Principles and Practices of Marketing: BMW Case Study Report Analysis

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This report provides a comprehensive analysis of the marketing principles and practices employed by BMW, a leading luxury automobile manufacturer. It begins with an introduction to marketing and its significance in today's competitive business environment, followed by an examination of BMW's promotional measures, including customer-facing touchpoints such as mobile apps, personalized customer service, and customer-centric lounges. The report then explores external space promotions like billboard advertising and digital marketing strategies, emphasizing the use of social media and the company website. Furthermore, it delves into third-party promotion methods and analyzes the AIDA model (Attention, Interest, Desire, Action) in the context of BMW's marketing efforts. The report also discusses the communication process employed by BMW, providing insights into how the company effectively reaches and engages its target audience. The analysis covers various aspects of BMW's marketing approach, from traditional advertising to modern digital platforms and customer service strategies, offering a holistic view of the company's marketing practices and principles.
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Principles and Practices of
Marketing
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Table of Contents
INTRODUCTION...........................................................................................................................3
PROMOTIONAL MEASURES......................................................................................................3
Customer facing touch points......................................................................................................3
External spaces promotion...........................................................................................................4
Via digital platforms....................................................................................................................5
Through third parties...................................................................................................................5
TASK 2............................................................................................................................................6
AIDA model for BMW................................................................................................................6
Communication Process..............................................................................................................8
CONCLUSION................................................................................................................................9
REFERENCES................................................................................................................................1
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INTRODUCTION
In order to take any product into customers it is important to choose methods and ways such that
the customer will get to know the aspects of what the company is dealing with. In this prospect
every organisation in all the way will opt for marketing (Pizarro Milian and Quirke, 2017).
Marketing is defined to be that strategy that will be adopted by almost all the organisations that a
operating in different fields in order to introduce theirs products to the customers. It is the easiest
method to deal with products as well as to increase customer base. In the era of marketing there
seems to be different competitions that are prevailing in the industries and it is a mere task to
accomplish upon adopting measures such that the practices that are developed by the
organisation will employee means to reach great heights. The entire report deals with the
prospects and principles that are related to the practices of marketing in an organisation. The
organisation that is opted in this regard is BMW. The company is regarded to be a German
multinational corporation operating in the field of automobiles and is known to be one of the
most luxury vehicle manufacturer. The company was established in the year 1969 and till date it
is running as one of the most reputed competitor in the field of automobile. The entire report
deals with the marketing strategies as well as the principles and practices that are adopted by
BMW company (Al-Weshah, 2020).
PROMOTIONAL MEASURES
Customer facing touch points
Every organisation will have to deal with an interaction that is done with the customers. It is
important that the customers will have to be accounted in order to move ahead with the kind of
sales that are to be incorporated by the organisation. Automobile industry is full of challenges
and it is more dependent upon the number of customers that visit and purchase the products that
are designed by the organisation. Every organisation will maintain a subtle basis upon the
customer facing measures and those with regard to the BMW company will deal with different
genius marketing techniques (Lee and et.al, 2018). There are different touch points that are
observed in the company BMW which can be experienced through customer service. They are as
follows:
Mobile app: the mobile is one of the most feasible modes of connecting with people and the
services can be offered with an intimation that can be developed on the personal applications that
are designed by the organisations. In this prospect BMW is moving ahead while accessing the
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mobile app services that can lead the customer know about the services that can be offered by the
company. The app that is designed by BMW in order to make sure that customers fetch an
appointment is the Yelp app. This application will be so helpful for finding different automated
services and when a customer is referring to postpone the schedule of service through this app it
can be intimated (Ots and Nyilasy, 2017).
Personalized customer service: every organisation that is especially in automobile industry it is
a mandatory in order to carry forward for customer service that is required for the organisation in
order to gain the mark of being the best. It is not until when a customer is treated friendly and in
a most respectful manner that the organisation can gain their base. In this prospect the BMW
company is no wireless in maintaining a personalized customer service with the clients that
reached the organisation to purchase. There seems to be a pace that is maintained by the
employees that worked in the BMW company with the customers that approach the organisation
in a more friendly manner such that the customer feels comfortable in dealing with their choices.
Customer centric lounge: it is important to deal with the customers by offering them more
respectful gestures such that they will gain the attention of the client. In this prospect the
company BMW offers a cabin that is furnished with a good interior which is especially allotted
for the clients that visit the organisation. All the paperwork and the contracts that are related to
the product will be done in this launch by treating the customer as one of the officials who is
purchasing the product.
External spaces promotion
For every organisation it is important to focus upon the external aspects of promotion such that
people will get to know the internal aspect in a glance (Berg and et.al, 2017). It is important to
drive customers in order to get to know the complete details of the organisation by depicting the
mandatory ones. In this prospect it is necessary to carry out the Billboard promotion such that
people will understand the points that are available in the company in a brief. It is also defined to
be one of those measures that is followed by a typical industry in order to deal with the
advertising that can happen outside the organisation. The billboards that are employed by the
company BMW will showcase its new products that are usually launched and the criteria of price
is also described upon. BMW company employs areas where there is a huge traffic such that of
glans can be made upon the billboards and people will get to know the details regarding their
company. It is necessary to attract number of clients such that people will visit the organisation
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upon their purchase. The Billboard advertising is major important criteria in order to determine
the advertising prospect of the organisation. Advertising is regarded to be one of those factors
that is usually performed by organisations in order to attract the crowd. In this the Billboard
advertising promotional activity as one of a kind which will help the company to be viewed by
many.
