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Introduction This document entails the BMW South Africa background, the target market for the new innovative BMW 3 Series. This includes 7 PS mentioned below to assist in selling the 3 Series BMW, the perceptual map and the positioning statement. BMW South Africa core values are to produce top class quality cars. This is shown in their end product. They want to emphasize on safety in the cars they produce, the pleasure of travelling, achievement that is deserved, and customer satisfaction at all time. That is why BMW has focus on building and implementing better 1st class quality vehicles than their competitors; this is also to insure BMW customers drive comfortable, safe cars. The BMW 3 Series model is at the top of the leader board.

2. Background information of BMW BMW has been assembly in South Africa since 1970, when Praetor Monteerders plant was opened in Rosslyn, near Pretoria. BMW South Africa is one of the premium manufacturers in this country with a premium segment share of more than 30%. BMW both shares in Praetor Monteerders in 1973, the company became the first South African OEM to launch a fully-fledged export program in 1994. The first 500 South African produced 3 series vehicles which were exported to Australia. In 2009 the company established itself as South African favorite car brand in the lovemark awards and it was voted as the coolest car brand for the fifth year in a row in the Sunday Times generation next survey. The company also became the only motor manufacturer in South Africa to launch the business ABET learner in partnership with MERSETA local and provincial Government and the department of labour. Currently BMW Plant Rosslyn produces approximately 50 000 BMW 3 series 320i, in both left and right- hand drive, per year. Approximately 9000 of these cars are sold in South Africa and the remainders are exported to markets across the world including the USA, United Kingdom, Taiwan etc. 3. 3 Series Target market BMWS Target Market for the 3 series 320i sedan consists of well- educated relatively affluent males seeking an automobile to satisfy their need for excitement and luxury. These men are also looking for a performance car that can serve as a practical family vehicle, offering sufficient space and safety features. While there are some women driving the 3 series model, the target market is mostly 70% to 80% males. BMW also targets a rather wide age group: males anywhere between the ages of 25 55 are candidates to purchase this car. The 3 series 320i is well suited for sophisticated consumers deliberately searching for a refined car with a sporty ride.

3.1. Psychographic They are educated, sophisticated and active consumers, BMW 3 Series owners tend to fit two specific VALS (Values & Lifestyle) groups. Some 3 Series owners are achievers, goal oriented individuals who value prestige and well made products. They own a 3 Series because it is a reputable automobile and well established model. A 3 Series is also a demonstration of their success, a quality that many achievers look for in the products. 3.2. Segmentation

GEOGRAPHIC

Region

Cape Town, Port Elizabeth, East London, Durban.

Size of city / town

Under 10 000

Density

Urban, Suburban, Rural

Climate

Summer maximum temperature 21.1 C28.4C Winter maximum temperature 16.2C22.7C

DEMOGRAPHIC

Age Gender Family size Income educational Religion

18-49 Male & female Family of four people. High disposable income BMW owners also tend to be more educated than their Counterparts. Professionals

Race

All

4. 7 Marketing Mix Product

Core product The BMW 3 Series model is a tangible product and will emphasize on the features, Advantage and benefit. BMW 328i. This BMW Twin Power Turbo 4 -cylinder petrol engine delivers its maximum torque of 350 Nm at just 1250 rpm. Thanks to BMW Twin Power Turbo technology combining a Twin Scroll turbocharger with Valvetronic, Double-VANOS and High Precision Injection, this 180 kW power plant accelerates the car from 0 to 100 km/h in just 59 seconds. Top speed is 250 km/h, while average fuel consumption is 6, 6 litres per 100 km.

Augmented product

Airbags are part of the safety equipment in a BMW, all components of which are designed to complement each other perfectly. Six airbags offer specific protection: the driver and front passenger airbags, the front-to rear (curtain) head airbags, and the side airbags integrated in the front seat backrests.

Active Protection means that all safety components in the new BMW 3 Series Sedan are designed to complement each other perfectly. Six airbags offer specific protection, while crash-active headrests at the front reduce the risk of whiplash injuries. In a critical situation, Active Protection additionally tightens the front seatbelts and automatically closes open windows and the optional sunroof. PostCrash I Brake is able to stop the vehicle automatically after a collision, thus mitigating or preventing follow-on collisions.

Product Strategy The design of the BMW 3 Series has always epitomized athleticism, modernity and elegance. These three personality traits can also be found in the interior of the new BMW 3 Series Sedan. Choose between three BMW Lines and thus between three different design schemes: Modern, Sport and Luxury. In the interior, which always harmonizes perfectly with the exterior, colours and materials are used to create the specific character of each BMW Line.

Product Line The BMW is available in three models which include BMW Luxury Line, BMW Modern Line, and BMW Sport Line. Which also consist of 3 Series models 320i, 320d and 328i.

Packaging You express your personality every day. That includes the car you drive each day. This is why the new generation of the BMW 3 Series Sedan adapts its design features to your individual style. With the BMW Lines Modern, Sport and Luxury, you can choose from three additional design schemes focused on emphasizing one particular attribute of the new BMW 3 Series. Comfort package This includes automatic air conditioning with two-zone control, lights package, storage compartment package, and folding headrests for the rear Passengers. Labeling The label of the car is BMW Efficient Dynamics Less emissions. More driving pleasure which is an attractive line that will draw the consumers attention and live them thinking. This label represents the innovativeness, design of the New 3 Series model.

