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Wednesday, July 27, 2011

Hero Honda to rechristen it's brand on August 9, 2011

The Economic Times, played the perfect tone for the day by publishing that Hero Honda would be announcing the new brand identity on August 9, 2011. But at the same time, what comes as a real sand in the meal is the added note, that, the announcement and ceremony would be done at London and not in India.

After Honda's exit from the Hero Honda conglomeration, which saw many successful decades, it was time for Hero to drop the Honda crutches walk the talk solo. Hero responded to the challenge in a very planned manner and against all the negative speculation of the market and the competitors. To quote Hero -

"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 world got a glimpse Hero Group's intentions towards establishing it's individual motorcycle identity when Omnicorp group's global brand and innovation specialist, Wolff Olins and entrusted him with the task of creating the new brand identity in totality including brand architecture, name, logo and market positioning. Easily, Hero Group knows the Indian market and knows how tough it is to survive here and even more tougher is to retain the No. 1 position.

Another step towards this direction was taken in May, when the Hero Group, assigned Law & Kenneth, the task of being the creative partner and work towards launching and establishing the new brand for the company. The Hero Group is totally focused towards taking a plethora of strategic initiatives which would allow the company further strengthen it's position in India and also infiltrate into emerging global market.

Even though as per the Partnership agreement between Hero Group and Honda, the Hero Group can use the Honda brand till 2014, but Hero Group is all pumped up to get going in it's individual path ASAP in order to retain it's market position, even if that means the Hero Group would have to pay Honda Rs 2,450 crore till 2014, as per the Licencing Agreement signed between both the parties in March.

Needless to say, Hero Group is taking the challenge head on, but what I fail to understand is, why the new branding launch is happening in London, when Hero Group has no presence what so ever. It's a launch for Indians first and then the world, and that also at a time, when major players are focusing of creating their products in India, for India, and then export them to the world.
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  1. Probably to get into the British dailies and free ka International publicity

  2. but still I would believe, their main base is in India and the Hero group makes motorcycles for Indians. In London, even a lawn grass cutter has a bigger motor capacity and power throughput than most of the 100cc motorcycles erstwhile Hero Honda makes.

  3. what i can guess..they might be going into a new collaboration..may be a European brand!! :)

  4. Going into a new collaboration would mean that they can deal with the market response a bit quicker as they won't (again) have to worry much about R&D. But then again, a European collaboration would definitely up the prices, which Hero Group would never want!!


Item Reviewed: Hero Honda to rechristen it's brand on August 9, 2011 Description: Rating: 5 Reviewed By: Sajal
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