INTRODUCTION

In marketing the promotion mix strategies describes a blend of

promotional variables chosen by marketers to help a firm reach its goals. It has been
identified as a subset of the marketing mix. It is believed that there is an optimal way of
allocating budgets for the different elements within the promotional mix to achieve best
marketing results, and the challenge for marketers is to find the right mix of them.
Activities identified as elements of the promotional mix vary, but typically include the
following:

Advertising is the paid presentation and promotion of ideas, goods, or services by an

identified sponsor in a mass medium. Examples include print ads, radio, television,
billboard, direct mail, brochures and catalogs, signs, in-store displays, posters, mobile
apps, motion pictures, web pages, banner ads, emails.

Personal selling is the process of helping and persuading one or more prospects to purchase
a good or service or to act on any idea through the use of an oral presentation, often in a
face-to-face manner or by telephone. Examples include sales presentations, sales meetings,
sales training and incentive programs for intermediary salespeople, samples, and
telemarketing.

Sales promotion is media and non-media marketing communication used for a pre-
determined limited time to increase consumer demand, stimulate market demand or
improve product availability. Examples include coupons, sweepstakes, contests, product
samples, rebates, tie-ins, self-liquidating premiums, trade shows, trade-ins, and exhibitions.

Public relations or publicity is information about a firm's products and services carried by a
third party in an indirect way. This includes free publicity as well as paid efforts to
stimulate discussion and interest. It can be accomplished by planting a significant news
story indirectly in the media, or presenting it favorably through press releases. Examples
include newspaper and magazine articles, TVs and radio presentations, charitable
contributions, speeches, issue advertising, seminars.

Digital marketing is a channel-agnostic form of advertising that allows businesses and

nonprofits to communicate directly to the customer, with methods such as mobile
messaging, email, interactive consumer websites, online display ads, fliers, catalog
distribution, promotional letters, and outdoor advertising.
Corporate image campaigns have been considered as part of the promotional mix.

Sponsorship of an event or contest or race is a way to generate further positive publicity.

Guerrilla marketing tactics are unconventional ways to bring attention to an idea or product
or service, such as by using graffiti, sticker bombing, posting flyers, using flash mobs,
doing viral marketing campaigns, or other methods using the Internet in unexpected ways.

Product placement is paying a movie studio or television show to include a product or

service prominently in the show.

INDUSTRY PROFILE

The automobile industry is one of India’s most vibrant and growing

industries. This industry accounts for 22 per cent of the country's manufacturing gross
domestic product (GDP). The auto sector is one of the biggest job creators, both directly
and indirectly. It is estimated that every job created in an auto company leads to three to
five indirect ancillary jobs.
India's domestic market and its growth potential have been a big attraction for many global
automakers. India is presently the world's third largest exporter of two-wheelers after
China and Japan. According to a report by Standard Chartered Bank, India is likely to
overtake Thailand in global auto-export market share by the year 2020.
The next few years are projected to show solid but cautious growth due to improved
affordability, rising incomes and untapped markets. With the government’s backing, and
trends in the international scenario such as the decline in prices of natural rubber, the
Indian automobile industry is slated to witness some major growth.

MARKET SIZE

The cumulative foreign direct investment (FDI) inflows into the Indian automobile
industry during the period April 2000 – August 2017 was recorded at US$ 10,119.68
million, as per data by Department of Industrial Policy and Promotion (DIPP).
Data from industry body Society of Indian Automobile Manufacturers (SIAM) showed that
137,873 passenger cars were sold in July 2014 compared to 131,257 units during the
corresponding month of 2013. Among the auto makers, Maruti Suzuki, Hyundai Motor
India and Honda Cars India emerged the top three gainers with sales growth of 15.45 per
cent, 12 per cent and 11 per cent, respectively.
The three-wheeler segment posted a 24 per cent growth to 51,461 units on the back of
increased demands from the urban market. Total sales across different vehicle segments
grew 12 per cent year on year (y-o-y) to 1,586,123 units.

Scooter sales have jumped by 29 per cent in the ongoing fiscal, and now form 27 per cent
of the total two-wheeler market from just 8 per cent a decade back. The ever-rising demand
for scooters, which has far outstripped supply has prompted Honda to set up its first
dedicated scooter plant in Ahmedabad.
Tractor sales in the country are expected to grow at a compound annual growth rate
(CAGR) of 8–9 per cent in the next five years making India a high-potential market for
many international brands.

INVESTMENTS

To match production with demand, many auto makers have started to invest heavily in
various segments in the industry in the last few months. Some of the major investments
and developments in the automobile sector in India are as follows:
Ashok Leyland plans to invest Rs 450–500 crore (US$ 73.54–81.71 million) in India, by
way of capital expenditure (capex) and investment during FY15. The company is required
to manage Rs 6,000 crore (US$ 980.56 million) of assets in seven locations across the
world, for which maintenance capex is needed.
Honda Motors plans to set up the world's largest scooter plant in Gujarat to roll out 1.2
million units annually and achieve leadership position in the Indian two-wheeler market.
The company plans to spend around Rs 1,100 crore (US$ 179.76 million) on the new plant
in Ahmedabad, and expand its range with a few more offerings.
Yamaha Motor Co has restructured its business in India. Now, Yamaha Motor India (YMI)
will take care of its India operations. “The restructuring is part of Yamaha’s mid-term plan
aimed at improving organizational efficiency,” as per Mr. Hiroyuki Suzuki, Chief
Executive and Managing Director. YMI would be responsible for corporate planning and
strategy, business planning and business expansion, quality control, and regional control of
Yamaha India Business.
Tata Motors plans to use the 'hub-and-spoke' model in which India will be the key
manufacturing base while it will have mini-hubs in overseas markets. The company also
plans to set up mini hubs in potential markets like Africa, Middle-East and South East
Asia.
 METHODOLOGY

STATEMENT OF THE PROBLEM

The Financial capacity of the company is a vital factor affecting promotional mix.
Advertising through Television, Radio, News Papers and Magazines is too costly to bear
by financially poor companies
-S.Jaideep (2013)
The specific issue raised in this present study are:
1. What is Promotion Mix Strategies ?
2. Promotion Mix on customer behavior and sales?