Price The price is the amount paid by the customer to buy the product or avail the services of the company. This marketing strategy ensures that the pricing of the product is done correctly and it is not overvalued to the customer and not undervalued to incur loss to the company. As BMW deals in the niche segment and the customer to which the company provide is not very much price sensitive. The customers of this brand look for the value of the money they are getting on the product. BMW 3 Series Sedan Price The BMW 3 series is available in several different models: the 320i, 320d, and 328i standard with all wheel drive, the i models are rear-wheel drive. Recommended retail price including 14% VAT Standard model 6 speed Manual 8 speed Automatic Transmission Steptronic 8 speed sport Automatic Transmission Steptronic Sport Line 6 speed Manual 8 speed Automatic Transmission Steptronic 8 speed Automatic Transmission Steptronic R404 200 R433 700 R481 000 R397 100 R426 600 R473 900 R379 100 R408 600 R455 900 R386 100 R415 600 R463 600 R379 000 R408 500 R456 500 320i R361 000 320d R390 500 328i R438 500

Place

In terms of an automotive company, place refers to the volume and prevalence of its dealerships and production sites. BMW dealerships appear in 50 countries, and production occurs at 23 plants in 12 countries including South Africa. Where BMW has a plant in Rosslyn in Pretoria, were they produce the 3 Series models. This model is produced than distributed along BMW dealerships around South Africa but most of them are exported overseas, for example in USA, United Kingdom, and Taiwan.

Promotion

The 3 series is a well-established leader in the 3 series models performance sedan market. BMW promotes the models aggressively with clever advertising, recently advertisement have shown how the 3 series has developed throughout the years, including one spot that shows the changes the vehicle has undergone as it speed around a track.

Sales Promotion BMW Joint-Campaign with HD Radio BMW began campaigning with the HD Digital Radio Alliance to promote the High Definition radio service. BMW, which offers HD radio in their cars, provides the Alliance with a substantial corporate customer to promote its services.

Social media Brilliant two way communication strategy social media and basically free advertising, which can also be a good strategy for BMW to use to sell innovate 3 series, and assessing brand performance and measuring service quality and product satisfaction. BMW needs to keep up to date with their Facebook page, which enables consumers to post what they think about the car and get answered immediately. A twitter page that will be guided every day and take people request BMW also has to create a blog page were consumers are able to keep up to date with the latest news. Social media is there for organizations to assist them to keep them in base with their current and future consumers.

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People To make the marketing activity to be effective, the role of the staff of the organization cannot be ignored. BMW have a very rich culture which continuously motivates their staff to perform better for the company. BMW provides various benefits and compensation, career advancement opportunities to its employees. The sales consultants from BMW are hired based on their merit, and are academically strong, they are equipped and are qualified sales people that are trained very well by the BMW head office that are based in Pretoria.

Process The satisfaction of the customer is one of the most important roles of marketing. This involves BMW dealerships assuring that the car is delivered smoothly to the final use or consumer. BMW insures high quality services at all cost because they value their customers needs.

Physical Evidence This feature of the product helps to position itself based on its certain physical attribute so that the customers will get to know how the product is going to benefit them. Thus, the product manufacturing company develops certain features in its product by which customer will be able to relate it to the product. BMW targets the comfort of the ride and the status symbol to provide the physical evidence to its customers. They also insure test drivers to potential customers so those customers could entitle their opinion about the car.

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5. Perceptual Mapping As illustrated by the perceptual mapping below that has four main areas which are classy distinctive, sporty, practically affordable and conserved. The 3 Series BMW as presented is positioned as highly sporty, classy, sophisticated and far away from practically affordable as it cost higher than its competitors.

5.1. Positioning map


High quality Lamborghini Toyota Camry hybrid Maybach Rolls Royce BMW Mercedes- Benz Low prices Hyundai Toyota Chrysler Ford High prices

Low quality

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5.2.

Positioning statement

BMW positions its products as superior vehicles, confidently asserting its position as an industry leader. The company has associated its brand with class and prestige and has established it models as benchmarks in their respective segments. BMW labels itself The Ultimate Driving Machine, further suggesting its eminence as an automobile maker.

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6. Conclusion BMW should continue to build on its companys strong brand as well as the prestige of the 3 Series model. The company should continue to produce clever advertisements, and place these advertisements across all mediums, especially on the internet, a medium that has grown substantially as of late. BMW should also invest in more fuel-efficient technology for their performance lines, especially the 3 Series. Although the 3 Series is fuel-efficient relative to its competition, there are many new better on gas than the 3 Series. BMW should also target women with their 3 Series model, focusing on the safety and practicality of the car. The 3 Series consumer group is male-dominated, consistent with the performance sedan segment general if BMW can capture a substantial female consumer base, it can gain market share ahead of its competition. Aside from young, professional women seeking an exhilarating automobile, BMW should target the older female demographic, which holds significant decision-making power within their families.

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Bibliography Kotler, P and Keller, K. 2009. Marketing Management. 13ed. New Jersey: Pearson BMW South Africa (online). 2012. Available WWW: http: www.BMW. co.za (Accesses 06 September 2012) Shimp, A. 2010. Integrated Marketing Communication: Advertising and Sales Promotion. 8ed. University of South Carolina

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