Mahindra Gusto : Kisi Se Kam Nahi

Brand : Mahindra Gusto, Centuro
Company : Mahindra Two Wheelers

Brand Analysis Count  : # 559

I think, this is the first time I am writing on two brands in one post. Mahindra had launched its 110 cc scooter in 2014. The brand is going to compete with the likes of  Honda Activa, Access etc. Gusto is interesting brand because it calls itself as a car in two wheels ! 

Gusto is positioned on its car-like features. The brand pitches against the cars claiming that it has car-like features like height-adjustable seat, remote flip-key, LED pilot lamps, find-me lamps etc. The brand has based this theme on the insight that car-owners look down upon the two-wheeler riders ( source - afaqs). Hence the campaign of Gusto features car-owners mocking the Gusto rider and become surprised when they find that Gusto had car-like features. 

Gusto was initially launched with tagline " Break Free" and was positioned as a fun scooter. Now the brand has adopted the tagline " Kisi Se kam Nahi".

Another interesting fact is that Mahindra is promoting its motorcycle and scooter using the same concept. There is a common campaign for Gusto and Centuro and both these brands share the common tagline " Kisi Se Kam Nahi . 

Watch the ad here : Mahindra Two Wheeler ad

Along with this long ad, there are small ads featuring the various car-like features. 

The concept and the innovation creates a wow feeling. I think Mahindra two-wheelers has done well in identifying good differentiators. The brands can be proud of being pioneers in bringing in car-like features into two wheelers. 

Having said that, these features can be easily copied by the competitors and hence the extent of sustainability of this differentiation is limited. Since Mahindra Two-wheelers is trying to get a foothold in the market, these feature rich products will help the company very much; provided the brands succeed in the basic product functions like ridabililty , reliability , performance etc. 

Brand Update : Cycle Agarbatti ropes in Big B as Brand Ambassador

Cycle Agarbathies has roped in Amitabh Bachchan as the brand ambassador. The organized agarbatti market in India is worth around Rs 2400 crore, and Cycle has approximately 20% share of this market. The move for a high-profile celebrity endorsement is a strategy to take the brand to a national level. 

The brand also changed its slogan to “ Purity of Prayer”. The new commercial is well made, and BigB was able to pack an emotional tone to the brand. According to reports, the ads were created by Soojith Sirkar of the Piku movie fame. 

Watch the tvc here: Big B Cycle 

The agarbatti market that is highly fragmented is witnessing intense competition with the entry of ITC with the Mangaldeep brand.  In a market like this, distribution is the key since customers tend to experiment with new fragrances and brands. Cycle wants to play the game of branding and with a high profile endorser like BigB, the brand stand a good chance of gaining more share of mind in the market. 

Brand Update : Honda Relaunches Jazz

After withdrawing the premium hatchback Jazz in 2013, Honda has relaunched Jazz with an aggressive pricing. Jazz is an interesting marketing story of a brand which failed not because of product but pricing. Honda had priced out Jazz in its earlier avataar. Now the company had become very responsive to the value conscious nature of the Indian consumer. 

Jazz in the 2015 version has been priced upwards of Rs 5.31 lakh which makes a great value proposition in the segment. The Jazz will compete with i20 and higher version of Swift. The new aggressive pricing, new styling and the Honda brand equity will definitely boost the fortune of Jazz in the new launch. 

Also unlike the earlier brand-pull strategy of Honda, there is a marked change in the approach of the dealers towards sales. I casually inquired about the Jazz at Honda service center when I gave my car for service and has been getting sales call for Jazz. This marks a clear departure from the earlier " Take it or Leave it " approach.

The brand is launched with the tagline " Nothing Else is a Jazz " and is playing on the sporty features of the brand. 

Watch the ad here : Honda Jazz relaunch TVC

With aggressive pricing, new styling and with a diesel engine under hood, Jazz would further boost the share of Honda in India for sure. 

Brand Update : Liril is back with the original jingle and waterfall imagery

Liril is back . After messing up the once iconic brand, HUL has relaunched Liril with the classic jingle and the iconic imagery of a girl in a waterfall  immortalized 40 years ago  by the original Liril girl - Karen Lunel .

 After killing the freshness theme ( for whatever reasons) during early 1990s, the brand went into various positioning themes and later faded into oblivion. Now the brand is back to its roots.

Watch the relaunch here : Liril relaunch

While the relaunch brings back fond memory of this great brand to many of us, it may not ring the bell to the new generation. Nostalgia aside, the new ad is well made in the sense it is almost the same as the original ad.

The brand is positioned on the freshness platform and now has the tagline " Fresh is back ".

How ever, as a marketing enthusiast, I am happy for Liril to have made a come back. Kudos to HUL for biting the bullet and returning to the original positioning. 

This is also a lesson for brand managers who try to change positioning for the sake of change.

Brand Update : Maruti Suzuki tries premium push through Nexa

Maruti Suzuki which has a bear grip on the Indian passenger car market is desperate for a share in the premium car market. While the company has huge lead in the mid and small car segment, it so far has not been able to break into the premium segment ( 10 lakh above). Maruti had tried earlier with its Grand Vitara, Baleno, and latest Kizashi but failed to replicate the success of its affordable car range. 

Maruti Suzuki is now trying to go through the channel route to tap this segment. According to reports, the company is opening a premium channel named ( internally) as Nexa. Maruti plans to launch its premium cars  beginning with S-Cross through this channel. All cars which are in the premium segment will henceforth available only through Nexa. 

Further , Maruti believes that there is a perception that the brand " Maruti Suzuki" is very much linked to " affordability" and hence it will not be able to sell a premium car.   Hence all the new premium cars will now contain only Suzuki name . 

This is an interesting story because the company is now finding its greatest strength ( brand ) as a liability. So probably S-cross will be Suzuki S-cross and the company believes that Indian consumers will consider it a premium brand because there is no Maruti tag on it !! 

What may be hurting Maruti Suzuki management would be that premium brands like Honda are now making huge volumes by down-ward stretching ( launching products at lower price) and threatening some brands of Maruti. 

Maruti is now trying the trick of Japanese brands cracking the premium American car market. They have done through creating new brands like Lexus, Accura,Infinity which was positioned away from the mass market brands.

It is true that an affordable brand ( perception) would find it difficult to move up the value chain using the same brand name. So it makes sense when Maruti wants its premium brands to be kept away from the mass market brands. Here the assumption is that in Maruti Suzuki brand name, Maruti part is creating the perception and by removing the Maruti part, the affordable tag can be eliminated. I wonder whether that assumption holds true. Unlike Honda, Suzuki does not have that premium image in the Indian market. Suzuki brand in the two wheeler segment is not in the best shape and is not in the premium segment either. Hence just by launching a premium car sans Maruti name is not going to do the trick. As auto-expert Hormazd Sorabjee points out, the issue is more of design that positioning . None of the premium offering of Maruti had the wow factor expected out of a premium offering.

How ever, the new channel strategy would benefit the premium push because the premium brand is not sold alongside its cheap companions and better service can be delivered to the premium customers. The downside is that there is a possibility of channel conflict because existing dealers will not be able to sell high-margin cars using their current infrastructure.

According to reports, Maruti Suzuki has created a separate organizational structure for the premium category. It would be an interesting story to watch how Maruti will be able to break into the premium segment with the new strategy. 

Market Stat :ITC FMCG Brand share

From Business Standard