How to Create, Win, and Dominate Markets - Essay Example

?Product positioning strategy In order to successfully market the Tesla car in Australia, it can be observed that the concept of product positioning is a crucial element which influences the buying behaviour of the targeted buyers. Basically, product positioning is concerned about issues related to how a brand is positioned or perceived in the minds of a target group of customers (Randall, 1994). It is proposed that the value of the model car will be determined by the features that make it different from other vehicles found in the market. In this particular case, the Tesla model car will be positioned as a unique brand that will appeal to the interests of people belonging to different demographic segments. The brand is unique in that it combines factors such as favourable or affordable price as well as features that make it excellent to drive. The current perceptual map will be designed to present the car as a valuable model that offers value for the money spent by the customers. The car offers comfort and it is efficient in the sense that it is a fuel saver and it is ideal for private business. Given that there are many competitors in the automobile industry in Australia, this positioning strategy that is designed to appeal to the interests of various customers will go a long way in appealing to the interests of the targeted people. The car will be positioned in such a way that middle class income earners will find it convenient to buy. The future prospects about marketing this brand are aimed at targeting the affluent and wealthy people where the brand will be developed further to suit their interests and needs. Pricing strategy Tesla Company will use a pricing strategy that is designed to satisfy the needs of as many customers as possible. Since there are different actors in the automobile industry, it is proposed that the initial price of a light vehicle will be set at AU$7 000. This price is neither too cheap or very high given that it is averagely priced compared to other expensive cars which are pegged at more than AU$20 000. The proposed price takes into account factors such as cost as well as value offered by the brand. It is estimated that the cost of manufacturing a light vehicle will be around AU$5 000 so this price is reasonable given that the company will be in a position to generate reasonable profits from its operations. The company will use the penetration strategy when the brand is launched in different markets. The marketers first skim the market in order to establish the level of response by the targeted customers. The response from the targeted buyers will be specifically used to determine the price of the light vehicle. However, this will be constantly reviewed in order to ensure that the company gets the best out of the sales of its model car. Special pricing tactics will be used in the operations of the company. For instance, price discounts can be offered to certain target groups in order to ensure that they too can be in a position to afford the vehicle. The value based approach when setting the prices will also play the trick in as far as the success of this brand in the market is concerned. This is meant to ensure that the customers will be in a position to realise the uniqueness of the model car compared to other brands offered in the market by other competitors. Promotion strategy Tesla Company will utilise the promotional strategy of integrated marketing communications (IMC). This strategy combines promotional tools such as advertising, personal selling, public relations and direct marketing (Kotler & Armstrong, 2004). Advertising is a very crucial element of marketing given that it can reach a lot of people in geographically dispersed areas and the company will be able to repeat the same message for several times. The company will use this promotional tool given that it will create awareness among the potential consumers about the model car. On the other hand, personal selling will also be used in marketing this brand. This is so because the strategy is very effective in building the buyer’s preferences and actions (Strydom, 2004). Since Tesla will be a new brand in the market, consumers will be convinced through personal selling strategy since the sellers will be in a position to directly interact with potential buyers explaining everything to them about the model car. These promotional tools will be complimented by the use of PR which is particularly concerned about creating a good image of the company as well as goodwill with the customers. The other important consideration in addressing the promotional strategy is related to selection of communication channels in implementing the IMC strategy for Tesla Company. The use of the internet during the contemporary period has revolutionised the business landscape and it is a very effective tool for conducting business. Kotler (1999) terms this business strategy online marketing. In this particular case, a specially designed website will be utilised by Tesla given that it can attract a lot of potential buyers. This is commonly referred to as a pull strategy that is designed to attract people to try a certain product. The message will be tailored in such a way that it will portray the company as a unique business entity in the automobile industry. In this case, it can be seen that the main promotional objective of Tesla Company will be meant to appeal to the interests of as many people as possible so that they can try the brand. The use of mixed promotional strategy including advertising, personal selling, public relations and sales promotion will allow the marketers at Tesla Company to communicate effectively since they will be in a position to control their messages as well as to reach a large number of people. In implementing the promotional plan, market research is first conducted and the needs of the customers established. Some of the promotional strategies can be implemented concurrently while others like public relations can be implemented stage by stage. In actual fact, PR in the company is an ongoing process designed to create a positive image of the company. When the brand has reached maturity stage, advertising can be reinvented to remind the customers about the existence of the brand in the market. References Kotler, P & Armstrong G 2004, Principles of Marketing, Pearson Education, Upper Saddle River: NJ. Kotler, P 1999, Kotler on Marketing: How to create, win and dominate Markets, Free Press, London. Randall, G 1994, Trade Marketing Strategies: The Partnership between manufacturers, brands and retailers, Butterworth-Heinemann, London. Strydom, J 2004, Marketing, 3rd Edition, Juta & Co Ltd, Cape Town. Read More