Company: BPCL
Agency: Saatchi & Saatchi
Brand Count : 187
Speed is India's first branded petrol.Launched in 2002 by Bharat Petroleum Corporation ( BPCL) , the brand assured in the concept of positioning and differentiation in the Petroleum marketing which was by nature a commodity.
Speed is marketed as a high performance petrol. Speed is the blend of petrol with high speed additives sourced from Chevron Texaco. The additives are expected to increase the performance of the vehicle.
The branding of petrol is more difficult than any other products because of the following reasons:
a. The customers are very price sensitive. With the petrol prices moving upw
ards always, spending a premium for branded petrol is a tough call for a customer.
b. There is no tangible benefit that branded petrol can offer to the customer. The advantage of using Speed will not be visible to the customer at the outset. The change may have to be noticed on the performance of the vehicle .
In that sense, Speed has been very successful in creating a niche in this market. The brand is said to be contributing 25% of the total petrol sales of BPCL. Speed is said to have 50% share in the branded petrol segment.
BPCL has carefully nurtured this brand. The brand name itself gives a headstart to the acceptability for the brand since Speed is linked to Performance. Speed is positioned as High Performance Petrol. The company has roped in Narain Karthikeyan as its brand ambassador. The TVCs and the print and outdoors reinforced the positioning of the brand as a performance booster. Narain's was a right choice for the brand since he personifies performance driving in India.
Speed has competition from Indian Oil brand: Extra Premium. Besides using Narain as its brand ambassador, BP also has other campaigns promoting the brand on performance . Speed also extended itself to include Diesel fuel under the Hi-Speed diesel brand.
Even before the launch of branded petrol, BP had initiated a corporate campaign " Pure For Sure" to position the company as one that provides the Purest Petrol/Diesel.The campaign was aimed at promoting retail outlets selling fuels. Another corporate campaign was " Energising Lives" aimed at raising the corporate image beyond fuel retailing. These moves were to preempt the competition arising out from private players like Reliance Industries entering the fuel retailing segment.
With fuel prices touching new heights and with customers looking for alternate fuel options, it will be tough for Speed to convince the customer to pay a premium for the brand.
The branding of petrol is more difficult than any other products because of the following reasons:
a. The customers are very price sensitive. With the petrol prices moving upw
ards always, spending a premium for branded petrol is a tough call for a customer.b. There is no tangible benefit that branded petrol can offer to the customer. The advantage of using Speed will not be visible to the customer at the outset. The change may have to be noticed on the performance of the vehicle .
In that sense, Speed has been very successful in creating a niche in this market. The brand is said to be contributing 25% of the total petrol sales of BPCL. Speed is said to have 50% share in the branded petrol segment.
BPCL has carefully nurtured this brand. The brand name itself gives a headstart to the acceptability for the brand since Speed is linked to Performance. Speed is positioned as High Performance Petrol. The company has roped in Narain Karthikeyan as its brand ambassador. The TVCs and the print and outdoors reinforced the positioning of the brand as a performance booster. Narain's was a right choice for the brand since he personifies performance driving in India.
Speed has competition from Indian Oil brand: Extra Premium. Besides using Narain as its brand ambassador, BP also has other campaigns promoting the brand on performance . Speed also extended itself to include Diesel fuel under the Hi-Speed diesel brand.
Even before the launch of branded petrol, BP had initiated a corporate campaign " Pure For Sure" to position the company as one that provides the Purest Petrol/Diesel.The campaign was aimed at promoting retail outlets selling fuels. Another corporate campaign was " Energising Lives" aimed at raising the corporate image beyond fuel retailing. These moves were to preempt the competition arising out from private players like Reliance Industries entering the fuel retailing segment.
With fuel prices touching new heights and with customers looking for alternate fuel options, it will be tough for Speed to convince the customer to pay a premium for the brand.
Related topic
Branding a commodity
Source:agencyfaqs,businessline
image source: agencyfaqs
what you said is right,but speed and xtra premium had lost its relevance in the price flucating petrol market.. no consumer is prefering to this product and also this product suitting only to some two wheelers. most of the mechanices recommend not to use and i also had my own experiance. i creating some trouble. so such type of segement wont sustain according to me. eventhough their will be lot of promotional activities comming in TVCs and other media..
ReplyDeleteI do not agree with the above posted comment on the usage of additives in petrol. As a Mechanical Engineer , I can assure you that the benefits are sure, although not tangible as mentioned rightly in Harish's column above. The benefits are Improved engine life, less polluting residuals, and better milage. If you care for your car, this is the one to look for. I would however by my experience recommend Xtra-Premium over Speed.
ReplyDeletei do agree with the statement mentioned above. i am a loyal customer of xtra premium for more than 3 years and i am satisfied with the performance of my bike. believe me it really works. if you care for your vehicle go for xtrapremium.
ReplyDeletehi guys is super unleaded petrol(shell) good for better millage and performance........
ReplyDeleteby using shell petrol does my bike's engine gets spoil(is that just a rumor or what) ......plz tell me
does super unleaded petrol (shell) helps to give more millage and performance too......
ReplyDeleteby using "shell petrol" does my bike's engine get spoil or its just a "RUMOR"