International marketing (Automobile Industry) - Essay Example

? International Marketing Table of Contents Answer 4 Overview of Automobile Industry 4 Company profile 4 Marketing Mix of Evoque Targeted At the Low End Of The Market 5 Segmentation: 7 Targeting: 7 Positioning: 7 Answer 2 8 Marketing Mix Of A Premium Evoque Product For Upper End Of The Market 8 SWOT analysis of Evoque range of vehicles along with BMW X3 and Audi Q5 9 Strength of Evoque range of vehicles: 9 Weakness: 9 Threats: 9 Strengths of BMW X3 and Audi Q5: 9 Weakness: 10 Opportunities: 10 Threats: 10 Marketing Mix of Evoque range of vehicles: 10 Product: The element of product is divided into three sub-groups namely brand, innovative features and quality. 10 Segmentation: 12 Answer 1 Overview of Automobile Industry In this age of globalization, varied types of innovative technologies and features are introduced within the vehicles. As a result, the industry of automobiles became more competitive resulting in amplification of the total sale and profit margin of the organizations operating successfully in this segment. This is mainly due to the presence of varied types of innovative features within both domestic and commercial range of vehicles (Belohlavek, 2008). So, prior entering such a competitive market segment, any new organization need to analyze the requirements and demands of the customers. Only then, the new product line might position itself among other rivals of the market. Along with this, it might create a significant brand image and reputation in the market (Belohlavek, 2008). Company profile Jaguar land Rover is a popular British multinational organization operating successfully in automobile sector since 2008. It is entirely a subsidiary of Tata Group after acquiring it from Ford Motors. It is headquartered in Whitley, Coventry, of United Kingdom comprising of about 25000 employees in the year 2012. Due to the implementation of varied types of new and innovative features, the demand and craze of the product lines like land Rover, Marques and many others enhanced to a significant extent. As a result, it brand image and revenue of the organization also enhanced resulting in amplification of its net operating income by ?2.402 billion by the year 2013. And its net income also increased by ?1.215 billion by the year 2013, that proved extremely effective for the organization of Jaguar land Rover(Jaguar Land Rover Limited, 2013). Marketing Mix of Evoque Targeted At the Low End Of The Market Marketing is described as a process with the help of which the products and services of an organization or brand originates, priced, promoted and finally distributed to the customers. With the help of this process, the image and demand of the products of a specific brand attains popularity and reputation in the market among others. However, the procedure of marketing becomes fruitful only with the help of effective marketing mix (Wendorth, 2009). Marketing mix is a strategy that comprises of 4P, namely product, place, price and promotion. It is with the help of all these 4P’s the popularity and popularity of the product might be analyzed in the market among others. Not only this, these 4P’s of marketing mix are also essential of a product or brand, while entering a new market or place. In order to enter the low end of the market, where the economic condition of the individual are extremely low, the marketing mix strategy of Evoque need to be developed very cautiously. So that it might surely prove effective for both the brand and the product line leading to improvement of its image and equity among others rivals (Wendorth, 2009). Product: It is the first point of marketing mix divided into three sub parts namely: brand, innovative features, quality. Brand Image: The brand image of Evoque range of products or vehicles is extremely high in the market due to the presence of varied product lines such as land Rover, Marques and many others. It is also one of the most preferred brands due to eye-catching features of the tires like pitch design technology, centre rib blocks, M&S treads so as to present a remarkable performance in off-roads. Due to such causes, it is extremely preferred by the customers craving for a vehicle for all-terrain roads. This might act as a prime cause facilitating the brand to create a sustainable position within the hearts of the individuals of low end of the market (Jaguar Land Rover Limited, 2013). Innovative features: The range of vehicles of Evoque comprises of varied types of innovative features to satisfy the requirements of the customers like 3.0 litre V6 Turbocharged and Intercooled Diesel engine, upper/lower split rear tailgate, power-fold mirrors, Oberon finish door handles and many others (Jaguar Land Rover Limited, 2013). Quality: Evaque range of products comprise of high quality diesel engines to present high level of performance in long drives in off-roads. Moreover, it is a perfect match of performance, power and design for the individuals desiring an all-terrain road. This might also help the organization in creating a sustainable image in the lower end markets (Jaguar Land Rover Limited, 2013). Price: In order to enter the low end of the markets, it is better to use penetration pricing policy. In this type of pricing policy, the price of the products such Evoque range of vehicles are kept lower so as to attract a large array of customers towards this brand. It is done in order to position the product in the competitive market among other rivals. This policy is also used to attain a significant amount of market share and value as compared to others (Wendorth, 2009). Apart