LCBB4004 Marketing Fundamentals: BMW STP and Marketing Mix Analysis

This report provides a comprehensive analysis of BMW's marketing strategy, focusing on segmentation, targeting, and positioning (STP), and the marketing mix. It begins with an introduction to marketing fundamentals and BMW as a luxury automotive brand. The report then delves into STP analysis, explaining geographical, demographic, behavioral, and psychographic segmentation. It details how BMW targets premium consumers and positions itself as a luxury lifestyle brand. Furthermore, the report examines the marketing mix, including product, place, price, promotion, physical evidence, people, and process, in relation to BMW's operations. The analysis highlights how BMW leverages these elements to maintain its brand image and market position, utilizing digital marketing, premium pricing, and customer service to enhance brand awareness and customer loyalty. The assignment is available on Desklib, a platform offering a wealth of study resources including past papers and solved assignments.

Marketing
Fundamentals

INTRODUCTION
Marketing is the term which is used by the organisation in order to promote the business in
target market place with the aim making profit and long term sustainability. They all are the
seprate department in the company which makes a strategy that is effective in making the
business more efficient and more competitive in the market. The managers of the organisation
makes a desire to have a profitable business in market with expansion of their branches over
the other places (Kotler, 2018.). It includes a various techniques in making the strategy more
effective. In this report considering the brand BMW the luxirous brand which deals in
automobiles, it serves services in all over the world. The full name of the company is Bayerische
Motoren wekre , it was founded in 1916, its headquarter is in germany. The following report will
cover segmentation and marketing mix in relation of considered company.
MAIN BODY
The business is consist of various department that are operate on the basis of skills and their
expertise. Marketing area plays a vital role in business firm as they make a proper planning by
using a various techniques including digital marketing, social marketing and many other activity
that makes the business more effective. Segmentation targeting and positioning is a core concept
in current era, its marketing campaingn would be generic, have little to no personalization, and
in total would not be able to transform at a stage most venture would redeem most effected.
In below the STP analysis is explained in brief.
Segmentation-
This is type of marketing that divides the customers segment or market on the basis various
categories like age, sex, location, income. These makes the marketing strategy more easy in
order to categorise the business. It is first step of the Stp analysis its main aim is to create
different sections are on particular character and activity that business choose. It consist a
various other sections that are listed below.
1. Geographical Segmentation - this type of segmentation covers a various country,
region, state, and location. These all the activities of business it decided on the basis of
regions and location and their trends.

2. Demographic Segmentation - Its seperates the consumers on the basis of age, gender,
education, level, occupation, and level etc. These all are divided by classifying them on
the criteria of age and varied factors. All the activities are adapted by the company to
divide their target market and consumers.
3. Behaviour segmentation – This seperates the market place and users by classifying them
in audience, their buying behaviour, trends and many more. All the discussed points are
on the basis of what they buy and how they buy .
4. Psychographic Segmentation – This is the last section of the segmentation that considers
a lifestyle, hobbies, actions, opinions and many more. The consumers are divided on
the basis of these points.
The consider company BMW adapts a segments which divides the consumer on the basis
of age, sex, trends, lifestyles and class and many more. The company units services only
comprises only luxurious transport automations at a premium level and the business
does not have budget vechiels in its portfolio to targets individuals and households
with a minimum budget.
Targeting –
This section of the marketing targets the consumers by the business on the basis of
area that gives more profit, the customers that create the more interest on the company
products and many others. The targeting is done by analyzing the size and potential
customers on the basis of each consumer basis. These all are done by including the
research and development activity. The first step includes all the size of the segment
which will tell the business whether it will give business or not. In second stage is to
look at whether there are importance marketers that sets the segments aparts. Its
helps in analyzing the opportunity for the company in a financial prospective the profits
that you can expect should exceeds in gaining marketing budget that would be
needed to implements it. Finally, the business should see the market segment is
accessible to the company. And if the management will be capable to get the
marketing message in front of them. In the end, the targeting process is all about
determining the best chances for utilising the user the segmentation stage. Then
management can optimize the consumers journey and create more relevant and
engaging marketing campaigns. In order to BMW the company targets a premium

consumers they targets a premium consumers as they reprents themselves a luxurious
brands in the markets. Company act as well recognised brand in market it severs the
services in worldwide. They constantly updates a their technology their business and
models to attract the consumers.
Positioning –
In last the STP analysis last model is positioning it explain the condition of the
business in order to make the business all the in top rating. It considers the opportunity
that will assist the company with having the unmet goals or wants in the targeted
markets that goods can complete. While the company have collected data what
segments of the targeted consumers wants. Business can utilise those sights to position
the goods and development a unique selling products, presenting the real content at
the real time. Utilising consumers segments theory business can completely revamp
the goods positioning and center the business campaign around the most pressing
issues that targeted customers is facing. With a segmented and particularly targeted
consumers, goods and services have much strong impact, assisting the business content
stand out in a croweded market palce. In relation to BMW the company considers
themselves as a luxurious products and targets a premium customers it creates a
business as lifestyle of .people basically high class and rich people buy the products of
this brand to show their class in the market.
Explain the Marketing mix in relation to the company .
The marketing mix is a concept that is said to have been improved by academic Neil H.
Borden that the marketing mix was later refined tactics that works best with its implemented
constantly or semi regulatory as a structure for planning, execution, evaluating and redefining
business marketing activities. This is the strategy making process for making the process or
operations more effective in order to make the business more effective. The more detail proceed
in below in detail.
Product –
It refers to the anything that being sold by the business in return of amount. These offers are
the served by the companies that by having a goodwill by understanding a consumers needs
and requirements of the user in order to satisfy their needs. No matters how the position of the
business is the product of business is always going to be at the market. It includes a varied

