Marketing Management Report: Volkswagen's Strategies and Analysis

This report provides a comprehensive analysis of Volkswagen's marketing strategies. It begins with a company background, highlighting Volkswagen's global presence and its position as a leading automobile manufacturer. The report then delves into Volkswagen's product offerings, covering various models under different brands. A key aspect of the report is the examination of Volkswagen's market positioning, emphasizing its focus on sustainable and ethical business practices. Furthermore, the report explores Volkswagen's pricing strategies, differentiating them based on various brands and market segments. The marketing mix, including product, price, place, and promotion, is thoroughly discussed, providing insights into how Volkswagen approaches these elements. Finally, the report examines the promotional strategies adopted by Volkswagen, highlighting the company's focus on brand awareness and localized communication. The report also acknowledges the competitive landscape, mentioning key competitors such as Toyota, Ford, and Honda.

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Table of Contents
Company background of Volkswagen.............................................................................................2
Products of Volkswagen..................................................................................................................2
Market Positioning...........................................................................................................................2
Pricing strategy................................................................................................................................2
Marketing mix of Volkswagen........................................................................................................3
Promotional strategies adopted by Volkswagen..............................................................................4
Reference List..................................................................................................................................5

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Company background of Volkswagen
Volkswagen is a German-based company. This company is the largest automobile
manufacturer in and across the world (Volkswagen International, 2017). The Parent Company is
Volkswagen AG. Under Volkswagen Group, there are major 9 brands and these are: Audi,
Bugatti, Bently, Scania, Skoda, Lamborghini, Volkswagen commercial vehicles as well as Seat
and passenger cars. Volkswagen Group operates in more than 60 production plants in and across
the world.
Products of Volkswagen
Products of Volkswagen ranges widely from low consumption small cars to luxury class
vehicles.
Market Positioning
Volkswagen is the largest manufacturer in Europe where the company has market share
of 20%. Volkswagen occupies the third position in automobile industry on global basis. The
company aims at operating their business by using sustainable and ethical means (Kotler et al.,
2016).
Pricing strategy
Pricing differs largely upon different brands of Volkswagen. Some of the pricing
strategies are mentioned below:
Phaeton- High quality, high price and premium value

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Touareg- Medium price, high quality, high value
Passat- Low price, high quality, penetration
Yeti- Medium quality, high price, over charging
Jetta- Medium quality, medium price, medium value
Vento- low price, medium quality, good value
Beetle- high price, low quality, rip off
Fabia- medium price, low quality, false economy
Polo- low quality, low price and economy
Marketing mix of Volkswagen
Products of Volkswagen- There are different products of Volkswagen and these are as follows:
Skoda
Bugatti
Volkswagen
Lamborghini
Commercial vehicles
Seat
Audi
Price of Volkswagen- The Company set prices in accordance to its competitors. There is
discrimination present in prices in and across regions. There is no price competition present in
emerging markets. The company follows strict cost controlling measures.

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Place of Volkswagen- There is international standardization of dealers involved and they are
separated by distributed channels for single brand.
Promotion of Volkswagen- The Company believe in localized communication as well as brand
advertising.
Promotional strategies adopted by Volkswagen
The company has some core brands value in and across the globe that are mainly
innovative, valuable as well as responsible and that is clearly visible in their promotional
activities. During the initial stage, Volkswagen started with low brand awareness (Hollensen,
2015).
Competitors- Volkswagen faces stiff competition from companies such as Toyota, Ford and
Honda.

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Reference List
Hollensen, S. (2015). Marketing management: A relationship approach. Pearson Education.
Kotler, P., Keller, K. L., Brady, M., Goodman, M., & Hansen, T. (2016). Marketing
management. Pearson Education Ltd..
Volkswagen International. (2017). Volkswagen.com. Retrieved 14 October 2017, from
http://www.Volkswagen.com