from this pricing policy, in order to create a good image in low end of the markets, huge range of discounts might also be issued on these vehicles. It is done so that the sale of the vehicles might be enhanced to a significant extent as compared to others (Wendorth, 2009). Place: The Evoque range of vehicles need to sold through wholesalers and retailers so as to increase the intensity of sales. Along with this, these retailers and distributors comprise of their own agents who work for the improvement of the total sale and demand of the new entered products of their showrooms. Along with this, the reputation and brand image of the organization might also be increased by placing the vehicle among all other vehicles in a showroom (Wendorth, 2009). Promotion: The sale and demand of the Evoque range of vehicles in a low end of the market might only be enhanced with the help of huge advertising campaigns along with personal selling tactics. With the help of television, social media and radio, the features of this new brand, ‘Evoque’ might be promoted so as to make the interested customers aware about it. Along with this, the technique of personal relationship might also prove worthy for positioning the new brand in such a market. Other than this, the facilities, EMI and banking facilities might also be presented to the customers so as to make it interested towards it. Therefore, in order to create a reputed position in a low end of the market, the above mentioned strategies might be followed (Wendorth, 2009). Segmentation: The Evoque is segmented mainly as a luxury sport utility vehicle (SUV) due to unique and eye-catching features and designs. So, it is segmented in an extremely differentiated pattern and for different customers. Targeting: In a low end of the market, the Evoque ranges of vehicles need to be targeted mainly to the low income group families. The families, who are extremely interested to purchase a vehicle of great looks and performance with the help of EMI facilities. Positioning: In a low end of the market, the Evoque range of vehicles needs to be positioned as a vehicle that acts as a symbol of strength, performance and reliability in all types of weather conditions and roads. These features might help in attracting the individual of low end of the market to purchase such vehicles to retain their symbol of status and reputation in the market among others (Rust & Ghung, 2006). Hence, it might be stated that in order to penetrate a low end of the market, the above mentioned marketing strategy need to be followed so as to improve its position and market share. Along with this, it might also prove effective in amplifying its rate of profit margin and revenue to a certain extent (Rust & Ghung, 2006). Answer 2 Marketing Mix Of A Premium Evoque Product For Upper End Of The Market The marketing mix is a popular business technique utilised so as to analyze the effectiveness of a market before introducing a new product or brand. It helps in presenting a detail view of all the factors such as product, place, price and promotion so as to plan in that proposed way (Wendorth, 2009). Other than this, it is a premeditated mix of all the controllable elements of a product's marketing plan to launch it in an appropriate way (Richter, 2012). The marketing mix is also described as the combination of all the elements of marketing and the type of roles played by each and every element the process to promote the product or brand and service and also to deliver these products and services to the targeted customers in accurate place and time. It is also recognised as a strategy for selecting and implementing the best possible type of action to achieve brand image, long term goals and competitive advantage (Richter, 2012). However, prior designing a marketing mix of a product or brand to position it as a premium one, SWOT analysis of the region is extremely essential (Magrath, 1986). SWOT analysis is a marketing technique used to evaluate the underlining strengths, weaknesses, opportunities and threats of the region (Richetr, 2012). So as to, fit the specifications and features of the product, exactly with the requirements of the market and the customers. Therefore, utilization of such a analytical tool is extremely essential for any marketer or organization prior launching or competing with other reputed brands. Therefore, before competing with reputed brand or product lines like Audi Q5 and BMW X3, SWOT analysis of the upper end of the market is essential for Evoque range of vehicles (Magrath, 1986). SWOT analysis of Evoque range of vehicles along with BMW X3 and Audi Q5 Strength of Evoque range of vehicles: The Evoque range of vehicles includes two engines like 5 litre V8 petrol supercharge and diesel 4.4 SDV8. Evoque range of vehicles also includes aluminium body. Four WD is also present in Evoque vehicles Evoque range of vehicles might easily pass through flooded roads. Extensive luxurious interiors of Evoque range of vehicles. Weakness: Evoque range of vehicles is quite expensive as compared to others. Difficult to find the spare parts and service centres. Opportunities: High level of brand image of Evoque range of vehicles High level of reputation of Evoque range of vehicles High mileage Robust technology Threats: High level of maintenance cost of Evoque range of vehicles No showrooms found Strengths of BMW X3 and Audi Q5: Elegant and spacious interiors Good in off-roads Good brand image Weakness: High level of maintenance cost of BMW X3 and Audi Q5 cars Expensive (Jaguar Land Rover Limited, 2013). Opportunities: High brand equity Innovative technology Threats: Limited customer