Via digital platforms
Promotion is usually done in many ways. promotion as a part of marketing which is also a
crucial role that is being played by. Promotional activities are said to be a boon for an
organisation in driving customers for clients towards the organisation. It is important to maintain
customer centric relation such that the products can be purchased by them in a better possible
manner. The digital marketing Era is considered to be one of a packing factors for the
organisation in order to move into the customers. social media is one of the platforms that is
almost being used by many clients and customers all around the world. Social media is being
used by different organisations in multiple ways in order to derive their activities through which
one can easily attend the customer attention. social media in today's generation is being used by
almost every individual all around the world. When an organisation is operating in a particular
place it can get into the eye of a customer within minutes span by the usage of social media. The
BMW company being one of the conquerors in the automobile industry is said to be using digital
marketing as one of its greatest assets in order to drive customer base. The BMW website is an
essential factor in driving clients towards the fact that whenever there is a new launch the
company would directly post on its website such that it can gain the attention of customers.
Through the website every information regarding products as well as the services that are offered
by the organisation at displayed such that people will get to know the aspects of service in a
better possible way. The seamless attention that is gathered by the customer base can be installed
upon the touch points that are used and are prescribed earlier. The BMW group mobilizes its
strategies in such a way that people could easily recognise the way it depicts.
Through third parties
Third party promotion is usually done by different sources with regards to the organisation such
that people will get to know the policies of organisation as well as the deals that are being done
by it. Third party promotion is also a crucial factor in determining the organisational growth.
There are different entities that comes under third party articles which will mention the
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formulation of objective that are described as per the rules and regulations of the organisations.
The articles will mention about the product launch as well as the circumstances that are
prevailing in the organisation such that there will promotional aspect that can be attained through
the third-party promotion. third party promotions can gain a lot of attraction from the customers.
People will tend to read articles in a more interesting manner and therefore there is a liability of
gaining more customer base. Knowing the current prospects of the organisation will help the
company in order to reach great heights. This can also penetrate deep into the client perspective
of determining its product. For the company BMW the sales as well as the new launch will be
included in the articles and therefore customer find set attractive in order to go through the set of
particles that are published. It is mandatory to mention the product status such that people will
get to know the important highlights about with the manufacturing unit is concerned.
TASK 2
AIDA model for BMW
AIDA model is a theory which is used for describing the process of purchasing a product by a
customer (Mohd Paudzi, 2020). It is a very old theory which has been use since the 19th century.
This model will discuss the process which the customers of BMW go through while buying its
product. BMW is considered to be one of the most expensive cars available in the market. Thus,
the steps of process which a customer will go through while purchasing a BMW will different
from buying a usual car. The steps of process of purchasing a BMW car are,
Attention: This is the step in which the process of how the customer is attracted towards the
BMW car. Attention is gained by this company with the years of marketing which it has been
doing which is the reason customers crave the car of this brand. For gaining more attention the
company provides the facility of free ride which it advertises over TV, banner and posters. These
promotional activities attract the customers for buying the car. The quality of the BMW car itself
is also a kind of promotion which is very effective on its own. Owning this car is a symbol
richness many counties. Which is another reason why potential customers are attracted towards
the car.
Interest: This step is the part of the process in which the company raises the customers interest
with the help of demonstration of the potential benefits available from the car. The customers at
this part of the process are looking for information. Thus, it becomes fairly easy for the company
to provide the necessary information about the advantages of the car (Mazza and Palermo, 2018).
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This company provides the customers with a magazine which contains all the informations and
benefits related to the car. Despite all the efforts made by the company the customers will
definitely consider sources of other information about the car. That is why companies invest allot
these days on websites, blogs and social media network for promotion and distributing
information. The main objective of this step of process should be to make sure that the
information provided by the company is useful for the customer which is looking to purchase the
products of the company.
Desire: Convincing the customers for making them desire the car for satisfying their needs is the
main of this step of the company. It is important in this step for the company to have talented
sales employees which can do this activity effectively. This is a part of sales promotion in which
the duty of the sales employee is to convince the customers for buying the car by developing the
need within the customers for this car. Hiring of educated sale individual is important for the
company. These skills are developed usually at the retail level which means in the showroom or
a car store. Building desires in the customer the company also needs to provide certain
description of the car over the websites that will help the sale manager make the sale to the
potential buyer of the car. Company also needs to make their focus on the product development
in order to make the car a success in the market. Correct price of the car also influences the
decision of many buyers of the car thus the pricing should be done strategically (Uzunova and
Franko, 2017).
