Maruti Suzuki's 'Kitna Deti Hai?' Campaign: Will it Deliver the Mileage?*

Abstract:

This caselet discusses the Indian automobile major Maruti Suzuki India Limited's advertisement strategy with specific reference to its 'Kitna deti hai?' set of television commercials. The emphasis of these commercials was on conveying the fuel efficiency advantage of MSIL's cars to potential customers. The company believed that its ads were in tune with the Indian customers' expectations and some analysts too agreed, saying that the campaign cemented MSIL’s position as the undisputed leader in fuel efficiency. Others questioned the campaign's ability to add value to MSIL's brand equity in the long run, saying that the ads reinforced the image of MSIL as a maker of cars for the common man and hence would hamper MSIL's chances in segments that offered higher margins.

Issues: » Advertising » Branding » Customer value proposition » Marketing communication Introduction In February 2011, automotive major Tata Motors tied up with retail conglomerate Future Group to sell its low-priced car, the Tata Nano (Nano), through the Future Group's consumer retail outlet – Big Bazaar . The partnership was a first-of-its-kind distribution strategy in the country wherein a car was being retailed through a super store. The Nano was displayed at 120 Big Bazaar outlets across India. Prospective buyers booking the Nano at a Big Bazaar outlet received gifts such as gold coins and vouchers worth Rs .1,500...

Questions for Discussion:

1. Critically analyze MSIL's 'Kitna deti hai?' ad campaign strategy. Will it strike a chord with a potential Indian car purchaser?

2. Critically examine MSIL's strategy of focusing on the total cost of ownership proposition in communicating with its potential customers. Will this communication strategy help MSIL retain its market leadership, both in terms of unit volumes and sales revenue?

3. Do you agree with critics that MSIL's new campaign will hamper its prospects in the higher end, high margin segments?

Key words:
Maruti Suzuki, Joint Venture, Suzuki Motor Corporation, Advertisement Campaign, Cost of Ownership, Brand Equity, Commoditization, branding

* This caselet is intended for use only in class discussions.
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