Within a short span of time following the introduction of its Heavy Truck range into the Indian Market, BharatBenz has now overtaken Mahindra Navistar in HCV segment for the month of March in the last quarter of FY 2012-13. One of the major reason of this mini success is the strong acceptance by customers.
As per the study conducted by ACG, customers are accepting BharatBenz due to its price competitiveness, Cab comfort (highly recommended by drivers), powerful engine and less sound, better mileage and Captive finance. As the title of ACG’s best-selling Research Report implies “BharatBenz – The Game Changer”, we believe this is just the beginning of good times to come for the German giants in Indian Truck Market. Nevertheless this is just a warning shot of the big players on the segment.
25T Tipper and 31t Rigid Haulage contributes more than 50% of sales.
HCV product portfolio:BharatBenz vs Mahindra Navistar
Business Model Comparison
ACG Rating : BharatBenz
ACG Rating : Mahindra Navistar
It is notable that both of them have invested similar amounts in India, Mahindra around 4000 Crore and BharatBenz 4400 Crore Indian Rupees respectively. Mahindra Navistar lauched their first product n 2009, and they do posses substantial knowledge and understanding of the local market. On the contrary BharatBenz has only started its commercial operation in September 2012.
We believe it is inevitable that Mahindra should review its complete market and product strategy to get anything out of this market. More evidently they should also review the promotional and branding strategy, ACG report finds that their message is not often reaching the end user. Truck Industry is having specific requirement which OEM should realize and implement. Marketing ROI are having different formula and definition of each function.
Nicolas Fronteau, Operations Director of APEEC Solutions, Barcelona who is a technology Partner of ACG comments that " In this strategic context, it is crucial for MN to integrate an In-Vehicle Network that would allow them to play on truck variances and broad their options offering to gain market shares by providing the market with fast time-to-market trucks. "
Having said all these , BharatBenz should be consistent in delivering Customer Satisfaction and Product Performance in a highly competitive and dynamic Indian Truck Market. Adding to this a strong built on Brand Image and Marketing Strategy in near future will soon put BharatBenz as one of the dominant brands in India.