Volkswagen Marketing Management Analysis

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Added on  2020/05/08

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AI Summary
This assignment delves into the marketing strategies employed by Volkswagen. It begins with an overview of the company's history, product range, and market position. The analysis then examines Volkswagen's pricing strategies across different models, highlighting their variations based on factors like quality and target market. The assignment further explores Volkswagen's promotional activities, emphasizing its localized communication approach and global brand values. Finally, it touches upon the competitive landscape faced by Volkswagen, including major rivals such as Toyota, Ford, and Honda.
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Running head: MARKETING MANAGEMENT
Marketing Management
Name of the Student:
Name of the University:
Author Note:
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2MARKETING MANAGEMENT
Table of Contents
Company background of Volkswagen.............................................................................................2
Products of Volkswagen..................................................................................................................2
Market Positioning...........................................................................................................................2
Pricing strategy................................................................................................................................2
Marketing mix of Volkswagen........................................................................................................3
Promotional strategies adopted by Volkswagen..............................................................................4
Reference List..................................................................................................................................5
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3MARKETING MANAGEMENT
Company background of Volkswagen
Volkswagen is a German-based company. This company is the largest automobile
manufacturer in and across the world (Volkswagen International, 2017). The Parent Company is
Volkswagen AG. Under Volkswagen Group, there are major 9 brands and these are: Audi,
Bugatti, Bently, Scania, Skoda, Lamborghini, Volkswagen commercial vehicles as well as Seat
and passenger cars. Volkswagen Group operates in more than 60 production plants in and across
the world.
Products of Volkswagen
Products of Volkswagen ranges widely from low consumption small cars to luxury class
vehicles.
Market Positioning
Volkswagen is the largest manufacturer in Europe where the company has market share
of 20%. Volkswagen occupies the third position in automobile industry on global basis. The
company aims at operating their business by using sustainable and ethical means (Kotler et al.,
2016).
Pricing strategy
Pricing differs largely upon different brands of Volkswagen. Some of the pricing
strategies are mentioned below:
Phaeton- High quality, high price and premium value
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4MARKETING MANAGEMENT
Touareg- Medium price, high quality, high value
Passat- Low price, high quality, penetration
Yeti- Medium quality, high price, over charging
Jetta- Medium quality, medium price, medium value
Vento- low price, medium quality, good value
Beetle- high price, low quality, rip off
Fabia- medium price, low quality, false economy
Polo- low quality, low price and economy
Marketing mix of Volkswagen
Products of Volkswagen- There are different products of Volkswagen and these are as follows:
Skoda
Bugatti
Volkswagen
Lamborghini
Commercial vehicles
Seat
Audi
Price of Volkswagen- The Company set prices in accordance to its competitors. There is
discrimination present in prices in and across regions. There is no price competition present in
emerging markets. The company follows strict cost controlling measures.
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5MARKETING MANAGEMENT
Place of Volkswagen- There is international standardization of dealers involved and they are
separated by distributed channels for single brand.
Promotion of Volkswagen- The Company believe in localized communication as well as brand
advertising.
Promotional strategies adopted by Volkswagen
The company has some core brands value in and across the globe that are mainly
innovative, valuable as well as responsible and that is clearly visible in their promotional
activities. During the initial stage, Volkswagen started with low brand awareness (Hollensen,
2015).
Competitors- Volkswagen faces stiff competition from companies such as Toyota, Ford and
Honda.
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6MARKETING MANAGEMENT
Reference List
Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education.
Kotler, P., Keller, K. L., Brady, M., Goodman, M., & Hansen, T. (2016). Marketing
management. Pearson Education Ltd..
Volkswagen International. (2017). Volkswagen.com. Retrieved 14 October 2017, from
http://www.Volkswagen.com
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