Marketing Report: Analysis of Rolls Royce Marketing Strategies

This report provides a comprehensive analysis of the marketing strategies employed by Rolls Royce, a leading multinational engineering corporation specializing in luxury automobiles. It begins with an introduction to marketing and its importance in driving sales and building customer loyalty. The report then delves into the roles and responsibilities of the marketing function within Rolls Royce, including campaign creation, brand image promotion, and market research. It further explores the broader organizational context of marketing, examining its interrelationships with other departments such as HR, R&D, Finance, and Production. A significant portion of the report is dedicated to comparing the marketing mix of Rolls Royce with that of its rival, Audi, analyzing product, price, place, promotion, people, process, and physical evidence. The report concludes with a marketing plan, outlining key strategies for future success. This report highlights the importance of understanding the target market, utilizing premium pricing, and implementing effective promotional activities to maintain a strong brand image and achieve a competitive edge in the luxury automotive industry.

MARKETING

Table of Contents
INTRODUCTION...........................................................................................................................3
P1. Roles of marketing function.............................................................................................3
P2. Roles of marketing in broader organisational context.....................................................4
P3. Distinguishing marketing mix of Rolls Royce with that of rival firm.............................5
P4. Marketing Plan.................................................................................................................9
CONCLUSION..............................................................................................................................14
REFERENCES..............................................................................................................................15
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INTRODUCTION
Marketing is an activity that focuses the money, efforts and initiatives of company
towards the promotion of offerings of an entity among the public so as to persuade them to make
a purchase. Marketing plays a crucial role in accelerating the sales of an entity by creating
awareness about the commodities offered by company within the market place. This helps the
corporation in building a loyal customer base by meeting the commitments made to customers
while marketing the offerings among people. This report has been carried out to gain knowledge
of marketing and associated practices within Rolls Royce. This is a multinational engineering
corporation engaged in the designing, manufacturing and distribution of power systems for
aviation and development of cars. This report comprises of roles and responsibilities of
marketing function as well as its application within the organisation. Further, the marketing mix
of company is distinguished with rival firm. Lastly, a marketing plan has been devised by entity.
P1. Roles of marketing function
Marketing can be referred to as the integration of all those practices and processes that
strive to establish an image of company and its offerings among people within the market place.
It comprises of activities such as research, product promotion, advertisement, customer service,
after sale etc. With respect to Rolls Royce, the roles and responsibilities of marketing function
are stipulated below:-
Creation of marketing campaigns: One of the most valuable roles of marketing function
is to develop marketing campaigns for short or long period of time. With the help of these
campaigns, organisations aim at strengthening its brand image as well as market positioning.
Marketing functions obtains a control over all the campaigns that are run by the company for
various types of products of organisation. In this regard, Rolls Royce has been an organisation
that is largely relying upon this to maintain a favourable image in the minds of customers so as to
retain them for a long duration of time in future.
Promotion of brand image: Yet another important role of marketing function is to
promote the brand image among the customers. With the help of this, organisation communicates
the beliefs, ideologies as well as the features of products to customers. When the attributes
communicated to consumers match the actual quality of commodities, this tends to raise their
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satisfaction level and instil a sense of loyalty and trust among them. Through marketing, Rolls
Royce promotes a positive image of brand in the mindsets of people.
Market research: Customers are treated as the most supreme aspect for a company. An
important role of marketing is to carry out constant market research in order to identify the needs
and preferences of people. With the ascertainment of lifestyle of population, it is easier for Rolls
Royce to come up with products which cater to the expectations of consumers and keep them in-
tacked with the enterprise. This helps the entity in enhancing its sales as well as profitability.
