Assignment Taken

Prepare Product development plan.

Case Understanding

As compared to other countries, the market share of electric vehicles is extremely low in India. According to some estimates, the total number of registered vehicles in India is 230 Million and the market is growing continuously. Taking a reformist measure, the Government of India is aiming to promote electrical vehicle usage in the country. “The government target for 30% adoption of electric vehicles by 2030 will be majorly driven by the electrification of two-wheeler, three-wheeler, and commercial vehicles. Our team consists of 2 mechanical engineers, 1 electrical engineer, 1 computer science graduate, 2 marketing experts who recently left their marketing job from reputed automobile companies, and 2 members with post graduate in management program.

BCS Solution Summary

“Vayu” is a start-up consisting of eight dynamic, ambitious and hardworking team members who as a team dream of changing the electric vehicle landscape of the country. The team is focused into developing two-wheeler electric scooters with state-of-the-art features at affordable price. The name of the start-up signifies fast and flexible like air. The model names depict the smartness through electric system. The tagline of “Ab Smart Hoga India” denotes the effort made by the team to help India gain the leadership position in the worldwide revolution towards electrical vehicles and at the same time the smart features embedded in the scooter. The long-term focus is to be the largest and most admired electric two-wheeler maker of India in a sustainable energy efficient way. The start-up aims at launching two models- Electra + and Electra. Both the models are not constrained to any gender. Electra is a premium model that targets the young to middle age tech-savvy customer, belonging to Social Economic Category A1, A2, A who would want to portray this scooter as a part of their style statement and would enjoy fast rides with their near and dear ones. On the other hand, the model Electra + is perfect example of conjunction of efficiency, smartness and affordability. Common people, who wants an economic ride with latest functionalities. The targeted customer segment would be college goers, other people belonging to Social Economic Category B1, B2, B. The primary objective of the company is to secure VC funding to arrange enough money for R&D, manufacturing and marketing expenses. To make any business successful one should go through Product Development Plan. Steps involved in Product Development Plan: 1. Idea Generation 2. Screening of Idea 3. Concept Development & Testing 4. Marketing Strategy Development 5. Business Analysis 6. Product Development 7. Test Marketing 8. Commercialization

Solution

1. Idea Generation

Renewable energy has great scope in India. The automobile industry is one of them, Automobile sector has taken several giant steps in this direction around the world recently but Indian market is still at an infant stage. As compared to other countries, the market share of electric vehicles is extremely low in India. But the government target for 30% adoption of electric vehicles by 2030. Keeping this is in mind we are introducing “Vayu” an electric two wheeler which will fulfill all requirements of the costumers. And also we are ready with our prototype as two members of our team have already worked upon it previously.

2. Screening of Idea

The Indian electric scooters and motorcycles market generated revenue of $80.0 million in 2018, and it is expected to register CAGR of 36.3% during the forecast period. Government incentive schemes, growing distributor & dealership network, increment in online sales, and increase affordability of electric two wheelers by costumers provide a lead to automobile sector to manufacture the two-wheeler that would boost-up the demand for electric two wheelers in India.

 

3. Concept Development & Testing

Key components of our electric two-wheeler VAYU:

• Frame
• Motor: A 72 V Advanced DC motor is used, smaller in size, able to self start, more efficient, because it’s weight and dimensions were good for the frame.
• Batteries:   D51 model with capacity of 48 V, 12 Ah
• Controller: It controls the BLDC motor. Also it increase efficiency, reliability and extend the battery life time.
• Charger: It contains a plug that connect electric vehicle batteries to an electric source, providing the batteries with electrical energy.
• DC/DC Converter: It’s safe to run with a DC/DC converter and an extra 12V battery backup. The Iota DLS-55 is the best option.
• Contactor: This is a device that we hook up to your existing key ignition on 12Volts and it will close the loop so we get the full power to your controller.
• Battery cable and connectors.
• Instruments: Electrical tape, Wire connectors, Wire wrap, etc.

