Scorpio from Mahindra: a Brand Positioning Decision
EXECUTIVE SUMMARY
This case addresses the issue of which positioning strategy Mahindra and Mahindra should adopt in order to ensure that all its strategic objectives are met and it garners enough market share to assume the position of market leader once again. This decision is to be taken at a time where the Indian Automobile industry is in a state of change. M & M’s portfolio mainly consists of utility vehicles that are meant for the rural and semi-urban consumer. But these markets are seen to be either declining or shrinking. They have decided to penetrate the urban markets and their first move to achieve this was the re launch of Armada as Mahindra Bolero, a fairly successful vehicle. M & M has now invested a substantial amount of money and designed a new product from scratch under Project Scorpio. The price point has been decided, the design and features have been decided upon and it has been decided to name the vehicle Scorpio from Mahindra after extensive consumer research. This leaves the decision of positioning, which is what the case deals with in detail.
SITUATION ANALYSIS
The Indian Automobile Industry was in the process of a change. Consumer tastes and preferences were changing as well as the competitive scenario. Mahindra and Mahindra had decided to redesign its brand portfolio to suit these changing needs and circumstances in order to halt the loss in market share and regain its leading position in the utility car segment.
THE PROBLEM
Some decisions have been taken and some still need to be taken. The decision problem is to come up with a positioning strategy for the new offering, i.e. Scorpio from Mahindra.
THE OPTIONS
1. To emphasize the involvement of customers in designing the new offer based on effective customer research.
2. To position the new offering as a vehicle that provided an ownership experience unprecedented in India.
3. To position the vehicle that could cruise on any type of road.
4. To position the vehicle as one
This case addresses the issue of which positioning strategy Mahindra and Mahindra should adopt in order to ensure that all its strategic objectives are met and it garners enough market share to assume the position of market leader once again. This decision is to be taken at a time where the Indian Automobile industry is in a state of change. M & M’s portfolio mainly consists of utility vehicles that are meant for the rural and semi-urban consumer. But these markets are seen to be either declining or shrinking. They have decided to penetrate the urban markets and their first move to achieve this was the re launch of Armada as Mahindra Bolero, a fairly successful vehicle. M & M has now invested a substantial amount of money and designed a new product from scratch under Project Scorpio. The price point has been decided, the design and features have been decided upon and it has been decided to name the vehicle Scorpio from Mahindra after extensive consumer research. This leaves the decision of positioning, which is what the case deals with in detail.
SITUATION ANALYSIS
The Indian Automobile Industry was in the process of a change. Consumer tastes and preferences were changing as well as the competitive scenario. Mahindra and Mahindra had decided to redesign its brand portfolio to suit these changing needs and circumstances in order to halt the loss in market share and regain its leading position in the utility car segment.
THE PROBLEM
Some decisions have been taken and some still need to be taken. The decision problem is to come up with a positioning strategy for the new offering, i.e. Scorpio from Mahindra.
THE OPTIONS
1. To emphasize the involvement of customers in designing the new offer based on effective customer research.
2. To position the new offering as a vehicle that provided an ownership experience unprecedented in India.
3. To position the vehicle that could cruise on any type of road.
4. To position the vehicle as one