Marketing Mix - 4 P's and 5 C's Of MRF Subject : Marketing

1. -Rahul Kantak

2. Company Profile
 Type of business- Public ltd
 Nature of business – Manufacture, export and import.
 Products- Tyres, conveyor belts and paints.
 Establishment- 1949 in Chennai by K.M.Mammen
Mappillai.
 Headquarters- Chennai

3. MARKETING MIX
Analysis of the 4P’s:
PRODUCT:
The basic definition of a product is anything that can
be offered to a market to satisfy a want or need.
 MRF differentiates itself from the competition, on its
two pillars of High Quality and Endurance.

5. Place:
 7 plants located in various places in South India.
 2,500 outlets in India and exports to over 65 countries
worldwide.
 Its distribution channels include:
 Factories
 Divisional And Regional Distribution Centers
 Carrying And Forwarding Agents
 Dealers

6. Price
 MRF has been a leader in the Passenger Car tyre
segment.
 By virtue of their market share, they have traditionally
been price makers.
 The rest of the tyre industry has followed the pricing
cues set by these leaders.
 Markup pricing is the common pricing method
followed across the tyre industry.

7. Promotion
 Excellent brand recognition in all categories of vehicles
in the tyre market.
 Sports celebrities and event endorsements- a major
vehicle for promoting their brand.

8. 5 Cs OF MRF
 Customer
 Company
 Competitors
 Collaborators
 Context

9. Customer
 Target customers
 Car owners
 OEMs
 Rural Market

10. COMPANY
 Undisputed market leader and market share of 24%
 MRF has created a formidable product line, length and breadth to serve
every segment of the industry
 MRF offers tyres for the following vehicle segment:
 Passenger cars, Two-wheelers, Heavy commercial vehicles, Light
commercial vehicles, Of the road vehicles and Farm vehicles
 MRF does its brand promotion through sports celebrities and event
endorsements
 Exports to over 65 countries worldwide that accounts to 12%

11. COMPETITORS
 Basis of competition
 High performance tyres and durability
 Comfort tyres
 Price
 Grip
 Cornering and braking
 Competitors
 CEAT
 J.K tyres
 Bridgestone
 Goodyear
 Apollo tyres

12. COLLABORATORS
 Tie-ups with
 Maruti
 Mahindra and Mahindra
 Tata Motors
 General Motors
 Collaborative incentives
 Assured supply
 Assured quality
 Just in Time supplies

13. CONTEXT
Economic environment
 Unresolved tax issues
 Increasing costs of raw materials
 Import restrictions
TECHNOLOGICAL environment
 Indigenous development of r radial technology
 Market entry by international players

14. SEGMENTATION, TARGETING AND
POSITIONING IN TYRE INDUSTRY
 Basis for segmentation
 Selecting the target market
 Differentiation and positioning strategy

16. Points of Parity
 Quality
 Safety
 Durability
 Grip
 Cornering and braking
 Ride comfort

17. Points of Difference
 High endurance tyres
 High performance tyres

18. MARKETING STRATEGIES
 MRF: Masters at Pull strategy
 Publicity campaigns and ATL promotional methods.
 Pioneered the practice of heavy advertising and
promotion in the tyre industry

19. SWOT ANALYSIS

20. Strengths Weakness
 Innovation
 Loyal customers
 Low R&D
 Market share leadership
 Strong financial position  Rising Rubber Price
 Supply chain
 Reputation management
Opportunites Threats
 Acquisitions  Competition
 Emerging markets and  Cheaper technology
expansion abroad.  External changes
 Product and services (government, politics.
expansion. Taxes, etc)
 Price wars.