NEW DELHI: The country's largest two-wheeler maker HeroHonda will reveal its much-anticipated global brand identity inLondon on August 9, as it takes the first major step of establishing its new image after going solo following erstwhile Japanese promoter Honda's exit.
"...as a significant first step towards the company's transformation into a major global brand, we would be unveiling our new brand name and identity in London, United Kingdom, on August 9, 2011," the company said.
Earlier in March this year, the company had hired global brand and innovation specialistWolff Olins to create its new brand identity. A part of the Omnicom group, Wolff Olins was mandated to work on the new brand identity in its totality, including the brand architecture, name, logo and positioning.
Later on, in May the two-wheeler major roped in Law &Kenneth (L&K) as a creative partner to launch and establish the new brand for the company. The independent brand communications firm was mandated to devise the new brand positioning of the company.
Hero Honda said it will also unfold a slew of strategic initiatives "which will allow us to further consolidate our leadership in India and also enter emerging markets globally."
The company had embarked on the journey to acquire a new brand name after the two joint venture partners ofHero Honda Motors Ltd (HHML) --Hero Group of India andHonda Motor Co of Japan -- decided to part ways in December last year.
The Munjals-promoted Hero Group had agreed to buy out Honda's 26 per cent stake inHHML for Rs 3,841.83 crore.
As per an agreement signed between the two erstwhile partners, Hero can use the Honda brand till 2014, but it is understood that the Indian group wants to acquire a new identity of its own at the earliest in order to maintain its leadership position.
Hero Group and Honda had signed a new licensing agreement in March, under which the Indian firm will pay its Japanese counterpart 45 billion yen (about Rs 2,450 crore) till 2014.
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Showing posts with label hero honda. Show all posts
Showing posts with label hero honda. Show all posts
Tuesday, July 26, 2011
Wednesday, June 1, 2011
Not chasing to match Hero Honda's production capacity: HMSI
TAPUKARA (Rajasthan): Two-wheeler maker Honda Motorcycle & Scooter India (HMSI) today said it will not be chasing to match Hero Honda's production capacity but would rather focus on improving products and service quality to become a market leader in India.
"My target is not the numerical positioning but (improving) products quality and service quality. Otherwise, it is not so easy to be number one by 2020," HMSI's new President and CEO Keita Muramatsu told PTI here.
In March this year after Honda finalised breaking off from Hero Honda, Muramatsu's predecessor Shinji Aoyama had said HMSI was aiming to be number one in India in the next decade.
Admitting that there is a huge gap in the production capacity between HMSI and Hero Honda, Muramatsu said: "I don't think we will be looking at (matching) the capacity of Hero Honda but what we are looking at is the growth of the market and we have already opened our second plant".
HSMI's second plant, which was opened here today, will have a total annual capacity of 12 lakh. It is investing a total of Rs 860 crore on the plant. The firm's current plant at Gurgaon has an annual capacity of 16 lakh units.
Besides, the company will also invest Rs 1,000 crore to set up a third plant in Karnataka that will have an annual capacity of 12 lakh units by 2013.
On the other hand Hero Honda's annual capacity is 61.5 lakh units as on April this year.
Muramatsu said there is good business prospect in the long term in India and HMSI is looking to improve its position.
"Currently we are at number four, we have high possibility of improving. Our focus area is on addressing the dissatisfaction of customers like back orders and service quality," he said.
Commenting on the significance of HMSI's second plant, Honda Motor Co President and CEO Takanobu Ito said: "Our new plant is not only important for India but very significant for the whole global operations. India is a very important market for us".
The plant will employ around 3,200 people in total. It will start production by July with the rolling out of scooter Activa and 110cc (rpt) 110cc bike CB Twister.
Muramatsu said with the third plant in Karnataka coming up the company will be able to cover the vast Indian market, along with the two plants in Haryana and Rajasthan.
Wednesday, March 16, 2011
Hero's new identity costs Rs 100 cr; new name and logo on products
MUMBAI/NEW DELHI: Hero Honda has set aside a kitty of Rs 100 crore to create a new brand identity that will lead to a new company name and corporate logo to be etched on every bike and scooter it sells in the Indian market, people familiar with the matter told ET.
The company has shortlisted five agencies -JWT, Draftfcb Ulka, Mudra, Law & Kenneth , and Percept H - to create the new brand identity, sources said. JWT, Draftfcb Ulka, and Percept H already handle various brands in the Hero Honda portfolio. These five agencies will join London-based design agency Wolff Olins to work on the brand repositioning, including new name and logo.
