Promotional and Advertising Strategies of Automobiles - Coursework Example

AUTOMOBILES Introduction Right from the start of the industrial revolution, the automobile industries have been performing an important responsibility in the development of economies all over the world. However, early twenty-first century saw an increased level of challenges facing these industries. Consequently, it brought various changes within the sector. The main purpose was to solve various production and marketing issues. The automobile segment in the UK is significantly innovative and vibrant. According to recent statistics, Britain’s automobile industry has a rating above those of Europe. It does possess more than twelve automobile industries that have a specialization in either buses, cars and many more. Furthermore, United Kingdom’s automobile sector has a good number of skilled employees. As a result, this has made them best sport and premium car manufacturers. Notable examples of industries that build their cars from Britain include Jaguar and Bentley (Made in Britain, 2014). Jaguar Automobile Company The company is ninety years old. Sir William Lyons founded it. The primary goal observed by its manufacturers in building this vehicle is the need to come up with a vehicle that combines beauty and performance. Through the years, Jaguar Company has been improving the models of their cars in terms of both features and performance. Consequently, this has enabled them to gain popularity both locally and in the international community (Made in Britain, 2014). Bentley Automotive Company It is one among United Kingdom’s luxury automaker. The company is an entirely owned subordinate of the Volkswagen. They plan, engineer, build, and distribute luxury cars for sell under the Bentley make. The company came into existence 1919, under its founder famously known as Walter O. Bentley. Bentley’s automotive company sells its products by the use of franchised traders globally (Made in Britain, 2014). Analysis of the Promotional Strategy employed by both Bentley and Jaguar Promotional strategies play a significant role in getting a product to the consumers and attracting new clients. The present day success of either Bentley or Jaguar to the end users partly depend on the promotional strategies used. In both automotive companies, there are similarities and differences in the marketing strategies used. The similarities are as follows. First, they use social media as a platform for marketing their brands. Similarly, the two companies use the social media to inform their customers of any latest brands coming to the market. Some of the social media sites used include Facebook, Twitter, and Google+. Second, both companies use product give away to participants of competitions created by the two companies. An advantage associated with this is that it enables clients to sample new and previously existing brands. Third, after making sales both companies usually conduct and after sale survey through the emails and telephones. The mission is to ensure the customers attain satisfaction while, on the other hand, leaving the promotional responsibilities to the customers. Fourth, both companies do their marketing by means of press releases like in Top Gear, public events, magazines like the What Diesel. In various types of brochures where they specify model names, specifications, and prices. Finally, both companies usually engage in offering branded functional donations. Consequently, this keeps the two companies on sight for potential customers rather than having them in an enclosed place. Furthermore, this makes the businesses more popular (Bentley, 2014) (Jaguar, 2014). With the availability of similarities in promotional strategies, there also exist differences. Differences are what make accompanies promotional strategy to stand out as being unique. There are various different promotional strategies used by both companies. To begin with, Jaguar automotive company cuts down prices of for different brands (Campbell, 2012). On the other hand, Bentley seldom reduces prices of its products this is done with the aim of maintaining the value of the luxurious brand. In addition, during downturns, Bentley automotive company always advises their dealers to sell used Bentley brands at competitive prices to avoid compromising the brand (Brownsell, 2008). Second, Bentley automotive company has minimized cases of creation of cheaper brands within the markets. Reason being, with the availability of more competitive models, possess a significant challenge to marketing of the premium ones. Without these customers will opt for the less cheap ones and customer level of premium brands will drastically drop. On the other hand, Jaguar is not considerate of this matter, so they keep producing models that are fairly priced compared to those of Bentley. Use of marketing information in differentiating Models By conduction, a proper market research gives more information about the a given venture. Marketing research refers to the act of evaluating the viability of goods and services within the market. It is done by use of surveys, focus groups, and product testing. By doing market research, the automotive companies will be able to establish who their clients are and what the perception of the consumer towards the models. Through the incorporation of the marketing mix and the four-P’s of marketing, that includes product, place, promotion, and price. Whereby, it emphasizes on the creation of a product that a particular faction of customers want. Then, the manufacturer should put it in a region mostly occupied by this