exchange4media.com and Strategy Group, the Analytical Arm of TAM Media Research, jointly bring you a weekly column 'S-Group Insights' on Advertising Trends of different Product Categories. This column will be published every Tuesday and aims to aid advertisers, and media agencies understand changes in Media Consumption patterns leading to Scientific Advertising Investments.
In the current column, we take a look at Advertising in the auto category which drove up the Advertisement volumes to a new high on Television, Print and Radio this festive season.
Advertisers in Auto Category fall under following product groups: Cars/Jeeps, Two wheelers, Commercial Vehicles, Tractors, Tyres, Farm Equipments Corporate, Auto Air Fresheners, Auto Accessories, Auto Spares, Automotive Batteries, Automotive Fuel, Automobiles Range and Auto Retail Stores.
Advertisements on all the mediums have seen a growth in 2015 as compared to 2014 with TV experiencing the highest growth.
83% of the ads on TV are contributed by Cars/Jeeps and Two wheelers' advertisements. Similar to 2014, two wheeler category continue to lead in ad volumes on TV even in 2015 (Two wheeler-46% and Cars/Jeeps-37%).
During festive season, Wk 42 to Wk 45' 2015
experienced a huge push by whooping 46% mainly because of Two wheeler segment which contributed 48% & cars/jeeps by 26% as compared to the preceding 4 weeks on an average.
Bajaj Auto Ltd. upped its total promotions by 400% which mainly covered Bajaj Pulsar Rs 200 followed by Bajaj Ct 100.Tvs heavily promoted Tvs Jupiter & Mahindra Two wheelers Ltd. for Mahindra Gusto. Whereas Honda Dream Range was the highest promoted brand this festive season in 2 wheeler segment whereas it was Maruti Suzuki Baleno in car/jeeps segment this festive season.
In Two wheelers category Honda Motorcycles have increased their advertisements significantly post May, making it the top advertiser this year so far. Honda has been heavily advertising its Dream Range of bikes and with the launch of Honda Acitva 3G and Honda Livo have contributed to the rise in its Ad volumes. There is cut throat competition in the two wheeler segment with each advertiser trying to outshout the other players. Even other advertisers like TVS and Hero have similar amount of ad contribution on TV.
About 25% of the advertisements by Cars/jeeps category are given on English channels. On the other hand about 32% of the advertisements by Two wheelers category are on Regional News Channels.
On Radio, Auto-cars/jeeps contributed 59% of the total Advertisement volumes whereas Two wheelers contributed 15% in 2015 till Wk 47. There is a clear skew during festive season where overall volumes have risen by 74% in the auto Radio advertisements from Wk 38-46 as compared to the preceding 8 weeks.
Maruti Suzuki India Ltd. has been dominant throughout the year but Renault India spiked its promotions at intermittent weeks like in Wk 26 for Renault Pulse & Renault Scala. Renault undertook umbrella branding Wk 33-37.Renault Kwid was promoted heavily in Wk 38-39.
Two wheelers were on an all- time low until festive season. From Wk 39-46, two wheelers played an active role in contributing to 31% Radio auto Advertisement.
Hero Motocorp lead in all the zones with more concentration in West zone followed by South zone in the festive season.
Honda Motorcycles in two wheelers which was the top advertiser in 2014 has reduced its ads significantly in 2015 and had increased its concentration heavily on Print and TV.
Now, if we consider the case of Hero Motorcorp, it has reduced its ads on TV in 2015 and has heavily increased it on Radio and Print. This shows that Hero Motorcorp is trying to have a local connect with its customers while Honda is promoting its brands concentrating more at a national level.
Unlike TV and Radio which is skewed towards Cars/Jeeps and two wheeler ads, Print due to its local nature has a clear 3rd highest category which is of Auto Retail showrooms of Cars/Jeeps. Auto-cars/jeeps contribute 41%,Auto-two Wheelers contribute 33% & Retail Auto-cars/jeeps contribute 15% to total Auto advertisement in Print 2015 till now.
Due to festive season, the total Auto print volume grew by 75% in Wk 42-45 where product groups like Auto-cars/jeeps pushed its print ad volumes by 29%,Auto-two Wheelers by 152% & Retail Auto-cars/jeeps by 25% as compared to the preceding 4 weeks.
Hero Motocorp & Honda Motorcycle & scooter I Ltd top players in two wheeler segment clearly had a focused strategy in North zone which contributed 39% & 34% of their total Print advertisements during festive season.
2014 saw Nissan Motor Co Ltd aggressively promoting during Diwali season but this year Maruti Suzuki India Ltd took the lead in Auto-cars/jeeps segment. Hero Motocorp Ltd like last year took advantage of the festive season maintained the lead in Auto-two Wheelers segment.
With the higher number of new vehicles launched this year it is going to be very interesting to see how they compete against each other on various media of communication and what strategies they adopt to reach out their specifics TGs.
Source: TAM Media Research, analysis conducted by S group, an analytical arm of TAM Media Research
Data Sources: TAM AdEx
Period: Jan '2014 & 22nd Nov '2015