The Marketing Objective
Hero the world's largest, Iconic and a home-grown 2-wheeler company has ruled the market since decades. After the de-merger of Hero and Honda in year 2011, market witnessed new dynamics and Hero started facing heat from its biggest competitor Honda, who was anxiously coming closer. In end 2016, Hero had seen a Relative market share fall of 2% (59% to 57%) compared to previous year. And in 2017 too, the first eight months (non-festive period of Jan-Aug'17) had already witnessed another 1% decline in RMS. In a situation where loss of even one percent is a grave concern Hero lost 3% in last two years and therefore the next two months (September-October) which are the festive months in India were a make or break situation for Hero.
*RMS is calculated between Hero and Honda Market Share only.