person. Thereafter, price the product at a price that id directly proportional to the expectation of the potential consumers. Finally, embark on the promotion to adequately market the product (Richards & Media, 2010). The objective of using market research and mix marketing and four-P’s it is because it will be to the advantage of both Bentley and Jaguar and to the disadvantage of their competitors. Reason being, it will enable proper placement of the companies, minimize risks, and being able to detect trends in the market (Richards & Media, 2010). Uses of Consumer-Oriented Promotion to a Company It refers to the use of necessary actions that aim at convincing individuals to purchase goods and services from the promoting company. Bentley and Jaguar automotive companies can enhance consumer promotion by creating awareness, by maintaining their presence in the market and doing advertisements of their various models. The automotive companies can use customer oriented promotion in two ways. First, though creation of demand for a particular product from the consumers. Second, by identifying a customers need and coming up with a product that meets their needs. Because the production of goods and services will be based on the consumers’ desires, the companies will be able to experience increased profits in both the short and long run (Richards & Media, 2010). Consumer-oriented Promotion is intended to make automobile companies to produce various models of a known demand in the market. Pricing Objective Price always forms an essential component in the marketing mix. Other elements of pricing objective consist of product, promotion, and place. Prior to the pricing of a product, it is essential for companies to establish its pricing objectives. The pricing objectives are usually dependant on the need to maximize profits, increase sales, to maintain the status quo, and to increase the market share (Tanner & Raymond, 2013). Among the four pricing objectives, Bentley Automobile Company has used price and promotion. Their main purpose for using the two aspects of pricing objective is to maximize profits and at the same time maintain status quo. The main reason behind their action is for the aim of trying to sustain the value of their luxury products (Tanner & Raymond, 2013). The companies within the same product group can gain competitive advantage over Bentley by performing a market research. The objective being to determine the perception of the consumers to Bentley’s products and assessing to know if customer demands are always met. Thereafter, they should embark on customizing their products in relation to the users needs (Tanner & Raymond, 2013). The performance of a market research will enable competitors have a better understanding of the strengths and weakness of their Bentley Automobile Company. Consequently, this will allow competitors to create a product that suits the demands of their customers. Effective Advertising Medium for Automobiles Products from a given company could be unique but without effective advertising medium, their success in the market sector will be unachievable. The choice of an advertising medium should be that which reaches your target market and customers can understand it with great ease. The most reliable and efficient way of marketing a company is by use of a cable television. It can offer moving images and sound provision. It is considered as being the most effective more than newspapers and radio. Because most of the potential buyers of automobile products own it, it serves as an efficient way of marketing. Furthermore, the use of a television enables the advertisement to be limited to particular regions. Cable Television medium of advertising is useful because of the following reasons. First, it is a lesser cost option when it comes to advertising over the network television is approximately a fifth of the charges incurred over a standard television. For instance, prime-time spot on cable television costs around $175 and $2000 on network television. In addition, cable television is accessed by over ninety-five percent the population in the United States. Therefore, making an advertisement over it makes it achieve its desired objective. Consequently, this serves as a source of information for both potential and current customers. As a result, sales of a given period are expected to rise. References Bentley. (2014). About Bentley. Retrieved December Thursday, 2014, from Bentley: http://www.bentleymotors.com/en.html Brownsell, A. (2008, October). Bently Shifts Pricing Strategy. Retrieved December Thursday, 2014, from Marketing: http://www.marketingmagazine.co.uk/article/855118/bentley-shifts-pricing-strategy Campbell, M. (2012, October). Jaguar Slashes Prices by up to $64,500. Retrieved December Thursday, 2014, from Drive: http://www.drive.com.au/sydney-motor-show/jaguar-slashes-prices-by-up-to-64500-20121018-27tl4.html Jaguar. (2014). About Us. Retrieved December Thursday, 2014, from Jaguar: http://www.jaguar.co.uk/index.html Made in Britain. (2014, March). Retrieved December Wednesday, 2014, from AA: http://www.theaa.com/motoring_advice/car-buyers-guide/cbg-cars-made-in-britain.html Richards, L., & Media, D. (2010). Four Phases of a Customer-Oriented Sales Strategy. Retrieved December Thursday, 2014, from Small Business: http://smallbusiness.chron.com/four-phases-customer-oriented-sales-strategy-5261.html Tanner, J. F., & Raymond, M. A. (2013). Principles of Marketing. Retrieved December Thursday, 2014, from Flat World Knowledge: http://catalog.flatworldknowledge.com/bookhub/reader/5229?e=fwk-133234-ch15_s01 Read More