Comprehensive Marketing Report: Land Rover Electric Vehicle Strategy

This report provides a comprehensive marketing analysis of Land Rover's electric vehicle strategy. It begins with an overview of the company and its product, emphasizing the benefits of electric cars such as cost savings, environmental protection, and safety features. The report then delves into customer needs, employing the STP (segmentation, targeting, and positioning) strategy to identify and reach the target market. Key marketing elements, including product design, pricing strategies (penetration and skimming), distribution channels, and promotional activities (advertising, direct marketing, sales promotion, and public relations) are examined. The report highlights the importance of innovation, market trends, and opportunities like reducing battery prices and leveraging charging infrastructure. The report also analyzes pricing strategies, distribution channels, and promotional activities. The report concludes with recommendations for improving website user-friendliness and implementing personal selling to enhance customer satisfaction and sales. The report underscores the importance of advertising, direct marketing, sales promotion, and public relations in building brand awareness and driving sales.

Marketing

Slide 1
Slide 2

Land Rover is a British Multinational luxury car manufacturing company established in the year
1948, England. Founded by British Leyland, the company was acquired by the Tata Group in the
year 2008. The current study will highlight on various topics including the product design, its
price, customer needs & wants, and other marketing operations required to make the product
successful.

Slide 3
Product: The product is the most crucial factor contributing towards the growth and profitability
of the company. It is imperative for a business to produce a product that provides a minimum
level of performance which further helps in consumer satisfaction.

Slide 4
In order to provide value to the customers, Land Rover has started manufacturing electric cars as
it would provide various benefits like:
• Electric cars are comparatively cheaper because they do not require fuel to run instead it
operates on battery which is beneficial as it provides cost advantages to its customers.
• The electric cars do not release any harmful gas which reduces the air pollution and thus
protects the environment,
• The Electric vehicles manufactured by Land Rover are comparatively safer because they
have lower centre of gravity which makes them more stable and less likely to roll over. Also, the
company has introduced several smart features that make them safer and secure.
• It also protects the health of the people as the reduced carbon emissions reduce the air
pollution which further provides fresh air to breathe. Also, the Electric vehicles produce less
sound which reduces noise problems and related illness.
The Electric vehicles have removed the problem of refuelling the car's tank
simultaneously and has also helped in solving a lot of funds of the public. Moreover, with the

help of Artificial intelligence, the Land Rover cars can also self drive through activation of Auto
Pilot mode. Thus, it has made the lives of a car driver more comfortable and safe.
It is important for Land Rover to introduce electric hybrid vehicles as it creates value for
the customers by giving them cost advantages and also increases the brand image of the business
because the innovative approach by the Land Rover will provide them various benefits in the
long run. Moreover, it has also increased the market share of the company by not only retaining
the old consumers but also by adding new consumers which has increased the market share of
the organization. Therefore, it is a win-win situation for Land Rover as the innovative product
has helped the company in increasing its revenues as well as created value for the consumers as
well.
Customer needs: It is imperative for every organization to identify the customer needs and
wants and then develop a product or service accordingly. The process begins with identifying the
problems faced by consumers, developing an idea, converting the idea into an opportunity and
then finally manufacturing the product or service. Also, it is important to perform market
research in order to identify the target customers. For this purpose Land Rover company can
perform STP (segmentation, targeting and positioning) strategy:

Slide 5

Slide 6
Targeting: Targeting is concerned with identifying the target customers and developing the
product or service accordingly. It is imperative for companies to identify the target customers
that can provide the highest return on investment and thus selecting them as an appropriate
consumer base. The Land Rover company targets its customers on the basis of:
Differentiated targeting strategy will be used by the firm for attaining success in the competitive
arena. On the basis of this, specific marketing mix will be developed referring the customer base
chosen for electric car. Hence, by developing specific marketing mix for each segment business
unit can get desired level of outcome or success.

Slide 7
Positioning: The positioning is the final stage in the STP process and it is concerned with placing
the product towards its target customers. It is concerned with identifying the USP (Unique selling
preposition) of a product and other important traits that help the company in achieving
competitive advantage. Land Rover's competitors include Mercedes, BMW and Tesla.
Key market trends:
The Jaguar Land Rover offers unique products and services to its target customer and provide
solution to various problems related to safety, security and also give cost advantages to its
customers by the manufacturing of electric vehicles. Therefore, it is beneficial for consumers to
purchase Land Rover cars.

Slide 8

Slide 9
With the increasing pollution and changing trends in the auto mobile industry, it has become
imperative for the companies to innovate their products and services by introducing the electric
vehicles in the country. Introduction of electric vehicles has helped in increasing the market
share as well as the sales of the companies. There are various key opportunities for the Land
Rover company like:
•Reducing battery prices: The battery prices have reduced $145 per kWh or lower and are
expected to fall even more mainly because of the increasing innovation and technological
development in the automotive industry. Thus, it is beneficial for the company because it can
help in reducing the overall manufacturing cost. Also, the government's decision to provide
subsidy on electric vehicles will further help in reducing the cost and can turn out to be a great
opportunity to increase sales and maximize the profitability.
•Charging stations: Pre Installed charging infrastructure is also a big opportunity for Land Rover
company as now the company does not have to spend money on building charging stations of
their own. The United States has more than 20,000 charging stations with 68,000 connectors
which are sufficient in respect to the current demand of Range Rover electric.