 

4. Marketing Strategy Development

For doing marketing we are using different strategies:

1. STP (Segmentation, Targeting, Positioning) Strategy

 

1. Segmentation- Under this we are going to divide our customers in various segments.

• Demographic Segmentation
• Geographic Segmentation
• Behavioral Segmentation
•  Psychographic Segmentation

 

         2. Targeting- Under this we will target our costumer with some criteria such as unisex, suits for age between 25- 50, Good purchasing power, Innovative seeker                                    and educated, new level innovation.

         3. Positioning – Under this, looking at future trends, we are going to position our product at the top so that every costumer will buy our product only from all                                                  available options.

 

      2. 4P’s of Marketing

      4P’s stand for:

• Product: Our organization is launching different product with different models that will have different features and capacities. Apart from design, technology, and quality, the product also offers safety and convenience to the customers. Today, it is found that the issue of pollution related to different vehicles has increased in a given environment. So to overcome this issue we are introducing  such electric vehicles that can provide with similar performance, quality, and also assist in controlling pollution in a given environment
• Price: Keeping in mind certain features of the product such as technology, design, style, and other such features it is important to deliver the message of sustainability to the intended customers through utilization of such vehicles effectively. So the price would be range between 1lac to 1.15 lacks which is affordable for middle class in today world. The customers will be able to afford such products and hence the company can thereby target to a larger segment.
• Place: The place is the most important part for any organization as one has to check the raw material availability, easy transportation, availability of labour at lower cost, huge market, etc.

 

• Promotion: This term is purely related to term “Advertisement”. Under this an organization has to do hard core advertisement to capture more market and to build a brand image in the mind of costumers. Promotions will help an organization to introduce new launching offers in the market. The customers should be informed about such offers through different forms of advertisement such as:

• Billboards
• Sponsorships
• Television & Radio
• Newspaper
• Digital Advertising

 

 

5. Business Analysis

 

• Advantages
  • Reduce dependency on oil and gasoline.
  • Pollutants and noise free.
  • Recyclable batteries
  • Low maintenance and operation cost.

 

6. Product Development

Our organization is coming up with two types of models:

1. VAYU ELECTRIC +

This is our premium product with all advance features in it.

This model will include smart screen which will allow our customers to get connected with the App, GPS navigation via Bluetooth Connection.

This model also carries a good battery backup to improve the working of smart screen.

 

         2. VAYU ELECTRIC

This model will be available in middle range says 60000 to 70000. This model does not include smart screen which will decrease its price from our premium product.

             Our product will have many features which will make it unique and 

             differentiate it from our competitors.

Features of our Product

1. Will provide a maximum speed with 90 KM/hr
2. Have flexible battery
3. Fast charging
4. Anti-theft security via Cloud based App
5. VMS (Vehicle Management System)
6. Good Mileage
7. Extra Space

 

Our product’s body weight is less as it is made up of Glass fiber with help of sugarcane bagasse. It will add some features to our product like:

• Low weight
• Great strength
• Corrosion-free
• Electrical insulation
• Easy to work
• Minimal maintenance

Our product design should look like:

 

USP:

• Fast Charging
• Ant-theft Security System
• Low Body Weight
• Max Speed

 

Max. Speed	90 Km/hr	75 Km/hr
Charging Speed	95% in 1 hour	Take 4-5 hours
Security System	Anti-theft System	Not available
Battery Capacity	52 V, 24 Ah	48 V, 20Ah
Fuel Economy	120 Km per charge	70 Km per charge

 

7. Test Marketing

Under this step we will do a trail of our product. For better feedback we will choose our experienced team members so that the testing should be biased. Also they recently left the marketing job so they know the taste and preference of costumers better and will judge the product accordingly.

 

8. Commercialization

Once we get the positive feedback after the trail and all goes well, we will finally launch the product for our precious customers.

Conclusion

The designed series electric two-wheeler vehicle in simulation meets standard vehicle performance with a significant increase in eco-friendly and an overall reduction in use fossil fuel (petrol). The power train has been proven to work in a real world environment and is capable of being installed in a two-wheeler vehicle. As a more versatile hybrid, the vehicle is fully functional with today’s infrastructure and state of the art charging stations. The estimated performance, eco-friendly, as well as the construction and testing of the vehicle demonstrate the viability of the power train design.

Attached File Details