REVIEW OF LITERATURE

Studies relating to the impact of consumer sales promotion on consumer

behavior, sales, profit, market share, etc. are included in this section. These studies provide
guidelines to managers on various issues such as the appropriate tools that may be used for
achieving a specific marketing objective, improve their sales promotion effectiveness and so on.

Vecchio, Del, Devon et.al. (2006) ' report the results of the study, which examined the effect of
sales promotion on brand preference through Meta analysis. Results of 51 studies had been
integrated. As per the study sales promotions do not affect post promotion brand preferences in
general. But depending upon characteristics of sales promotion and the promoted product,
promotion can either increase or decrease preference for a brand.

Ndubisi, Oly, Nelson and Moi, Tung, Chiew (2005) in their study evaluated the impact of sales
promotional tools, namely coupon, price discount, free sample, bonus pack, and in-store display, on
product trial and repurchase behaviour of consumers. The moderation role of fear of losing face on
the relationship between the sales promotional tools and product trial was also examined. The
results of study show that price discounts, fiee samples, bonus packs, and in-store display are
associated with product trial. Coupon does not have any significant effect on product trial. Trial
determines repurchase behaviour and also mediates in the relationship between sales promotions
and repurchase. Fear of losing face significantly moderates the relationship between in-store
display and product trial.

Kumar, V. and Swaminathan, Srinivasan (2005) ' studied the impact of coupons on brand sale
and how that impact decays over the life of the coupon. The authors use an econometric model to
demonstrate the coupon effect in terms of equivalent price reduction, account for coupon effect
 over time, allow inference of coupon effects when retailers decide to double or triple the coupon
value and provide both self-coupon and cross-coupon elasticities at different levels of aggregation.
Results indicate that the effect of doubling the face value of coupon result in more than a
proportionate increase in elasticity and both self and cross- coupon elasticities are much smaller in
magnitude than the average self-cross price elasticity.

Laroche, Michel et.al. (2005) ' studied the effect of coupons on consumer's brand categorisation
and choice process using fast-food restaurants in China. Results suggest that there are both direct
and crossadvertising effects i.e., the presence of a coupon for a focal brand has an impact on
consumer's attitudes and intentions towards that brand.

Lewis, Michel (2004) developed an approach for simultaneous measurement of the influence of a
dynamic loyalty programme and more traditional short- term promotions. They argue that the
loyalty programmes under examination successfblly alter behavior and increase retention rates.
Email based coupons, shipping fee and general price levels all significantly affect customers
purchase decisions.

NEED & SIGNIFICANCE OF THE STUDY

Kurnool (Atmakur) is the Backward area of the Rayalaseema and the

demographic features of the customer in Kurnool (Atmakur) is different from other
districts in Rayalaseema. No study has conducted on the Promotional mix strategies and
their impact on sales and consumer behavior with reference to Kurnool (Atmakur)
Rayalaseema. Hence this study is useful for knowing Promotion Mix Strategy

OBJECTIVES OF THE STUDY

 study the promotional activities offered by MSA Motor Limited.

 To identify the impact of sales in the market by using promotional strategies of MSA
MotorLimited.

 To study the To influence of schemes offered by firm on sales.

 To study the customer’s awareness towards the after sale services offered to him or her.
 To study the effect of advertisement on the customers to promote the product.

 To study the customer satisfaction with usage of their Cars.

 To study the information resources that the customer using before purchasing the Cars.

RESEARCH DESIGN

Sampling:
Customer who visit MSA Motors in Atmakur.(Kurnool).
Sampling Technique:
Convenience sampling techniques will be used

Sample size:

1. The sample size of the survey (N) is 120.

2. Samples are collected customers of showroom.

3. The age limit of the customers is in between 20-55.

4. The customers will be randomly selected.

Data Collection:

The study will use both the Primary and the Secondary Data

The secondary data will be collected from journals magazines, periodicals and articles

The Primary data will be collected through the structured questionnaire

The questionnaire consists information related to the demographic features of target group
and Promotion Mix

Tools of analysis:

For analyzing the data statistical tables, percentages & bar diagrams will be used.
 SCOPE OF THE STUDY

The area of the study is considered to be in only Atmakur, Kurnool district

Time and Money are the major constraints of the study

The study is limited to only selected customer in Atmakur

The information provided to the customers is different with each other

The information given by the customer may not be accurate

LIMITATIONS OF THE STUDY

 Primary data analysis only depended on the respondents.

 Process of study/survey is limited only to some customers.

 Survey will be conducted for the period of 45 days only.

 Due to constraint of time only city is selected and so it cannot claim to be a

comprehensive study of the population.