Marketing Report: Analyzing Audi's Strategies and Market Comparison

This report provides a comprehensive analysis of Audi's marketing strategies. It begins with an introduction to marketing concepts and definitions, specifically within the context of the Audi company, a luxury car manufacturer. The report explores the nature of marketing, its evolution, and the influence of the external environment on marketing activities. It then delves into the structure and operations of marketing departments, outlining the roles and responsibilities of key personnel. The strategic marketing process, including mission, situation analysis, marketing strategy, marketing mix, implementation, and control, is discussed. The report also examines the role of marketing in both B2C and B2B contexts within Audi. A significant portion of the report compares Audi and Tesla's marketing mix, analyzing their product offerings, pricing strategies, distribution methods, and promotional activities. Finally, the report concludes with a basic marketing plan for Audi, outlining strategies to achieve its objectives. The content covers various aspects of marketing principles and their application in the automotive industry.

Marketing Essentials

Table of Contents
INTRODUCTION ..........................................................................................................................3
LO1..................................................................................................................................................3
Definitions and marketing concept .............................................................................................3
LO2..................................................................................................................................................6
Marketing mix comparison between two companies from same industry..................................6
LO3................................................................................................................................................11
basic marketing plan of company.............................................................................................11
CONCLUSION .............................................................................................................................16
REFERENCES..............................................................................................................................19

INTRODUCTION
Marketing is an activity of the company, undertakes in order to promote selling and
buying of the companies products and services in the market. Marketing can include
advertising o product, delivering, selling and presenting product to attract customers.
This report will cover marketing activities run by the Audi, it is a German auto-
mobile car manufacturing company who are selling Luxury vehicles in all around the world.
This company was founded in year 1909, and they are also an member of the Volkswagen
group and has its root till the Bavaria, Germany etc. This company is an goo market
captured within the UK market where they are continuously selling their product and
services and satisfying people through mixture of luxury and sports car. The technology
used by the Audi is advanced and right now they are working to develop E- car to take
competitive advantages.
This report willExplain the role of marketing within the Audi company and it will
also discuss about interrelationship between marketing and other function of a company.
This report will compare Audi and Tesla on the basis of marketing mix 7ps And it will
analyse what strategies they are using their product, please, price and promotion. In the end
of this report will provide marketing plan of the Audi to achieve their set objective.
LO1
Definitions and marketing concept
Marketing
Marketing is defined as process of organization which undertakes to promote buying and
selling of product as well as service. This process will be used by “Audi” for purpose of
advertisement, selling and delivering the products to customer or business (Suoniemi, Meyer-
Waardenand Straub, 2020). Basically, “Audi” can include marketing as discipline all actions
of enterprise to maintain good relationship with existing customers in global marketplace.
Nature of Marketing
The Nature of marketing is the social process by which individuals or group obtain
what existing consumers need and want through creating or exchanging the product, values
with other. Marketing is primarily include human activity, customer oriented, creation of
utilisation, guiding element of enterprise, goal oriented and exchange process (Peñalba-
Aguirrezabalaga, Sáenzand Ritala, 2020). These are considered the specific nature of
marketing, which is mainly used by “Audi” in order to promote their goods and services in

marketplace. In some situation, it help for “Audi” to enhance the overall business production
and sales.
Development of marketing concept that include current and future trends. How external
environment influence and impact on marketing activities.
Marketing and marketers operate in a dynamic environment or culture. As a result,
marketing concepts are constantly evolving, changing so that strategic planner must include
these when formulating an effective plan. The marketing concept is belief that “Audi” should
analyse existing customer’s need and requirement. In this way, it help to make rational
decision where Audi beaut a competitors and satisfy requirements(Whitler, Morganand Rego,
2020). Audi may adopt this idea to enhance their business performance in marketplace.
By using research and development, Audi can easily identify the specific demand,
needs of customers regarding the automobile products. At that time, it will applicable as
marketing approach in current scenario to use social media platform while attracting towards
products. Nowadays, this is the common approach of marketing which influencing current
trends. In future, it is also applicable as marketing to improve external environment of Audi.
In context of marketing current and future trends, Audi will use social media
platform, application and other distributed channel for purpose of marketing. it help for
identify the wants, needs and interest of target markets, deliver the preferred satisfaction
more efficiently. In this way, it will increase the rate of production and more consumer
attracts towards goods or services. “Audi” will concern about the marketing concept that
extended beyond the promotional message. It relates to the short-term arrangement where
processing transaction between two or more parties. Thus, it has been developed the
connection which made after transaction and customer feels appreciated with
services(Whitler, Morganand Rego, 2020). Afterwards, the good relationship brings come
back for more product in future.
Apart from that number of forces over which it has no control that affect on the
Audi’s marketing activities. External environment is impact on the organization to change the
political activity, economic condition, advancement of technology, social and culture
influences (Naujoks, 2020). At that time, Audi needs to shift in the external marketing
environment which often necessitate change in the business marketing plan(Patrutiu-Baltes,
2016). Audi is affected by external factors but different factors have a strong influence on
particular products.
The role of marketing
Structure and operations of marketing departments