The new logo, expected to have a direct connect with its mass customers and to be unveiled in the next few months, will drop the Honda name from its corporate identity. Hero Honda has not yet replied to an e-mail query by ET on the rebranding plans.
The 27-year-old Indo-Japanese venture, which is the world's largest two-wheeler maker by volume, is awaiting regulatory approvals to break its joint venture with Honda and pursue operations independently.
Hero Honda managing director Pawan Munjal is taking a personal interest in the presentation made by these agencies, as he wants to ensure no stone is left unturned to announce a new brand post the separation from Honda, people close to the matter said. "The final call on the selection of the agency to work with Wolff Olins could get delayed as senior officials from Hero Honda are in Japan and their arrival back to India has got delayed due to the earthquake," sources said.
The Hero group's new brand would also have a global presence as the company intends to ship its bikes and scooters to markets such as Latin America, Africa, Middle East, and South East Asia.
"Hero Honda wants to ensure that the announcement of the new brand identity and the subsequent communication is high decibel and is in line with the recent brand re-launches, if not better," sources said.
The agencies in fray to undertake the rebranding exercise will also present their assessment of recent brand revamps such as Airtel and entry strategies used by new brands like Tata Docomo - which were also developed by the Wolff Olins.
Analysts tracking the market said that the new brand positioning is likely to be India-centric and will take into account the independent technology strength the company aims to acquire. "Hero has to take its customer connect to the next level. It primarily operates at the entry-level of the two-wheeler market and the new branding has to synergise technology and masculinity associated with the automotive world. It should have a stronger marketing participation at its sales points that will drive customer interest in the company," Shravani Sen, director of Delhi-based marketing firm Synovates , said. A similar rebranding exercise was seen during the divorce of Bajaj Auto from Kawasaki and TVS Motors from Suzuki, he added.
Hero Honda has been one of the largest spenders in the Indian marketing space and has been actively associated with top-notch events such as ICC World Cup, Indian Open Golf Tournament, IPL , and Commonwealth Games . The company likely spends over Rs 300 crore annually on marketing and product promotions.
The company has shortlisted five agencies -JWT, Draftfcb Ulka, Mudra, Law & Kenneth , and Percept H - to create the new brand identity, sources said. JWT, Draftfcb Ulka, and Percept H already handle various brands in the Hero Honda portfolio. These five agencies will join London-based design agency Wolff Olins to work on the brand repositioning, including new name and logo.
The new logo, expected to have a direct connect with its mass customers and to be unveiled in the next few months, will drop the Honda name from its corporate identity. Hero Honda has not yet replied to an e-mail query by ET on the rebranding plans.
The 27-year-old Indo-Japanese venture, which is the world's largest two-wheeler maker by volume, is awaiting regulatory approvals to break its joint venture with Honda and pursue operations independently.
Hero Honda managing director Pawan Munjal is taking a personal interest in the presentation made by these agencies, as he wants to ensure no stone is left unturned to announce a new brand post the separation from Honda, people close to the matter said. "The final call on the selection of the agency to work with Wolff Olins could get delayed as senior officials from Hero Honda are in Japan and their arrival back to India has got delayed due to the earthquake," sources said.
The Hero group's new brand would also have a global presence as the company intends to ship its bikes and scooters to markets such as Latin America, Africa, Middle East, and South East Asia.
"Hero Honda wants to ensure that the announcement of the new brand identity and the subsequent communication is high decibel and is in line with the recent brand re-launches, if not better," sources said.
The agencies in fray to undertake the rebranding exercise will also present their assessment of recent brand revamps such as Airtel and entry strategies used by new brands like Tata Docomo - which were also developed by the Wolff Olins.
Analysts tracking the market said that the new brand positioning is likely to be India-centric and will take into account the independent technology strength the company aims to acquire. "Hero has to take its customer connect to the next level. It primarily operates at the entry-level of the two-wheeler market and the new branding has to synergise technology and masculinity associated with the automotive world. It should have a stronger marketing participation at its sales points that will drive customer interest in the company," Shravani Sen, director of Delhi-based marketing firm Synovates , said. A similar rebranding exercise was seen during the divorce of Bajaj Auto from Kawasaki and TVS Motors from Suzuki, he added.
Hero Honda has been one of the largest spenders in the Indian marketing space and has been actively associated with top-notch events such as ICC World Cup, Indian Open Golf Tournament, IPL , and Commonwealth Games . The company likely spends over Rs 300 crore annually on marketing and product promotions.
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