P2. Roles of marketing in broader organisational context
Marketing has a significant role within an organisation. The importance of marketing
within an entity can be easily comprehended by gaining knowledge of the interrelationship of
this department with other functional departments of entity. To facilitate growth and success of a
company, it is essential that coordination and cooperation is set among various departments. In
context of Rolls Royce, it is seen that marketing department operates in collaboration with other
units to attain the organisational goals and objectives in the desired manner within stipulated
course of time. The strategies are devised by marketing department after communicating with the
other units of business. This helps in effective execution of activities and processes within the
organisational premises and raises the productivity and performance of company. In this regard,
the interrelation of marketing with other departments of Rolls Royce is discussed as follows:-
Marketing with HR: The major role of HR department is to select and recruit skilled,
competent and knowledgeable persons who possess the potential to effectively execute the
activities of company. In this regard, the marketing department within Rolls Royce communicate
the skills and tactics that are required to be present within marketing personnel. In response to
this, HR then hires candidates for marketing department so that awareness about offerings of
company can be effective made, thereby enhancing the sales as well as profitability.
Marketing with R&D: The primary role of R&D is to carry out research about the latest
trends and lifestyles of people as well as market place. In this regard, the R&D department
communicate the latest trends and techniques being taken into use by rival firms in order to
create publicity of offerings of entity. The marketing department of Rolls Royce then undertake
similar or better activities in order to build awareness about the company's product portfolio and
to create a loyal customer base within the market place.
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Marketing with Finance: It is the finance department which allots funds to marketing
department so that it can easily undertake all the promotional and advertisement activities.
Marketing performs a number of activities such as organisation of campaigns, product testing,
sales promotion, publicity etc. After procuring the funds from finance, marketing can execute all
such activities in the desirable manner with a view to enhance the existing level of sales as well
as profitability. When marketing takes place effective, Rolls Royce can achieve its goals and
objectives in a timely manner.
Marketing with Production: The production department is involved in the product
development process. Within Rolls Royce, this department is responsible for manufacturing of
vehicles and its parts as well as solar systems for aviation industry. This department
communicates the features, attributes and special attractions about the new product to marketing
department which then undertake strong and effective activities in order to create awareness
among people and persuade them to make a purchase. With this, the sales of the company get
inflated and thus the interrelationship of marketing with production proves to be beneficial for
the entity.
P3. Distinguishing marketing mix of Rolls Royce with that of rival firm
Marketing mix refers to combination of 7 factors which are essential to be taken into
account so that customers can be persuaded to purchase the similar product. The 7 factors which
are included in this are price, product, place, promotion, people, process and physical evidence.
All of these factors also helps organisation in developing their own knowledge about the product
am services offered by this company. With reference to Rolls Royce, it is important for this
company to look after its own marketing mix as well as marketing mix of its competitor
company named as Audi so that appropriate analysis can be conducted in effective manner. The
explanation about marketing mix of both the companies will clearly justifies that how each
element of marketing mix have contributed in the success of organisations. In context of
marketing manager of Rolls Royce, it is essential for them to conduct an effective analysis so
that profitability of company can be raised. Marketing mix of both the companies is described
below in detailed manner.
Marketing Mix Rolls Royce Audi
Product The company offers variety of The main products which are
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products in automobile industry with
unique features that provides of high
level of satisfaction to the customer.
The company is not only dealing in
automobile industry but it also offers
products in defence, power systems,
civil aerospace and nuclear. Some of
the popular that are introduced by this
company in automobile sector are
Rolls Royce Phantom, Rolls Royce
Ghost, Rolls Royce Wraith, Rolls
Royce Dawn, etc. Highly innovative
products of this company directly
attract customers towards the
company as they gets satisfied with
the quality products and services
given by the company.
offered by Audi are Q5, Q7, A4 etc.
the company is offering luxurious
products to its company which is
also considered as one among best
companies which offers sports car
across the world. The main motive
of this company is to deliver
technological advance cars to
customers which not only provides
better experience to customers but it
also provides them safe driving.
Price This factor main speaks about prices
at which company is offering its
products and services to the
customers. In context of Rolls Royce,
the company is using premium
pricing strategy. The main reason
behind choosing this strategy is that
the targeted customer’s zone of
company relies only for rich and high
class people who look for premium
vehicles. These targeted customers
zone only cares about their status,
position and name in the society. So,
company took this as an advantage
Audi is also using premium pricing
strategy as its main target is to grab
attention of high profile people who
cares about their image in society.
