Terms of Reference
This marketing plan for the BMW 1-series aims to outline and analyse the market environment in Germany. Also, an evaluation of the strategic and operational orientation as well as the strength and weaknesses of the product should be given. Based on this, recommendations for the future direction and implementation of the marketing-mix will be given.
Executive Summary
In the competitive compact segment (short: C-segment) with increasingly demanding customers, BMW with its newly launched product clearly builds on its premium image as a sports car manufacturer. Although this is generally a good strategy, certain parts of the marketing mix need to be adjusted. Especially the high price of the product in comparison with its competitors is a potential problem. The following suggestions can be given to successfully built up a sustainable leading position in this segment, which is very important in terms of Customer-Lifetime-Value (CLV):
- Reduction of quality problems
- New technology development through increased R&D measures
- Increased promotional measures focused on the target group
- Strengthening of the dealer relationship
- Development of new distribution channels
Table of Contents
- 1. Terms of Reference
- 2. Executive Summary
- 3. Business Mission
- 4. External Marketing Audit
- 4.1. Macroenvironment
- 4.1.1. Political
- 4.1.2. Economic
- 4.1.3. Socio-Cultural
- 4.1.4. Technological
- 4.1.5. Ecological
- 4.1.6. Legal
- 4.2. Microenvironment
- 4.2.1. The Market
- 4.2.2. Competition
- 4.1. Macroenvironment
- 5. Internal Marketing Audit
- 5.1. Operating Results
- 5.2. Strategic Issues Analysis
- 5.3. Marketing Mix Effectiveness
- 5.4. Marketing Structures and Systems
- 6. SWOT Analysis
- 7. Marketing Objectives
- 7.1. Strategic Thrust
- 7.2. Strategic Objectives
- 8. Core Strategy
- 8.1. Target Markets
- 8.2. Competitor Targets
- 8.3. Competitive Advantage
- 9. Marketing Mix Decisions
- 9.1. Product
- 9.2. Promotion
- 9.3. Price
- 9.4. Place
- 10. Budget
- 11. Organization and Implementation
- 12. Control
Objectives and Key Themes
The objective of this marketing plan is to analyze the market environment for the BMW 1-series in Germany, evaluate the product's strategic and operational aspects, and provide recommendations for future marketing strategies. The plan aims to identify strengths and weaknesses of the product and suggest a path towards establishing a sustainable leading position in the competitive compact segment.
- Market Analysis of the German Compact Car Segment
- Evaluation of the BMW 1-series' Strengths and Weaknesses
- Competitive Analysis within the C-segment
- Recommendations for the Marketing Mix (Product, Price, Place, Promotion)
- Strategies for achieving a sustainable market position
Chapter Summaries
1. Terms of Reference: This chapter outlines the scope of the marketing plan, focusing on analyzing the market environment in Germany for the BMW 1-series. It clarifies that the plan will evaluate the product's strategic and operational aspects, identifying its strengths and weaknesses. Ultimately, the chapter sets the stage for providing recommendations regarding future marketing strategies and the implementation of the marketing mix.
2. Executive Summary: The executive summary highlights the competitive nature of the compact car segment and BMW's reliance on its premium image. It acknowledges potential challenges, primarily the high price point relative to competitors. Key suggestions for achieving a sustainable leading position are presented, emphasizing the importance of customer lifetime value (CLV). These include addressing quality issues, investing in R&D, targeted promotional activities, strengthening dealer relationships, and developing new distribution channels.
3. Business Mission: This section details BMW's business mission, encapsulated in the slogan "Freude am Fahren" (Joy of Driving), and its association with premium quality, sportiness, and reliability. The marketing of the 1-series aligns with this mission, building on BMW's heritage and associating the new model with the legacy of the BMW 2002tii. The use of Kermit the Frog in a campaign further emphasizes the "fun" aspect.
4. External Marketing Audit: This chapter presents a two-part external audit: a macroenvironmental analysis using a PESTEL framework and a microenvironmental analysis. The PESTEL analysis examines political, economic, socio-cultural, technological, ecological, and legal factors influencing the automotive market in Germany, including factors such as VAT increases and EU market liberalization. The microenvironment analysis will likely delve into the specific market conditions and competitive landscape.
5. Internal Marketing Audit: This chapter focuses on an internal assessment of BMW's marketing efforts. It's likely to include analysis of operating results, strategic issues, the effectiveness of the current marketing mix, and existing marketing structures and systems. This internal review provides a foundation for identifying areas for improvement and informing the development of future strategies.
6. SWOT Analysis: This chapter synthesizes the findings of the internal and external audits into a SWOT (Strengths, Weaknesses, Opportunities, Threats) analysis, providing a comprehensive overview of the BMW 1-series' market position and strategic options. This analysis will likely form the basis for defining marketing objectives and developing a core strategy.
