Marketing Strategy of BMW – BMW marketing strategy: Bayerische Motoren Werke AG often referred to in the industry as BMW (or BMW AG is a German automotive motorbike and engine manufacturing firm founded in 1916. It also manufactures and owns Mini automobiles, which is also the mother company for Rolls-Royce Motor Cars. BMW manufactures motorcycles under the name BMW Motorrad. BMW has won numerous racing championships.
Did You Know About BMW?
Company : BMW
CEO: Harald Krüger (current CEO)
Founder: Franz Josef Popp | Camillo Castiglioni | Karl Rapp | Gustav Otto
Year founded: March 7, 1916,
Annual Revenue: €98.990 billion
Profit | Net income: €3.857 billion
Products & Services: BMW, MINI, Rolls-Royce and BMW Motorrad, the BMW Group is the world’s leading premium manufacturer of automobiles and motorcycles and also provides premium financial and mobility services.
BMW Fun Fact: While some people believe the BMW logo represents the spinning propeller of a plane, hinting at the company’s history as airplane engine manufacturers, the design is actually a tribute to its roots in Bavaria, Germany. The iconic white and blue design reflects the blue and white pattern on the flag of Bavaria, where the company was born.
Marketing Strategy of BMW – Segmentation, Targeting, Positioning
The company that makes luxury cars categorizes its product offerings according to demographics, psychographics, and behavioral factors.
A typical client of BMW is in middle age (35-50) and who has achieved success in their profession, has an interest in the aspirational products, and is a fan of his or her social status. The advantages sought from the individuals are top-quality, performance, reliability, and quality.
BMW has a target market that belongs to the upper social strata as they are the type of people who BMW is priced at a reasonable price and additionally, they will be able to appreciate the work of art. The leading global brand, BMW has positioned itself as a mark of quality technology, advanced technology, high performance, and unique automotive company.
BMW Mission Statement
“The BMW Group is the world’s leading provider of premium products and premium services for individual mobility”.
BMW Vision Statement
“to be the most successful premium manufacturer in the industry.”
“The Ultimate Driving Machine”.
Marketing Strategy of BMW – Competitive Advantage
The continuous enhancement of processes and technological advancement in R&D are the mainstay of the competitive edge that is BMW. It is renowned for its high-quality, reliable, and superior quality of customer assistance. BMW has implemented a policy that Customer services=growth driver as a fundamental idea increases the business.
It is present in more than 150 countries around the world. Europe and North America is the market from which the majority of sales are generated. However, as the world grew with emerging nations such as the Asian market the company began focusing on these markets to increase sales. It is a reputable range of products that range from BMW M Convertible BMW 3 series 3 and 5 series sedans as well as touring models to BMW X3 /X5 -SUV. They are a strong player in every category.
Marketing Strategy of BMW – BCG Matrix
Utilizing this BCG Matrix using BCG Matrix, we can see BMW Group’s auto business is an industry leader with a huge share in the high-end market and a rapid growth rate of its models. BMW Group’s motorcycle and financial services products are thought to be an area of concern.
Within BMW cars are cars for business.
BMW X3 /X5 -SUV is a question mark.
BMW 3 Series – 5, 5, and 7 series – sedans and touring Stars because they are the models that have the highest sales figures in BMW’s portfolio.
BMW Z4, M & 6 series is the star.
BMW MINI will always be an icon due to the competition against Beetle.
Rolls Royce is a money-making machine and is the brand driving force for BMW.
Marketing Strategy of BMW – Distribution Strategy
The exclusivity of the stores is certainly a factor to draw attention to for BMW The company has and continues to make investments in the development of flagship stores to improve the user experience. In addition, BMW is also growing its dealers that are authorized dealerships.
BMW is currently running its business via its 6000+ dealerships throughout the globe. The logistics partners are Local players within the country that help make BMW’s product accessible to the consumer at the POS (point of sale).
Marketing Strategy of BMW – Brand equity
The success of BMW is rooted in its distinctive identity. an identity that is based on the feeling of driving the car. BMW is considered to be one of the most renowned manufacturers of high-end and modern automobiles. BMW is known as the world’s no.1 premium car company that has Rolls Royce & MINI has established itself as a company that has the same branding image standing and enjoyment of driving – all over the world.
The brand image of BMW was shattered after they recalled more than 7 lakh cars in 2010 because of cables for the engine/pump/ battery due to issues. They can’t keep their promise to be “The Ultimate Driving Machine”.
In the meantime, BMW is leading the market by introducing innovative ideas regarding design. Its BMW I8 concept has impressed many, as has the BMW fabric car, which is known as GINA.
Marketing Strategy of BMW – Competitive Analysis
BMW is ahead of the game with other companies like Audi, Mercedes, Volvo, and others. who is betting heavily on Asian markets such as China, and India and advanced markets such as the USA, UK, and European countries?
BMW’s SUVs X3 and the X5 aren’t as popular even in the advanced market however, as we are changing the way people live and increasing recreation and tourism, there’s a growth in the demand for SUVs, which results in a loss of sales. Audi offers some excellent models on the market and is regarded as much more expensive and is popular with A-grade customers.
BMW, despite its efforts to gain a share of the middle-class upper market, has lost its base of customers in its A-grade segment. It is attempting to increase with models like BMW I8 and GINA. BMW I8 and GINA were mentioned earlier. BMW is promoting itself as a premium brand to regain the top market share.
Marketing Strategy of BMW – Market Analysis
In a constantly growing car market, the growth of the luxury segment is evident. Demand for luxury cars is rising in Asian markets, the changing of habits and an increase of 33% for developing countries such as India is a reason for that sales are increasing and more and more people are entering the premium car segment.
A large number of players are competing to gain their market share. In emerging nations, companies such as Mercedes and Audi are playing with a vengeance, while BMW is unable to keep up with these markets. Another advantage of these carmakers is the assistance offered by a variety of loans for the purchase of cars in countries that are developing.
Marketing Strategy of BMW – Customer Analysis
Customer of BMW is the upper-middle-class or upper-class social group of those who are at the peak of their careers and maybe between the ages of 30 and 50 years. When they are involved with BMW individuals feel a sense of confidence as well as the sense of ownership. BMW is part of the Demand segment, which is comprised of the sense of needs demands and needs and it demonstrates that the individual is part of an upper social class.
Marketing Strategy of BMW – Promotional Strategy
One of the most important aspects that make BMW the most distinctive name in their advertising. BMW has established itself over time and then reestablished itself as an exceptionally skilled marketer. In the majority of promotional campaigns, BMW advertises their products on their top technological benefits as well as their design and the way it is designed intended for those who are the most discerning.
Naturally, when you put yourself with the top three premium brands available People will look up to them. BMW has been several times from the likes of Jaguar, Audi, and Mercedes. Here are the most memorable advertisements on paper from BMW that you can view. I’m also sharing an ad from the past of BMW which I was awestruck by. It showcases all the BMW cars they have in their fleet.
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