This people give huge business to
Audi which leads to enhancement in
its profitability.
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and target this customer zone for
improving its sales performance.
Place Currently Rolls Royce is operating its
business in global market place. The
company was originated from United
Kingdom and has its headquarter at
GoodWood in England.
Approximately, in 50 countries
operational activities are handled by
the top management team of the
company. Mainly the highest sales of
Rolls Royce are being done in Asia
Pacific region, Middle east and
Britain.
Audi is a Germany based company
which is having 11 production
houses in 9 countries. Product of
this country is sold across the world.
The company has also done huge
investments in many countries for
attaining long term goals. As a
result, they can also target customer
from other nation which ultimately
influences their sales in positive
manner.
Promotion Rolls Royce is high value brand
which does not rely upon regular
based marketing tool. The company
mainly uses specific tag lines which
Clearly reflect high value of product
offered by the company and also
influences customers towards the
products. Along with this, another
way through which promotion of the
company is done is mouth to mouth
publicity done the satisfied customers
which directly gives business to Rolls
Royce. The organisation is also using
following personalised marketing
activities for its selective vehicles
whose promotion is done is premium
Even though, Audi is one of
luxurious company in automobile
sector but promotional strategies of
this company still relies on
advertisements through billboards,
TV commercials, magazines etc.
Along with this, the marketing
manager of this company also
focuses on using popular celebrities
who works as they brand
ambassadors and promotes their
product among targeted people in
effective manner.
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hotels, high profile gathering and auto
expos.
People People for Rolls Royce are its
customers and employees. The main
motive of this company is to hire well
skilled employees who could quality
services to its customers which
remain them loyal towards the
company in effective manner.
Furthermore, the company also offers
regular based training and
motivational classes for employees
which could enhance their skills in
effective manner. This regular based
sessions directly improves their
performance and makes these
employees works in effective manner
so that organisational goals and
objectives can be attained in quick
manner.
Here, people for Audi are its
employees and scustomers. The
company owes around 91674
employees across the world who
works with the company so that
gaols could be attained effective. In
order to retain these employees for
longer period of time, top
management team of company
focuses on satisfying needs of
employees as a satisfied and happy
employee could give better services
to the customers of company.
Process For Rolls Royce, manufacturing
process is very transparent as it
clearly conveys roles and
responsibility of each employee with
them so that they can easily execute
their business responsibility in
effective manner. Along with this,
equipments used by this company are
highly advanced which ensures that
Audi is using technological advance
processes which not only improve
quality of the product but it also
provides memorable experience to
customers. Along with this,
technological advanced process also
adds on new innovative feature in
the products of company which
enhances their brand value at
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manufactured product will be off
good quality.
market place.
Physical evidence Rolls Royce is operating its business
operations in more than 50 countries
which reflects that its physical
presence at global scale is good.
Along with this, it is also easier for
customers to avail their favourite
model in convenient manner as they
can purchase it from nearby location.
Physical evidence of Audi can be
seen in its global presence across
the world. The company is having
11 largest production houses in 9
countries which show that its
presence in world is quite vast.
Along with this, it’s also easier for
customers to buy product from
feasible area.
It is essential for Rolls Royce to effectively use all of the above stated components in
order to develop an effectively and useful action plan with which company could attain desired
results. Along with this, it is also important for the company to do mandatory changes so that
chances of success could be enhanced in positive manner. These changes can be done in various
sections such as outlets, promotional methods etc. for improving sales performance of company.
In addition to this, the company could also learn many things from its competitors with which
the respective company could also enhance its performance in effective manner.