base High fuel cost Therefore, after analysing the SWOT of both Evoque range of vehicles and BMW X3 and Audi Q5, it might be depicted that Evoque would surely be able to complete with these brands in the upper end of the market. Marketing Mix of Evoque range of vehicles: Product: The element of product is divided into three sub-groups namely brand, innovative features and quality. Brand image: The brand image of Evoque range of vehicles is also quite high just as BMW X3 and Audi Q5. Due to which, there might be no problem in positioning it as a premium product in the upper end of the market just similar to BMW X3 and Audi Q5. Moreover, it offers the facility of two engines of V8 petrol supercharge and diesel 4.4 as compared to others. Other than this, due to its modern specifications of tires, it may easily pass through flood roads as compared to BMW X3 and Audi Q5. So, it is quite easily to present the range of Evoque vehicles along with Audi Q5 and BMW X3 (Magrath, 1986). Innovative Features: Evoque ranges of vehicles are a perfect symbol of elegance, performance and designs. As it includes varied types of innovative features like spacious interiors, modern features of opening the doors along with transformation of the mirrors (Jaguar Land Rover Limited, 2013). It is an exact SUV presenting an image of luxury ad style with utmost comfort. Similarly, it may easily be placed along with BMW X3 and Audi Q5. So, due to the presence of numerous modern features. Craved by the customers of modern era it might surely grab the attention of numerous customers. Quality: The quality of the Evoque range of vehicles is just mind-blowing or awesome. It is prepared with robust technology and eye-catching features so as to present an all-round performance in the roads (Costantinides, 2006). Pricing: These premium ranges of Evoque vehicles might be presented in the market by following competitors pricing strategy. It needs to be priced after analyzing the prices and features of the competitors like BMW X3 and Audi Q5 so as to attract huge range of customers. This might prove effective for Evoque vehicles to compete with these competitors in the market (Borden, 1984). Place: In order to increase the rate of competition of Evoque range of vehicles as compared to BMW X3 and Audi Q5, it might follow physical distribution process. It might prove effective in increasing the range of sales of these vehicles to a certain extent. Along with this, the total range of sales might also be increased by following channels of distribution just similar to BMW X3 and Audi Q5(Borden, 1984). Promotion: Promotion is also extremely essential for the improvement of the total sale of the Evoque range of vehicles. In order to increase the rate of awareness of the products, social media, radio and personal selling as well as public relationships are extremely essential in this modern age. Only this might enhance the rate of profit margin and revenue of the organization of Tata (Jaguar Land Rover) as compared to others (Borden, 1984). Thus, all these matters might prove helpful for the organization in enhancing the brand image and equity in the market among others (Costantinides, 2006). Segmentation: The Evoque range of vehicles need to be segmented in the market as a luxury SUV that presents an extremely smooth and comfortable feeling to its passengers just as BMW X3 and Audi Q5. Targeting: Evoque ranges of vehicles need to be targeted to the affluent families desiring for a trendy and luxurious vehicles with comfort and performance. So, it is highly preferred by the customers of high income rates desiring for a vehicle to maintain the status and image among other neighbours (Costantinides, 2006). Positioning: Evoque range of vehicles in the upper end of the market needs to be positioned as a comfortable and luxurious SUV with all sorts of latest technologies and features. It might surely attract the attentions of the customers desiring for a high performance vehicle (Bowman & Gatingnon, 2010). Thus, all these above mentioned features are extremely responsible for affecting the purchase decision of the customers. This is mainly because, it’s a symbol of status and reputation among the friends and relatives resulting in its enhancement (Magrath, 1986). Moreover, it is also quite moderate for the affluent families having a good economic condition. Hence, it might be depicted that due to such features, it might surely motivate the beliefs and thinking power of the buyers to purchase Evoque vehicles as compared to BMW X3 and Audi Q5(Bowman & Gatingnon, 2010). Conclusion: Conclusively, it might be stated that, in spite of varied other range of vehicles, Evoque is the best vehicle presenting a symbol of status and performance. It comprises of all sorts of modern features and facilities to attract the attention of the customers as compared to others. Thus, due to the presence of these features, the range of total sale and revenues might surely be increased. References: Belohlavek, P., 2008. Market Cybernetics, Unicist Marketing Mix, 2nd edition. Essentials of Marketing. Blue eagle Group. 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Richter, T., 2012. International Marketing Mix Management: Theoretical Framework, Contingency Factors and Empirical Findings from World-Markets. Details of Marketing. Logos Verlag Berlin Gmbh. Rust, R.T. & Ghung, T.S., 2006. Marketing Models of Services and relationships. Marketing Science, Vol(25), 6, pp-560-580. Wendorth, M., 2009. Particularities in the Marketing Mix for Service Operations. Marketing Mix.GRIN Verlag. http://prezi.com/rgzteivkpbet/land-rover-the-evoque/ Read More