sources packaging, quality and features. Most of time consumers buys the goods as per their
needs and requirements and they follow the brand which satisfy their wants and requirements by
providing a good quality and reasonable cost. In order to BMW automoblies the company
provides the goods on the basis of cutomers reqauirements by adapting a modern technology of
the business.
Place-
This determines the location where the company provides their services and plan to expand
there business in targeted market although business sales their goods in the crowded market
place. In this concept the amount of components are required that are tardet audiences that plays
a part when it comes to business supply chain (Simanungkalit, 2018). Testing is always a good
thought would an ecommerce site work better than a physical pop up outlet hence the
mixture of both would be appropriate for the business. In order to make a profit the manger
required to make a clear junderstanding of the target consumers (Penghui, 2019) if organisation
and make a profit. In extent of continous make a revenue the company need to reside and
distribute in the place that are both proper for the brand and accessible for the business. In
relation of BMW company the company is well recognised brand in the market, the company
places the business in the market where high class people reaches in the easy way it places their
outlets where people can reach easily.
Price –
This type of marketing model has been set by the business on the basis of calculation by
considering the cost that has been evaluanted the value that consist a cost of raw material and
carriage charges that is occurd while producing the goods it includes the margnins. The business
sets the value for both the factors like customers and wholesalers or retailers. These all are the
important for business they have to set the cost on the basis of every angle like they have to
determine the customer income and many more. In order to BMW automobiles they sets the
prices at premium level at it is top brancd it is a luxsirious brand. They serve the services to
premium consumers. They follow a premium pricing policy this includes setting high prices on
the items. This planning needs ensuring that the product or goods itself is of high quality or
keeps a luxury tag.
Promotion –

It means growing awareness in the market by various techniques like advertising, newspaper ,
social media and many more. Promotional strategy operates on multiple stage, they grow
brand awareness, increase sales and generates income. Basic promotional method for
marketing comes under two categories that are traditional and digital. Traditional refers to
print media, broadcasting, direct mail, and many others, and digital promotion includes email
marketing, social media marketing etc. In order to BMW automobiles the company promotes
their cservices through utilising their websites and digital marketing method they provides details
of their product through the social sites instagram, facebook and many more. The company
usually provides the details and services by using their sites and emails.
Physical evidence –
This element of marketing mix focuses on incorporating physics evidence in order to
establish the existence of the brand along with the evidence of purchase. It consists of aspects
such as organisational logo, labels along with packaging of products. The established stores of
the organisation also serve as physical evidence. In context to BMW automoblies, the
organisation focuses upon providing physical evidence to its customers by offering secured and
safety products with in their cars when purchases are made and contain the tags of the
organisation. moreover to this, the organisation offers receipts after purchase that consist of
organisation logo as well as name in order to enhance their marking. This enable the company to
expand its marking reach relative to customers and achieve indirect marketing which allows in
enhancing brand awareness of the business.
People –
The factors of customer service plays a prime role in not only transforming sales but it
also provides assistance to customers relative to referrals. The organisation can effectively
acquire these referrals through people who are loyal towards their brand. I context to BM W
automobiles, the company has an effectual as well as institution recruting and hiring procedure.
This permit the firm to select abled along with skilled workers who will provide help to the
company in having company goals. The business has over 110,000 highly skilled workforce who
present the brand image of their organisation in a positive manner in order to market its action
optimally (KIRANA, 2019).
Process –

This factors of marking mix focuses on the total activity of serving companies goods and
offers to users in a institutional ways in order to maximize its effectiveness along with trust
worthy. The procedures must considers facts that are allots with the company such as being
surroundings sustainable. I context to BMW automobiles, the institution concentrates on giving
its goods and offers in an proper style through their well organised and effective structure of
serving goods along with showing services that are most likely to be purchased by customers
based on their prirorities and taste. Moreover, to this, the company co on centrates its goods
through sustainable practices in order to growing its brand image In the market which provides
support in delivering brand awareness as well.
Conclusion
From the above it is concluded that the marketing strategy plays a relevant role in
business it makes the business more effective in a effective manner all though it spreads
awareness of the barnd in public or in the market by increasing the productivity of the
company.

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