P4. Marketing Plan
Marketing plan refers to well defined and structured documentation of all the plans,
procedures and strategies that would be undertaken by organisation to execute the growth and
expansion of entity. This is a part of the overall business plan of a company. A strong and
effective strategy has to be devised in order to successfully formulate the marketing plan. In this
regard, Rolls Royce is a lavish brand dealing in cars and solar systems. This organisation is
intending to come up with a new car under the name of “Rolls Royce Zinger” in order to
facilitate growth as well as expansion of entity. The new car will be a demonstration of class,
style, lavish design and comfort all integrated together into a vehicle made for the satisfaction of
customers. This car will run on a driverless technology which means that it will be an automated
car. This feature has been introduced to gain the attention of a large number of people towards
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this commodity brought by entity within market place. Rolls Royce Zinger will further aim at
enhancing the existing share of enterprise at market.
To feasibly introduce the new car within the market, the marketing manager of Rolls
Royce has planned to develop a marketing plan in accordance with which all the activities prior
to the launch of vehicle will be executed. By structurally executing all the activities in a
sequential manner, Rolls Royce aims at introducing the new car in front of people in an effective
manner. This vehicle is being launched with innovation, uniqueness, class and design to tap the
mindset of people desirably. In this regard, the marketing plan made by Rolls Royce is presented
as follows:-
Situation: This aspect of the marketing plan is associated with ascertainment of business
and market environment so as to feasibly launch the new product into market. This is essential as
the internal as well as external factors have a huge impact upon the operations and functioning of
entity. Launch of a new car is an important event for Rolls Royce for which situational analysis
is essential as this defines the scope as well as feasibility check of this car. In this regard, SWOT
analysis has been adopted by the enterprise so that it can identify the probable opportunities to
build upon and the probable threats to effectively deal with. The SWOT analysis performed by
Rolls Royce in relation to the launch of Rolls Royce Zinger is as follows:-
STRENGTH WEAKNESSES
Rolls-Royce with its various range of
long range electric models developed
dominant market position that will
further benefit in their car segment of
automated Zinger to grab good market
positioning.
 Rolls Royce facilitate vale chain in
their production function that stimulate
cost reduction while quality control in
an integrated way this benefits them to
maintain high rate of innovation in
Zinger.
 Unclear legal implication acts as major
weaknesses that lead towards
restraining company further process
related to new automated self driven
Zinger.
 Rolls Royce require significant amount
of cash in order to effectively
accomplish their process that starts
from manufacturing to final testing in
best effective manner with high long
term liquidity risk.
 It is essential for company to stay ahead
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 Rolls Royce automated vehicle will
gain strong support from their most
effective battery pack which benefits
Zinger to gain
 Company have strong market image
with wide range of market share that
helps them to gain well-built market
positioning.
of their competitors mainly Tesla in the
field of battery as they are traditional
electric car maker with their own
battery production gig.
 As Rolls Royce is a luxury brand thus,
in the process of manufacturing there is
a requirement of high maintenance cost.
THREATS OPPORTUNITIES
 Threat of competition is relatively high
as in this traditional cars makes shifting
their plan as to invest in automated car
sector.
 There is an increase in price of labour
force and raw material that may create
threat for the effective and continuous
production of Zinger.
 Risk of supply chain along with
government policies compatibilities on
import and export control may lead
towards creating threat for company.
 Currency fluctuations are also one of
the most prominent factors that act as
threat for Rolls Royce.
 Interest rates are low in current period
of time which allows Rolls Royce to
take formative opportunity to gather
fund and effectively outline their high
end production of self driven automated
cars.
 In recent upcoming years, price range
of oil and gas expecting to increase at
high rate which further initiate growth
opportunity for Rolls Royce to create
strong market presence.
 In today’s world, population in all over
the world are more concerned towards
environmental issues thus, it help Rolls
Royce to increase their product overall
sales margin.
 Rolls Royce has large international
market potential which further initiates
growth opportunities for Zinger.
