Volkswagen Marketing: Product Mix, Strategies and Market Analysis

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Added on  2023/06/04

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This report provides a comprehensive analysis of Volkswagen's marketing and management strategies, focusing on the product mix of various models like Tiguan, Passat, Polo, Vento, and Ameo. It examines the product lifecycle stages, categorizing products based on their market presence, from the introduction of New Gen Polo to the potential decline of the Beetle. The analysis extends to product levels, evaluating core benefits, basic products, expected features, augmented services like warranty, and potential innovations. The report also covers pricing strategies targeting middle to upper-class consumers, promotional activities across various media, and distribution channels. It references relevant marketing literature to support its findings, offering insights into Volkswagen's approach to maintaining market share and customer satisfaction. Desklib is a platform where students can find similar solved assignments and study resources.
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Marketing and management
Product Mix
VOLKSWAGEN
Product name Volkswagen Tiguan
Product Type SUV car
Features Multi- function steering wheel
Touch screen
Automatic climate change
Alloy wheels
Driver airbag
Air conditioner
Product name Volkswagen Polo
Product Type Hatchback car
Features Multi- function steering wheel
Touch screen
Automatic climate change
Alloy wheels
Driver airbag
Air conditioner
Power steering
Power window front
Fog lights rear and front
VOLKSWAGEN
Product name Volkswagen Passat
Product Type Sedan car
Features Wheel base
Front trend
9 air bag
Electronic differential lock
ABS
LED lightning
Electric sunroof
Powered tail gate
Product name Volkswagen Vento
Product Type Sedan car
Features Front and rear power windows
driver and passenger airbags
central locking
both log lamps
Product name Volkswagen Ameo
Product type Sedan car
Features Anti-lock braking system
Power window rear
Power steering
Passenger airbag
Air conditioner
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Product class
All 4 products are cars.
Product life cycle
(Source: Macschmidth, 1994)
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Marketing and management
The introduction stage is related with the launch of New Gen Polo. In product has the goal to
achieve acceptance in the market. On this stage the company emphasizes on promotion so that
demand of the products can be enhanced in the market. It has been seen that sales volume is
expected to be low and also the distribution channel is limited. By this product the company is
not able to earn profit.
Growth stage is related with launching of the product in the market. Volkswagen Ameo is on the
growth stage. The main objectives are related to expanding the demand of the product in the
market on this stage it has been seen that sales enhances as there are customers who have trust on
the company. Volkswagen focuses on promotion and distribution. This is the stage through
which company can easily earn profits (Edeling and Himme, 2018).
Maturity stage is related with many competitors in the market. Vento is one of the products of
the company that can be considered on this stage. The main aim of the company is to enhance
the overall life of the product by meeting the expectation level of the customers. In this it has
been seen that sales of the product has been enhanced and also the support is from the customers.
The company can easily earn profits by selling this car in the market. Vento is also one of the
popular cars of the company and the demand has been enhanced in the market by the
promotional strategies considered by the company (John, 2016).
Decline stage is related with the final stage. In this the overall profits of the company drop due to
high competition in the market. There can be beetle which can be on the decline stage. This
product is less in demand as the cost of product is high in the market.
Product levels
Core benefit
With the AMEO MODEL the company can easily satisfy the need of the customers and there are
many features in less cost as compared to other cars.
Basic product
The products of Volkswagen offers good services to the clients and also the customer and also
the features of the cars are unique.
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Expected product
By considering the interior of the car the customers are willing to get unique style in design.
Augmented product
In terms of Volkswagen it is important to focus on the warranty and after sale services offered to
the customers.
Potential product
Volkswagen should focus on changing the designs of the cars and should also introduce the cars
in less cost (Jindal, Sarangee, Echambadi & Lee, 2016).
Price
Pricing
The company targets the middle to upper class group and the main objective behind it is to grab
the large market share.
Promotional pricing
The company also takes into consideration the special event pricing and also offer discounts to
the customers so that the demand can be enhanced.
Place
The company has many outlets on the international platform. The outlets of the company are
situated in Germany, India and Australia.
Promotion
It has been seen that company focuses on the newspapers, magazines and television for
promoting the product in the market. Also, on special occasion the company offers special
discounts to the customers.
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References
Edeling, A., & Himme, A. (2018). When Does Market Share Matter? New Empirical
Generalizations from a Meta-Analysis of the Market Share–Performance Relationship.
Journal of Marketing, 82(3), 1-24.
Jindal, R. P., Sarangee, K. R., Echambadi, R., & Lee, S. (2016). Designed to succeed:
Dimensions of product design and their impact on market share. Journal of Marketing,
80(4), 72-89.
John, K. K. (2016). The Volkswagen Lifestyle: Hitler, Hippies, and a Hint of Viral Marketing.
Americana: The Journal of American Popular Culture, 1900 to Present; Hollywood, 15(2),
pp.82.
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Marketing and management
Macschmidth., 1994.Product life cycle. Retrieved from:
https://macschmidtblog.wordpress.com/2014/12/17/product-life-cycle/.
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