides reduction in of about 2 million tonnes emission it also aims at saving of 9500 Million Liter of fuel for other better uses. Indirectly this will also create more job opportunity which is very less in scale in comparison to today. Government under this scheme is expected to fund almost 800 Crore in the next coming two years to kick start this project in 52 cities identified in India along with all the major metros. More over all this macro benefit an electric vehicle owner has some privilege like no yearly insurance , no raod tax , and selling 7 buying of such vehicle becomes extremely easy.
- ATHER ENERGY is a vision by two Mechanical Engineer from IIT Madras who wanted to make use of their study into practice . They started of the project within the incubation cell of IIT Madras and went to the extend of patenting a Battery Management System which is the core to an electric and alternative source of scooter fuel. IIT madras Incubation cell was the first to provide a helping hand for this project where in they got 45 lakhs as kick start fund for building a CLEAN, SMART and CONNECTED Electric Scooter. It did not take much time for Flipkart , the major E commerce platform in India to adopt the project with an initial seed funding of 1 million USD. Which will help Ather to move to R&D and get the best. From R&D to production , Atherenergy has got an additional funding of 12 Mn USD for the Production Line Setup and testing of S340 in Bangalore.
- Other notes: The companyâs core competency is the fact that the vehicle specification promised is by far the best in the EV scooter segment. The technology used in the bike is patented thereby attracting Venture Capitalists. Also since the company is new, they were able to look at the failed EVâs with a fresh mindset and design the product from scratch rather than leverage existing technologies available in the market.
- S 340 is a scooter which is Engineered Beautifully for a complete CLEAN , SMART and CONNECTED Drive for the city commuters.
- Some of the Standout features are : Top Speed 75 KM/hr , this is in par to an 100-110 CC scooters currently available in India and moreover well within the maximum speed limits of City. The other fact it is not easy to find a space to drive at 75KM/hr also these days in any metros..!!! Also if you want to do a check with conventional electric scooters in India , S 340 is far more superior as it doe not go on a maximum speed of more than 40 KM/hr and for the same reason we do not see them a s a competition really. Also the battery in the case of S 340 is a lithium ion battery compared to Lead battery which is available in other electric scooters which need a replacement on every 5000-6000 KM. Lithium Ion batteries needs a replacement at the worst come scenario of 60000 Km and is super quick in recharging. S340 also come with a completely customized dashboard and UI and is Android based . The driver can set his personalized driving preferences and dashboard , which also incorporates navigation system and theft protection system unlike any two wheeler in the Indian market. All this super duty feature loaded vehich is so light as 15 KG, built on super strong aluminium body.
- Electric vehicle are usually slight aged looking vehicles in the current market, but for a change the S 340 is very futuristic looking and even more stylish than petrol scooters.!!
- With the many new Firsts, S 340 will also be the first ever bike which can be booked and ordered Online and Delivered Online through the Flipkart E commerce channel. This will help us to save us a huge amount by not having physical showrooms , which is a big saving for a startup like Atherenergy. On the other side using Flipkart Channel we can reach to breadth and length of the country virtually. As buyer at the context everybody will be worried on the aftersales service when there is no show room or service station. Since S 340 allows Android connectivity , on connecting to a internet source the scooter itself is capable of sending the error report with a push of a button making it self capable to daignoise the issue and send a trained professional to your door step again. This is going to be change from conventional approach , but since the change is in favour of the customers this will be challenging to the conventional customers moving on.
- Analyzing the threat of competition, Direct Competition: the existing market players like Hero, Ampere and TVS provide Bikes at half the price (Rs 40K or less) and have better sales and distribution network than this new entrant. However they are unable to sell as the market due to the low mileage experienced by the users. The bikes stutter within 30~40 Kms of usage, given a max speed of 30Kms/hr. Another major threat coming in for this bike would be a Japanese Bike maker: Terra Bike which is also provided similar specs and at the similar price range. For an end customer, both Terra Bike and Ather Bike are relatively new to the market, hence Indirect Competition: For Ather S340, the major competition would still be the Petrol 2-wheelers which are lower priced, known service history, lot of choices to the end customer and easy maintenance cost through local repair shops.
- S 340 is lowest in priced in India compared to any scooter currently available in market ..! How is that ..??? The above graph explains it all the cost of a scooter is not just the cost of the vehicle , the cost of fuel to run it , the road tax, the insurance cost etc..!!! But in case of S340 the cost of running it for 60000 Km is coming as low as 8000 INR..!!!!! Bingooo..!!! Thatâs probably even more you pay for fuel in case of petrol scooters in 6 months..!!! And with S 340 you do not have to keep the guilt of you contributing the polluting world..!!!
- A Self explanatory table of comparison of electric Scooters available in the Market. S340 is aiming to make a space in the conventional Petrol scooter market.
- S 340 is a city scooter where a person would like to travel 60- 100 Km a day , since S 340 is capable of doing a maximum of 100 Km on single charge this is the ideal choice for are going to college or offices. Which should be falling into the age group of 18 -35. These are also that segment of people who are usually make a choice or even dare to make a change in choice to Clean , Smart and Connected vehicles.
- The marketing Plan is to kick start form Jan 2016 , where the curiosity building is the main aim. The initial choice of Marketing will be purely on Digital front on social media platforms like Facebook, Instagram and web banners based on cookies. Moreover our target customer lies in between the age group of 18-35 are also expected to be the key internet users. Soon in Feb 2016 India Auto Expo will be the first media Launch . To build this momentum we will be engaging a couple of PR activities with major Magazines and portals like AUTOCAR, Bikewala.com, Gaadi , NDTV gadets etc .. The test drive campaign is scheduled from March targeting the local gathering location like Malls , Events etc. From April the vehicles can be booked online in Flipkart page . From May 1st the S340 gets delivered at your door step. The launch date being 1st May 2016 , it will be covering mass coverage on leading newspaper for Mass Audience. By June the plan is to have 1000 Scooters delivered and where we will be launching the My next Scooter campaign and referral campaigns. By August the focus will be on Colleges and Corporates by making free charging station where ever there is more than 25 number of S340 scooters. By Sept we expect to have 5000 units on road where we would like to host First ever Ec Bikers Club and Race across the metros. By December the Customer voice campaigns will be intiated.