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Objectives: This is regarded as one of the most important parts of a marketing plan as this
lays out the desired outcome or the desired state that the entity intends to achieve in future course
of time with the launch of new product in market place. In this regard, for the launch of Rolls
Royce Zinger, the marketing manager of Rolls Royce has stipulated SMART objectives which
will serve as the benchmarks against which the performance of entity will be measured post the
elapse of time laid down in such kind of objectives. Thus, the objectives stated by the respective
organisation in relation to the launch of new car in market place are given as follows:-
“To enhance the share in global market place by 5% by the end of next 1 year with the
use of social media marketing”
“To raise the sales of company by 15% by next 2 years with the help of extensive
marketing techniques”
“To increase the profits of organisation by 7.5% before the end of 1 year by relying upon
the promotional campaigns”
Strategy: This aspect of the marketing plan is associated with the tactics as well as the
course of action that will be undertaken by entity in order to feasibly introduce a new product
within market place. This lays down the routeway with the help of which a company can
significantly raise its revenues as well as profits with the launch of new commodity among
people. In relation to Rolls Royce Zinger, company has made use of STP model to stipulate the
target market and position this car among a large number of people.
STP
This is a model used by marketing managers of an organisation to make decisions
regarding the audience they need to target for the sale of products and services of company. This
is done by segmentation, targeting and positioning. With the help of this model, an organisation
feasibly undertakes steps which can assist a company in feasibly placing the new product amidst
the target audience. This model lays down the potential customers for the new commodity as
well as the ways in which they can be persuaded to buy the commodity. In this relation, the
marketing manager of Rolls Royce has made use of this model as follows:-
Segmentation: This is a procedure through which division of market is done on the basis
of certain aspects in order to identity an audience for the company. In relation to Rolls Royce
Zinger, the entity has carried out segmentation on the basis of demographics by basing it upon
income level of people. Demographic segmentation on the basis of income has been done
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because Rolls Royce Zinger would be a lavish car which cannot be afforded by each and every
individual easily.
Targeting: Here, the identified audience is targeted to enhance the sales of business. In
relation to Rolls Royce Zinger, the entity will target customers belonging to elite section and
upper middle class section of society as these income groups will be able to afford the new car
and feasibly enhance the sales of entity.
Positioning: This aspect will inform how to position new product among customers by
making use of a number of tools and techniques of communication. In relation to Rolls Royce
Zinger, this engineering company has made use of a number of strategies to persuade their
customers by making use of social media, promotion, gift voucher, attractive coupons etc. Social
media pages such as Facebook, Instagram, Twitter are used to attract new and existing customers
to buy their high-tech car.
Action Plan: This consists of the budget for the production as well as launch of new
commodity into market place. In this regard, the budget stipulated for Rolls Royce Zinger is as
follows:-
PARTICULARS 1st Year 2nd Year 3rd Year
Initial investmemt 15000 16000 19000
Borrowings(Bank loans, credits) 13000 10000 14000
Retaining earnings 8000 11000 12000
TOTAL 36000 37000 45000
MARKETING OUTLAY
Promotion activities 12000 12000 17000
Sales publicity 10000 12000 15000
Districbution and supply expenses 6000 12000 14000
TOTAL 28000 36000 35000
Forecast: With the above mentioned strategies and budget, the entity has forecasted to
achieve the stipulated targets in a timely manner. Rolls Royce is heavily investing in marketing
activities and on the basis of that, it states that the objectives given under the marketing plan will
be duly achieved by the entity.
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Controls: After the formulation of marketing budget, it is necessary to control the
activities in accordance with marketing plan. This makes sure that all activities are carried out
correctly and fairly. Rolls Royce has also implemented a control plan to ensure that all the
activities are going on as per the pre-decided planning and the deviation from desired states is
low. This will ensure feasible launch of Rolls Royce Zinger into market place so as to gain the
attention of people and thereby enhance the sales of company.
CONCLUSION
From the above stipulated discussion, it can be stated that marketing essentials is
regarded as an important concept for the better outcomes and results. Marketing through social
media has become trend now-a-days because it attracts the customer on the large and huge basis.
It is also concluded that roles, function and responsibilities of a marketing manager is important
to arrange resources and identify the potential customer for the products. It is important to
compare the marketing mix of two different companies to know and realize what shortcoming
and weakness are there to get rid of it. Finally, it is concluded that marketing and its elements are
required to manage and control the function and activities in an organisation.
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