Within marketing department, it can be performed the different roles and function that
support of “Audi” and its product as well as service. The overall structure of marketing
department will be different on the basis of need or requirement (Whitler, Morganand Rego,
2020). Typically, marketing manager can handle the business activities while performing
suitable role and function.
 Marketing manager is responsible person that must create, design and develop
marketing plan. In order to identify the objective, strategies for business in long term
growth and development.
 In Audi, Manager is mainly focused on the promotional activities, product research
and monitor the activities to interest of potential client. Afterwards, it will launch a
new product in market through effective promotional strategies.
 Manager will establish the strong public relation for exchanging the message about
company and its products.

Describe the marketing process such as analysis, strategic planning and marketing mix
The strategic marketing process is a deliberative series of steps that help for
identifying organizational goal and objective. Here are different steps to a successful
marketing process.
Mission: Audi is dedicated to make innovative, providing high quality of automotive
products (Whitler, Morganand Rego, 2020).
Situation analysis: Audi is gained more competitive advantage in marketplace by
commitment to customer needs, focusing on the product such as automotive item that are
considered as core to its mission.
Marketing strategy or planning: Basically, Audi is implementing marketing strategy such as
social media, website and other application. In order to maintain loyalty, trust among existing
customers.
Marketing mix: while Audi offer a wide range of automotive item, value premium pricing
and relies on the specific guidelines in term of distribution.
Implementation and control: Each and every product of Audi always attracts more consumer
who want to show interest in luxuries cars.
Identify the role of marketing in both B2C and B2B
In Audi, Role of business to business (B2B) marketing that focus on logical process
driven purchasing decision.
 Build a personal relationship

 Mainly focused on the strong relationship
 Maintain or control open communication
Business to customer (B2C) marketing focus on the emotional drive purchasing decision.
 Establish the transaction relationship with consumers
 Prioritize the message or text
 Simplifying the business processes
Interrelationship of functional units
Discuss about the different role of business and interrelationship between the functional units,
marketing.
Marketing function is defined or explained as role of business in which help for
identifying the potential successful items for marketplace. There are common function in
business organization that involves marketing research plan, promotion, customer service and
other development process (Whitler, Morganand Rego, 2020). In Audi, Marketing
department function is normally carried out by specialised department and also developing an
effective plan for business development
Operational department: The marketing department will establish the closely related
with the production or operational. It ensure that adequate research, development planned to
satisfy current and future need of existing client. In marketing, manager will set up deadline
that may stretch the capabilities of production functions.
Finance department: The marketing is closely related with finance department to
ensure that all budget to meet the specific needs for research, distribution and promotion.
Marketing manager is work with finance department to identify the overall allocated budget
in sales activities.
Human resource department: marketing is relates to the HRM and ensure that skills,
knowledge and other staffing level. It help for creating the sales team to target existing
consumers. This will help for increasing overall business production in marketplace.
LO2
Marketing mix comparison between two companies from same industry
Marketing Mix of companies refers to the set of tactics and actions , that organization
used for promoting their brand in the market to achieve their set objectives and goals. Tesla
and Audi are two competitors from the Auto mobile company and both are having huge

