Marketing Strategies for Tesla Model 3

Running head: MARKETING
Marketing
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1MARKETING
Executive summary
Tesla, a leading innovative automobile manufacturer has provided a unique product that is
electric vehicles (EV). Through premium pricing Tesla offers the cars with highly advanced
technology. The new Model 3 is comparatively a cheaper product that is targeted towards the
mass market. It also meets the goals of the company to promote sustainability at a large scale and
transforming the public transport system. This report presents the segmentation, targeting,
positioning and marketing mix strategies of Tesla, followed by the evaluation and control
measures and 12 months implementation plan and recommendations for the company.

2MARKETING
Table of Contents
1.0 Introduction................................................................................................................................3
2.0 Target marketing and positioning for Tesla Model 3................................................................3
2.1 Selection of target market......................................................................................................3
2.2 Positioning strategy...............................................................................................................4
3.0 Marketing mix strategies...........................................................................................................5
3.1 Product...................................................................................................................................6
3.1.1 Defining the product attributes.......................................................................................7
3.2 Price.......................................................................................................................................8
3.3 Place/Distribution..................................................................................................................9
3.4 Promotion..............................................................................................................................9
4.0 Evaluation and control.............................................................................................................11
5.0 Implementation and schedule..................................................................................................14
6.0 Conclusion and recommendations...........................................................................................16
References......................................................................................................................................18

3MARKETING
1.0 Introduction
Tesla, the leading luxury electric car manufacturer of the world, is launching a new
model. The Model 3 is cheaper than the flagship model S and thereby is aimed towards the mass
audience in the existing as well as in the new markets. This report presents the segmentation,
targeting and positioning of Tesla for its model 3 and it is followed by a detailed marketing mix.
The report will also present a discussion about the evaluation and control measures to be adopted
by Tesla for assessing the effectiveness of marketing mix and it is followed by the
implementation plan, timeline, recommendations and conclusion.
2.0 Target marketing and positioning for Tesla Model 3
2.1 Selection of target market
As stated by Tanner & Raymond (2015), segmentation represents categorization of the
target market on the basis of geography, demographic factors, social status, behavioral and
psychological characteristics. Targeting represents designing specific marketing mix for the
segments that a company wants to sell its products. Tesla offers fuel efficient and sustainable
electronic vehicles (EV) and the company aims to contribute in the protection of environment by
not affecting the depleting resources of fossil fuel. Thus, producing electric vehicles is a step
taken by Tesla to promote sustainability. Tesla segments its market on the basis of the following
factors.
Geographic Rural and urban customers of the USA, Asia, Europe, Australia, Canada,
and New Zealand (Eisler, 2016)
Demographic Salaried individuals with higher annual income, male and female aged