7. Marketing Objectives: The chapter lays out the specific, measurable, achievable, relevant, and time-bound (SMART) marketing objectives for the BMW 1-series. It likely details both the overall strategic thrust and individual objectives needed to achieve the overarching marketing goals identified in earlier chapters.
8. Core Strategy: This chapter outlines the core strategies the BMW 1-series will employ to achieve its marketing objectives. This likely encompasses target market selection, competitor analysis, and the establishment of a sustainable competitive advantage, potentially focusing on specific areas like price, technology, or brand image.
9. Marketing Mix Decisions: This crucial section elaborates on the specific decisions regarding the four Ps of marketing: Product, Price, Place, and Promotion. It likely details the product features, pricing strategy, distribution channels, and promotional campaigns designed to appeal to the target market identified in previous chapters. This chapter provides a comprehensive blueprint for the marketing execution plan.
10. Budget: This chapter details the financial resources allocated to the marketing plan's implementation. It provides a breakdown of the costs associated with various marketing activities and justifies the resource allocation based on their anticipated contribution to achieving the marketing objectives. This section demonstrates the financial commitment to the proposed strategies.
11. Organization and Implementation: This chapter outlines the organizational structure and implementation process for the marketing plan. It clarifies the roles and responsibilities of different teams and individuals involved, describes the timeline for the various stages of execution, and specifies the mechanisms for monitoring progress and making necessary adjustments.
12. Control: The final substantive chapter focuses on the mechanisms for monitoring and controlling the effectiveness of the marketing plan. It outlines key performance indicators (KPIs), the methods for collecting data, and procedures for evaluating progress against targets. This section ensures accountability and allows for timely corrective actions if necessary.
Keywords
BMW 1-series, German automotive market, compact car segment (C-segment), marketing plan, marketing mix, PESTEL analysis, SWOT analysis, competitive advantage, target market, customer lifetime value (CLV), premium branding, pricing strategy, distribution channels, promotional campaigns.
BMW 1-Series Marketing Plan: Frequently Asked Questions
What is the purpose of this marketing plan?
This marketing plan analyzes the German market environment for the BMW 1-series, evaluates its strategic and operational aspects, and provides recommendations for future marketing strategies. Its goal is to identify the product's strengths and weaknesses and suggest a path to establishing a sustainable leading position in the competitive compact car segment.
What are the key themes covered in the plan?
Key themes include a market analysis of the German compact car segment, an evaluation of the BMW 1-series' strengths and weaknesses, competitive analysis within the C-segment, recommendations for the marketing mix (Product, Price, Place, Promotion), and strategies for achieving a sustainable market position.
What is the scope of the external marketing audit?
The external marketing audit uses a PESTEL framework (Political, Economic, Socio-Cultural, Technological, Ecological, Legal) to analyze the macroenvironment and examines the microenvironment, focusing on the market and competition within the German compact car segment.
What does the internal marketing audit cover?
The internal marketing audit assesses BMW's marketing efforts, analyzing operating results, strategic issues, marketing mix effectiveness, and marketing structures and systems. This helps identify areas for improvement and informs the development of future strategies.
How does the plan utilize SWOT analysis?
The SWOT analysis synthesizes findings from internal and external audits, providing a comprehensive overview of the BMW 1-series' market position and strategic options. This forms the basis for defining marketing objectives and developing a core strategy.
What are the key marketing objectives?
The plan details specific, measurable, achievable, relevant, and time-bound (SMART) marketing objectives for the BMW 1-series, outlining both the strategic thrust and individual objectives needed to achieve overarching marketing goals.
What core strategies are proposed?
The core strategy outlines approaches for achieving marketing objectives. This includes target market selection, competitor analysis, and establishing a sustainable competitive advantage, potentially focusing on price, technology, or brand image.
How are marketing mix decisions detailed?
The plan elaborates on decisions regarding the four Ps of marketing: Product, Price, Place, and Promotion. It details product features, pricing strategies, distribution channels, and promotional campaigns designed to appeal to the target market.
What information is provided on budgeting?
The budget section details financial resources allocated to the marketing plan's implementation, providing a cost breakdown of marketing activities and justifying resource allocation based on their contribution to achieving objectives.
How does the plan address organization and implementation?
This section outlines the organizational structure and implementation process, clarifying roles and responsibilities, timelines, and mechanisms for monitoring progress and making adjustments.
What control mechanisms are in place?
The plan outlines key performance indicators (KPIs), data collection methods, and procedures for evaluating progress against targets to ensure accountability and allow for timely corrective actions.
What are the key keywords related to this plan?
Key keywords include: BMW 1-series, German automotive market, compact car segment (C-segment), marketing plan, marketing mix, PESTEL analysis, SWOT analysis, competitive advantage, target market, customer lifetime value (CLV), premium branding, pricing strategy, distribution channels, and promotional campaigns.
- Quote paper
- Andreas Klein (Author), 2007, Marketing Plan: BMW 1-series in Germany, Munich, GRIN Verlag, https://www.grin.com/document/69455