•Potential markets: The Land Rover can introduce their products in markets that have already
been using electric vehicles as it will help in increasing the sales and profitability because the
customers are already familiar with the electric vehicles and with the help of strong brand name,
it will help in the growth of the company in the long run.
Slide 10
The company also follows the traditional distribution channel where it manufactures the cards
and distributes it them to the dealership stores from where the consumers can buy the goods and
services.
The company sells its products through two marketing channels, one is where the products are
sold directly to the consumers through its website and other is the traditional distribution channel
where the products are first sold to dealership stores and then passed on to ultimate consumers.
The company has minimized its distribution channel to authorized dealership stores as it helps in
enhancing customer satisfaction and also provides them better after sales services.

The Land Rover company has a network of 500 suppliers all around the world that provide them
with the raw materials required for manufacturing process. The close relation with suppliers has
also helped the company to continuously innovate and introduce new products into the market.
Also, it is recommended that the company must improve its online website to make it user-
friendly and easier to use. The company must also open up its flagship stores and implement
personal selling so that it can provide better services to its customers which can further help in
increasing the sales of the business. Personal selling also helps in reducing the distributin cost as
it cuts the margin of retailers and other distributors.
Slide 11

Slide 12
Price: Price is the most important aspect of marketing as it is the only factor that brings revenue
into the organization. It is imperative for a company to determine the right pricing or it could
face heavy losses. There are various pricing strategies used by auto mobile manufactures like:
• Going rate: The going rate pricing approach is used in a highly competitive market where
all the companies are selling similar products and therefore the price of a product is decided by
analyzing the price of competitors. This pricing strategy is used by steel and aluminium
companies as there is not much difference in the quality of products sold by the players in this
industry.
• Penetration pricing: Penetration pricing is a strategy where the product is introduced by
the company at very low rate in order to gain huge share of market and to achieve competitive
advantage. It is a common strategy and is adopted by various companies in the automotive and
smartphone industry. The main objective of pricing strategy is to achieve economies of scale. It
helps in achieving competitive advantage and also increases company's profits in the long run.
• Skimming pricing: The price skimming strategy involves companies selling products at
high rates to its customers and then eventually lowering it over time. With the increasing entry of
new competitors in the market, the company eventually lowers its prices. Land Rover company
follows skimming pricing strategy because it spends a lot of money on research and development
and also it has a brand value attached to it therefore the products are highly priced. Although, it is
recommended that the company must introduce discounts and other offers on electric vehicles
while entering into new market in order to gain the market share and increase its consumer base.

Hence, as per penetration strategy, price of new electric car will be 55.000£ . With the help of the
government for buying the first electric car or giving the petrol/diesel cars for a 30% discount
voucher that will be used just for buying our new car. Discounted price for people that work to
build them and them families. 30% discount if another brand car will be trade in exchange of our
new product.
Slide 13
• Advertising: Advertising is the most important and unique form of promotional technique
as it is concerned with promoting a product through various mediums like television, radio,
newspaper and internet. Advertisements are potential tools for promotion because it helps in
communicating the information and features of product to large number of people which helps in
increasing the sales and profitability of the company. Also, it reduces the cost per person of
advertisement which the company can cover by adding it in the cost of product. The Range
Rover electric is promoted through advertisements where the commercial showcases the
advantages, new features and pricing of the car which further attracts the consumers towards it.

• Direct marketing: Direct marketing is a marketing where an organization directly
communicates with its customers through text messages, E-Mail, websites and through social
media. Land Rover company sends various text messages and E-mails to their target customers
and provide text messages in order to increase customer base and profitability.
• Sales promotion:Sales promotion is concerned with strategies to increase the sales of the
company by providing various offers and facilities to its customers. In order to increase the sales
of Range Rover electric, the company is providing various offers on the car like free insurance
up to 1 year, free service for 6 months, low cost accessories and other exchange offers in order to
promote its innovative products and services.
• Public relation: Public relation is concerned with the practice of communicating the
message between the consumer and the company through participating in various public
activities. These activities also help in improving the image of the company and thus increases its
brand value even further. Land Rover has indulged in various public relation activities like
charities and sports event in order to promote their brand and increase its sales.
Slide 14

Slide 15
Business unit will use both modern and traditional form of advertising for developing awareness
among the customers. On the basis of this, advertising will be placed on online-media/
newspapers ,car books post for inviting people regarding free test drive and consulting and
persuading about guarantee available for 9 years and free service on the cars.
Slide 16

Slide 17

Slide 18
 Price: The Range Rover electric is priced on the higher end because the company has used
their innovative skills to build an electric care thus a lot of funds have been used in research
and development therefore the product is priced on the higher end but the benefits provided by
the Automotive company in the long run will prove it to be worthwhile for its consumers.
Therefore, the product will be accepted in the market at per acceptable levels. As per the
penetration and competitive pricing strategy, price of new electric car will be 65.000£ . With
the help of the government for buying the first electric car or giving the petrol/diesel cars for a
30% discount voucher that will be used just for buying our new car. Discounted price for
people that work to build them and them families. 30% discount if another brand car will be
trade in exchange of our new product.
 Promotion: Although, the Land Rover company does not need any promotion but with the
increasing competition, the company has indulged in promotional activities like
advertisements and personal selling in order to increase the sale of its products and services.
Advertising will be made online-media/ newspapers ,car books post and inviting people for a
free test drive and consulting. Guarantee available for 9 years and free service on the cars.

 People: People refer to the staff and the employees in the company. Providing excellent
services leads to creation of positive image of the company. It is essential for the company to
ensure that all the people within the organisation are satisfied with the operation of the
organisations. People should be satisfied with the car electric which the company is
providing to the people. Car is made keeping in view the essential requirement of the people
satisfying their needs .
Slide 19

Slide 20

Slide 21