reputation in the market but there are some differences and in their product, prices, place
and marketing promotion etc (Patrutiu-Baltes, 2016). Marketing mix will helps top find the
differences in both the companies through the elements of marketing.
Marketing mix
Elements Audi Tesla
Product Audi has varieties of the vehicle in
their collection of the luxury to
sports as per the demand by
customers. Top selling models of
this company are Audi A1, Q5 and
Q7. Audi A1 remains popular
within the market. They are
continuously improving their
technology to satisfy their
customers. In late 2009, Audi
posted profits of $1.85 billion. In
2012, the company enjoyed a 10%
increase in sales. Company is
looking to take advantages by the
new trending technology E- cars
because it goo d for the environment
and technology ways attract people.
Product design of Audi are deigned
by the professional team hire by
them
On the other other side Tesla motors is
an one of the most popular technology
based brand who are having verities of
products. They are using the latest
technology in their model to satisfy
their customers. It adheres to a B2B
model which encourages the
partnership with the other companies
by supplying products as well as the
services and also the Business to
company model by offering the luxury
and family based mass market
vehiclesTesla, Inc.’s Marketing Mix
(4Ps) Analysis (2018). The major
products of Tesla manufactured by the
international corporation is electric
sedan powered by the battery. Tesla is
also having autopilot vehicle in their list
and their technology work effectively
((Morgan and et.al., 2019).
Price Audi is using premium pricing
strategy because they are well-
established and recognized brand.
The cost of their new m odel Audi
ai in Uk is around 14000 GBP and
people ready to spend this much
money on their product because of
higher quality and luxury look of
In year 2017 Tesla motor created the
review around 11.76 billion Us $ with
the net income at the 2.24 billion and
total asst of this company was around
28 billion. Tesla is also using premium
pricing strategy because of their high
class technology used in the cars and
premium quality and mostly their

the model. Audi is having good
reputation in the Uk market and
this reflected in the companies
production in cars which was
around 123000 in year 2013.
dealership and the showrooms of
Audi offers repayment plans
allowing a wider varieties of the
people access the brandAudi
Marketing Mix (4Ps) Strategy
(2020).
designs are unique and different from
the other companies. This enables them
to sell product on the higher princess.
Tesla. Tesla initially decade to target
wealthy buyers marketing a
consciousness to capture large market
later on with the lower pricing strategy
and taking competitive advantages in
the market.
Place Audi is having huge market capture
in UK where they are selling
millions of vehicles every year.
Currently they are having 28
dealerships across the 11 states in
India and in 2010 Audi UK
reported an increase in their sales
and it was 81 percent more than
previous year sales The home
country of the Audi is Germany
where they company has
experienced growth in the sales
during the 2019 Audi has global
sales distribution network that
teach to each and every place
worldwide Kanten. and Darma,
2017) The supply chain at Audi is
subject to constant change and is
also highly complex because of the
large number of processing steps
and materials involved. We interact
with more than 16,000 suppliers
Tesla successfully created their
presence in all around the world, and
they are currently known for making
higher quality and latest technology
brand. This company has wider
distribution network of its own which
include Asia, South Korea, North
America and many more developed
countries. China is the largest market of
the Tesla for selling Electric vehicle.
According to the agreement done by the
Tesla with the Chinese government ,
manufacturing plant is open in
Shanghai and it is the collaboration
between Tesla and Chinese
government. They are having 8
international outlets in Canada,
including the cities such as ad Ontario
and Montreal. They are looking for
more expansion and create better supply
change management to reach all around
the world.

from 152 countries.
Promotion There are many sports and
sponsorship venture where Audi
take part to promote their brand
some of them are Italian football
teams and having a permanent
features in Sony's PlayStation
home. This company managed to
keep them selves within the public
eyes without doing anything over.
They also give their ads on the
Magazines and Billboards and
mostly on the TV advertisement.
The companies Tag-line is “
VorsprungdurchTechnik” it
means that the progress thorough
the technology. Audi relies on the
quality of its cars, as well as its
reputation as one of the Big Three,
to ensure that sales and production
figures continue to grow. Currently
their communication tool for
promotion is social media marketing
to attract young and rich
personality.
Tesla is an well-known brand and to
create awareness among people they are
using social platforms as a strategy .
Marketing team of Tesla highly via its
website , frumps and blogs and ense
online platforms for the marketing
Purpose. Tesla is also having their own
you tube channel which is also an
marketing communication and create
awareness among the people. On their
You tube they are having more than
400 K subscribers, and they have
uploaded more than 110 videos. Not
only this put they also promote their
car though the other you tubers (Olson
and et.al., 2018).. Casey Neistat who is
American you tuber and Casey is the
only vlogger with the 12 million
subscribers. Recently, Casey is
promoting the Tesla cars in their
videos. It shows that It is also an
promotional strategy of the Tesla.
People People who are working under the
Audi are professional, and they get
proper training before joining Audi.
Audi ha people working
underspend the sales that play wide
role in the marketing of product ad
service's. Each and every persona in
the marketing team member have
Tesla has appointed highly skilled
Engineers and designers who come up
with the new ideas and development in
product and services. Marketing team
if the Tesla appointed different team for
the social media marketing and
different for the resignal marketing.
This shows that their focus is to spread

