Maruti is teaching its parent company, Suzuki, a few lessons in brand stretching.
So you can now have a Maruti Suzuki at Rs 25 lakh. Who would have imagined this 10 years ago? It goes against the conventional laws of marketing that say it is always better to adopt a ‘top-down’ approach to serving a market rather than a ‘bottom-up’ one. Especially when the product is an automobile, which is largely about aspiration, achievement and status.
Well, the country’s leading automaker thinks otherwise. It’s taking convention by its horns and offering a mass-market badge at a premium price point. A perfect gift to itself on its 40th anniversary, and it’s also teaching its parent a few lessons in brand stretching.
Suzuki is accepted as an entry-level quality brand in most markets it operates in, and its attempts to go up the price ladder have failed. However, Maruti seems to be finding success. Of course, there were earlier attempts with the Grand Vitara XL7 and the Kizashi, but Maruti did not give up, and over the last 10 years, has slowly but surely moved up that ladder, by first breaching the Rs 10 lakh barrier and now the Rs 20 lakh barrier. Mind you, the new Grand Vitara is made only in India, for the world. That takes some doing for the 40-year-old child that wishes to flex its muscles now.
A bottom-up brand evolution is the toughest. It does happen in consumer durables with examples like Samsung, Vivo and Oppo amongst us, but very rarely when it comes to cars. So, clawing up with models like the Ciaz, Ertiga and XL6, directly battling with mainstream offerings from its more ‘global’ competitors has given it the learning, credibility and confidence to keep moving up. Today’s Indian buyer finds the Maruti Suzuki offer credible and competitive enough vis-à-vis more glitzy brands. It is no longer a ‘desi’ brand for the dull and drab economy commuter.
The design language is very expressive while the service offering continues to be its strongest pillar. But, as competition like Hyundai catches up and possibly also overtakes the narrative of being the cheapest to own, the product itself is now at par with the best the world has to offer. While some may say that Nexa has helped, I refuse to believe that, as the customer would have gone anywhere to buy a Ciaz or a Fronx.
Such a brand that stretches itself across product categories and price points, while retaining its core proposition, is what I call a ‘rubberbrand’. And Maruti Suzuki is a wonderful example of the same. Happy 40th birthday!
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