Action: This is the last step of the process of buying car for the customer. In this the duty of the
customer is to take action towards to customers for making a purchase. These step in the process
includes proving various methods of receiving payments for the purchase. As the prices of the
cars are usually high the company attracts the customers by providing the facility of down-
payment so that from a little payment at first the car can be owned by the customer. This process
can also include proving additional benefits like free servicing for a given period. These are just
ways of giving the transaction a voluntary push towards completion. Company can also add
special discounts on some specific day or may provide a customer a special discount in order to
persuade the customer for buying the car. For this procedure also marketing people are very
essential. Thus, it is very important for the company to make sure the employee that is assigned
for the job is extremely professional otherwise the opportunity of sale can be lost.
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Communication Process
The communication process model which is also a theory in the promotional aspect with regards
to any organisation is important in order to stimulate the prospect of promotion in an
organisation. It is an important aspect in order to move forward with an effective communication
process such that the organisation can inculcate torts that are necessary to drive customer base.
This seems to be an essential conveyance for every organisation in order to provide a clear
understanding and an approach to the customer regarding the various needs. Communication
process must inculcate the process of interaction that is to be driven between the customers as
well as the employees (Pharr, 2019). According to the communication theory the employees in
an organisation will have to inculcate the ideologies that are required to incorporate the measures
which are most needed by the organisation to stand firm in the technological aspects to drive
forces to stimulate customer base. The BMW company is one of the most reputed automobile
industry which is known for its best manufacturing products the vehicle that are designed as well
as the customers that approach. It seems to be more into conveying things that are required to
incorporate the forms ideologies into driving customers. The employees of the organisation far
more person would towards the fact that customer will have to be treated in a most loyal way and
it is only the communication that is a wide prospect in gaining them. In order to gain more
customer base the communication aspects are to be incorporated in the employees and therefore
the company aims at maintaining a pure strategical manner in order to train its employees upon
the approach towards customers. This helped the company in gaining more customer base
because there is a special treatment that is offered to its customers. All the measures that are
incorporated by the organisation stand so dedicated such that the communication prospects well
stand as unique entity for the organisation. It is a much needed aspect in order to move ahead
with the environmental challenges that fall upon the organisation. The societal needs and the
basic prospects are made by the organisation and therefore it has stood firm in the recipient
mind. There is a different set of noise that has arrived from the communication process model
and those include physiological noise, physical noise, psychological noise and semantic noise.
These are the considerable aspects with regard to the communication process at the BMW
company has its own state to determine the strategies that are required to be incorporated in the
employ such that the gain the attention of its customers.
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CONCLUSION
The entire report concludes upon highlighting the aspects of promotional practices in the
marketing part of the organisation. The report stresses upon the factors that are included in
promotion like that of customer facing touch points which is a mandatory aspect that is explained
by the report which also includes the mobile app personalized customer service customer centric
lounges that are practiced by the organisation BMW. There is a definite set of practice that is
explained in the report with regards to external spaces which is one of the most typical and
crucial factor that is identified in the organisation BMW. The digital platform promotion is also
explain with regards to BMW and the way it draws the attention of customers is also put forth.
The third parties and their role in promotional aspect is also penned in the report. The
communication process theory is explained in such a way bringing forth the importance of this
theory in the organisational prospective.
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REFERENCES
Books and journals
Pizarro Milian and Quirke, 2017. Alternative pathways to legitimacy: promotional practices in
the Ontario for-profit college sector. Journal of Marketing for Higher Education. 27(1).
pp.77-98.
Al-Weshah, 2020. E-marketing practices from Jordanian tourism agencies perspectives: a
qualitative evidence. In Destination Management and Marketing: Breakthroughs in
Research and Practice (pp. 1170-1187). IGI Global.
Lee and et.al, 2018. A new form of nicotine retailers: a systematic review of the sales and
marketing practices of vape shops. Tobacco control. 27(e1). pp.e70-e75.
Ots and Nyilasy, 2017. Just doing it: theorising integrated marketing communications (IMC)
practices. European Journal of Marketing.
Berg and et.al, 2017. The development and pilot testing of the marijuana retail surveillance tool
(MRST): assessing marketing and point-of-sale practices among recreational marijuana
retailers. Health education research. 32(6). pp.465-472.
Pharr, 2019. Best practices in digital content marketing for building university brands.
Mazza, B. and Palermo, A., 2018. Social media content for business and user engagement on
Facebook. ESSACHESS-Journal for Communication Studies. 11(1). pp.49-73.
Mohd Paudzi, N.P.A., 2020. A real-time traffic sign recognition system for autonomous vehicle
using Yolo (Doctoral dissertation, Universiti Teknologi MARA, Cawangan Melaka).
Uzunova, A. and Franko, J., 2017. Social media marketing communication plan for Hauskafe
Oy.
Online
Marketing Practices in an organisation: [Online]. Available through: < https://medium.com/the-
mission/5-marketing-practices-for-your-service-based-business-c3f9a024f34d#:~:text=
%205%20Marketing%20Practices%20for%20Your%20Service-Based%20Business,planning.
%20Planning%20brings%20organization%20to%20any...%20More%20>
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