"About TVS Motors and its strategy"

1. TVS

2. HISTORY
 The TVS group was established in 1911 by Shri. T.
V.Sundaran Iyengar
 The TVS group is today leading player in Automobile
and Automotive Industry
 The group has 30 companies and employs more than
40,000 people
 TVS motor company is the largest among the group
companies in terms of size and turnover
 It is India’s third largest two-wheeler manufacturer
and one among the top ten in the world

3.  It has 15% market share in the two wheeler market in
India
 More than 15 million customers
 Product offerings in all segment of the two wheeler
and three wheeler segment in India
 Its products are exported to more than 50 countries

4. TVS Motor Company
Limited
Type Public
Industry Automotive
Founded 1978
Founder(s) Sundaram
Headquarters Chennai, India
Key people Venu Srinivasan
(Chairman & MD)
Products Motorcycles, scooters, three-
wheeler vehicles and spare parts
Revenue 74.34 billion (US$1.2 billion) (2012)
Profit 13.2 billion (US$220 million) (2012)
Parent Sundaram - Clayton Limited
Website www.tvsmotor.in

5.  Global plants of TVS:
1)Hosur in Tamilnadu
2)Mysore in Karnataka
3)Himachal Pradesh
4)Indonesia
 From Chennai they export 47 countries. They are
manufacturing nearly 1,00,000 – three wheelers per
annum in Chennai

7.  TVS has 500 dealers and 20000 authorized service
centers across India
 TVS has 5000 employees with more than 15 million
customers with passion and commitment

8. TAGLINE AND
LOGO
Inspiration in Motion

9. PRODUCTS

10. MISSION
 We are committed to being a highly
profitable, socially responsible, and
leading manufacturer of high value
for money, environmentally
friendly, lifetime personal
transportation products under the
TVS brand, for customers
predominantly in Asian markets and
to provide fulfillment and prosperity
for employees, dealers and suppliers.

11. VISION
 “Total customer satisfaction
by giving the customer the
right product, at the right
price, at the right time.”
 ”Sustain its cutting edge of
technology by constant
benchmarking against
international leaders.”

14. • August 2001 –
launched TVS Victor
Analysts – Although
6000 Victors were
sold in November
and December
2001
 Aggressive marketing
strategies were used
 Special attention to
skill development of
managers, sales officers
and service engineers
were given
 April 2000 – 1rst Indian
company to launch
150cc four stroke motor
cycle (Suzuki Fiero)
Successfully

15. STRATEGY
 Consolidation is the current theme of TVS Motors
 Before new models are rolled out the company seem
to be refocus and offer potential customers more
choice with the launch of new variants under the
existing budgets (attempt to offer more value to
customers)
 The new variant has been fined tuned based on the
Customer feedback
 110cc Victor GX  125 cc Victor Edge
(8.1bhp) (9.2bhp)

16. STP for TVS Motors
Segment
Middle income and lower income people who
want a bike that is stylish and gives a good
mileage
Target Group Middle class youth from the age bracket of 25-35
Positioning
Bikes which will bring a smile in the lives of
customers with all benefits within budget.

17. 1. Huge brand equity and one of the biggest players in the
two wheelers Indian market
2. Excellent R&D, and wide variety of products in every
segment
3. Excellent distribution and good number of service
centers
4. TVS Group has over 40,000 employees and a customer
reach of over 15 million
5. Associating itself with celebrity brand ambassadors
6. ‘Scooty’ as a brand has become a second name for the
scooterrate segment
Weakness 1. Absence in the premium bike segment
Opportunity
1.Two-wheeler segment is one of the most growing
industries
2.Export of bikes is limited i.e. untapped international
markets
Threats
1. Strong competition from Indian as well as international
brands
2. Dependence on government policies and rising fuel
prices
3. Better public transport will affect two-wheeler sales
Strength
SWOT Analysis

18. PESTEL Analysis
Political
1)Since its operating in different countries they
pay close attention to the political climate(law and
regulation)
2)It also pays attention to regional governing
bodies at local perspective
3)It strictly controls and regulates operation in all
dealership and subsidiaries

19. • Economic
1)Focus on each individual market and also inflation
rates
2)Domestic and International economy trends
3)Consumer and end user drivers
• Social
1)Lifestyle trends
2)Consumer attitudes and opinion
3)Consumer buying patterns
4)Marketing , advertising and publicity

20. Technological
1)Competing technological developments
2)R&D activity
3)Replacement technology and solution
4)Technological access, licensing and patents
Environmental
Legal
1)Tax policies
2)Consumer law
1)Environment protection law

21. GENERIC STRATEGY
Differentiation strategy
 Technological development and innovation.
 The deliver products and services with high quality within minimum budget
accordance with the targeted segment.
 Effective sales and marketing strategy which helps people to access the product
with better offers.
Cost leadership:
 Economical (Medium priced)
Focus
 Targeting the middle segment of the society
 Understanding the consumer needs and giving value to consumers
 Less attractive when compared to competitors but with high quality and
medium priced.

22. GRAND STRATEGY
GROWTH
 Integration  Forward and backward integration
 Diversification  Three wheelers and Two wheelers
STABILITY
More stabilized with its Two wheeler Segment rather
when compared with three wheelers
RETRENCHMENT
Cutting down the low moving vehicles which are
replaced with cutting edge technologies as per consumer
feedback

23. Thank you
Francis Rebisha E Yashodha MRohini A R