different roles and responsibilities
and these roles are provided by
marketing manager of Audi. People
who work under the customers
services of the Audi look for the
issues faced by the and provide
proper solution to solve their issues.
Company provide training to
improve their skills and employees
learn to create relationship with
their customers.
awareness among people and attracting
people. Sales and marketing team also
work to identify the needs and demand
of the customer and some them are
appointed to identify the market
technology trends, so they can take
competitive advantages and show their
presence in the market.
Physical
evidence
Audi is one of the famous ard in all
around the world and Asia and Uk
are two big market for this
company. Not only this but they are
also having wall maintained website
. This is the proof of their physical
presence. There are many movies
where these cars are used and
make famous among the people.
Tesla is well known company s all
around the world because of their
cetology used in the cars. They are
making future car concepts like
autopilot and E- cars. They are having
good market in the Germany, Canada
and their home country US. This is an
proof of their physical presence.
Process Audi use Quatto System, it is used
to run four wheels together and it is
an addition features and options as
well. It depends on the driver if they
want to use this features.
Around 98 percent of the TESLA
model S body is made up of
aluminium. The coils are unwound,
flattened and cut in a blanking machine;
additional cutting is also done using
laser cutter.
LO3
basic marketing plan of company
Executive summery
This marketing plan has been cover study of AUDI and it has been concluded
mission, vision, objectives, situational analysis, budget and in the end monitoring of the
whole marketing (Alqahtani and Gupta, 2017).

Mission
To be the best Auto mobile sales and repair operation in every market they serve”
Vision
“ We are only doing our job properly when we create an experience for the customers
for which they choose to return and Do business with us again”
Objectives
 to increase profit by 10% till the end of year 2020
 to increase satisfaction of consumers by 20% through new and innovative product till
the end of 2020
 to increase brand value of company by 15% till the end of of year 2020
Situational analysis
Audi is luxury auto mobile manufacturers in the world.
SWOT Analysis of Audi
Strength-
The Biggest strength is that Audi is a famous luxury brand with strong distribution network
worldwide. Audi uses high capacity engines and adopted precision engineering technique for
the look and design. Highly skilled employees because investment in training and learning
programs increases company's turnover and profit.
Weakness-
Lack of diversification into low cost cars decreases it overall turnover. Audi adopted slow
promotion technique strategy which affected the sales. Company should invest more in new
technology so that can compete with competitors like BMW etc. Company can't able to
handle new entrants in the industry properly so lost small market share.
Opportunities-
Company is having stable cash flow which gives opportunity to invest in new technologies
and new segments. Change in the purchasing power of consumer can help Audi to increase
revenue by diversifying in new product category (Sanclemente-Téllez, 2017). Government
free trade policies has opened opportunity for Audi to enter in new growing market.
Innovation and diversification in low budget cars can open up new big markets for Audi.
Threats-
Audi only have luxury car segment and not having low budget car segment cut down its
revenue.

Market is limited for the company because of many new entrants. Every country have
different laws and policies sometimes resulting huge loss for the company. Not investing in
RnD and not introducing innovative products results in low market share and revenue.
PESTLE Analysis of Audi
Political Factors-
Audi has remained politically stable since many years but tensions between Brexit and
political relations with other countries has affected company's business in UK resulting low
sales and profits from overseas market. Trade barriers and high taxation policy also have
negative impact on the company.
Economic Factors-
Decline in the global market lead to difficulty for the company for fund raising. Due to lack
of funds, marketing becomes difficult for the company. Economic fluctuations and currency
exchange rate fluctuation also affected the profit of the company.
Social Factors-
Changes in social trends and cultural factors can also affect sales of specific product.
Increasing in demand in fuel efficient vehicle also made Audi to invest in fuel efficient
models. In local market success of brand is directly related to social factors.
Technological Factors-
Investment in innovate technology helps to increase profitability and sales of the company.
Digital technology is another aspect which is helping in the growth of the company.
Company should also invest in RnD for future stability and growth.
Legal Factors-
Legal compliance play a vital role in the auto mobile sector because of the directly
association with environmental issues, safety issues etc (Assimakopoulos and et.al., 2017).
Company recently violate emission regulations and has paid big fine for that and however the
scandal affects complete company adversely.
Environmental Factors-
Auto mobile industry have a direct impact on the environment. That is why company is
investing more on innovation and are working to bring electric and fuel efficient vehicle in
the market.
Marketing mix
Product