...This case is based in the 90’s era when BMW decided to reinvigorate its sales and brand, make the BMW brand global and penetrate into the US market. The key challenges that lie in front of James McDowell, VP Marketing at BMW (NA) to launch a Phase II program for BMW Z3 Roadster are: a. Design a marketing campaign to create a sustained product excitement, continuing what was generated from Z3 Phase I program, until product is available at dealer stores b. Attract consumers based only the demand that can be met with production c. Choosing between Non-Traditional and Traditional media 1. Was the Z3 Phase I launch successful? In order to understand whether Z3 Phase 1 launch was successful, we need to look at different pieces TG, Objective, Creative Strategy, tactics and end-result first and then combine them to view the holistic success. Target Group and its need: NA consumer who is Luxury/Performance driven, has lover of life mindset and propensity to seek unique expression of individuality. Further he/she is looking for ultimate driving machine that provides excitement similar to what can be derived from driving a motorbike. Includes everyone from aspirational GenX to nostalgic baby boomers. For this target group, the communication objective of the Z3 Phase 1 Launch were as follows: a. Get people talking and excited about BMW Z3 in the context of American culture b. Stimulate the dealer network c. Build an order bank to enable the Spartanburg plant to build specification...
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...Launching the BMW Z3 Roadster BMW Z3 Roadster was a new product concept that reflected a niche opportunity. The main objective of the Z3 launch was to reposition their German-made, driving performance, tradition bound, and precision engineering cars as more stylish and fun to drive cars in the American culture. This risky movement of changing the brand personality was done using both nontraditional and traditional marketing tools. Some of the nontraditional methods used were movie placement, Neiman Marcus Catalog offer, BMW internet site with “Build-Your-Own-Roadster” module, Press launch in Central Park and Jay Leno Tonight Show. Traditional methods such as TV and Print advertising were also used, while maintaining the nontraditional spirit in them. Nontraditional marketing methods are capable of creating word of mouth which requires no out-of-pocket expenditure compared to more expensive TV advertisements. They are also more cost efficient per dollar spent, especially in BMW’s psychographic segmentation. Moreover, nontraditional media like movie placement give greater exposure and visibility even reaching the two audiences that are hard-to-reach through network TV or print: foreign viewers and young people. The positive feelings about the movie and movie stars can also be transferred to the brand, ultimately building the overall brand equity. These methods are more credible, unique and impactful as they are generated by the public...
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...Launching the BMW Z3 Roadster January 1996 marked the beginning of Phase II of BMW of North America Inc.’s Z3 roadster introduction. Phase I had centered on the placement of the new $28,750 two-seat convertible in the James Bond hit movie, GoldenEye, which premiered several months earlier. While not yet critically evaluated, results of the “out-of-the-box” pre-launch campaign appeared very positive: word-ofmouth concerning the Z3 and the James Bond cross-promotion were favorable, and product orders far exceeded BMW’s initial expectations. The challenge now was to design a marketing program that would sustain product excitement until dealer product availability beginning in March. Phase II planning had to be undertaken within the context of other important events in the BMW product family: (1) the April launch of the redesigned 5-Series; and (2) the company’s role as “official international automotive sponsor” of the 1996 Atlanta Summer Games, which would begin in earnest with the Olympic Torch Relay 5-Series event in June. While these other elements of the BMW product family clearly impacted the Z3, the marketing approach and ultimate results for the Z3 would influence the whole BMW operation in the United States. Dr. Helmut Panke, Chairman and CEO of BMW (U.S.) Holding Corp. since 1993, noted that the Z3 was destined to be “the first BMW not made by mythical little creatures in the Bavarian woods. This car will be made in Spartanburg, South Carolina. Some people think BMW means German-made...
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...MARKETING MANAGEMENT CASE STUDY : Launching the BMW Z3 Roadster SYNOPSIS BMW, a German automobile manufacturer, known for its German engineering and quality, had established itself as a strong brand in the luxury/performance segment in U.S.A. However due to increasing competition from car makers such as infinity, Lexus, Acura, its sales dropped during the period mid 80’s to late 90’s . The case deals with the launch, of the now infamous BMW Z3 roadster, a car that revolutionized and rejuvenated the boring American motor industry back in the mid 1990's. The case talks about the successful first phase launch of this new drop top beauty. It focuses on the customers and how they suddenly picked up the marketing cues and stories depicted by the various promotional parties that were led by James McDowell, BMW's marketing vice president. This was a marketing campaign that gained a lot of merit and success by using unconventional promotion methods to put their product out into the public. The primary methods tried to stay away from the usual billboards and print media. Rather, the marketing teams decided to take the car into the new world of cinema and multimedia, where sound, sight, video and technology would promote the car during a time of accelerated IT growth. The team at BMW decided that since the Z3 was a new unconventional' car, it also required equal unconventional marketing methods to match its identity. The BMW Z3 was a lifestyle car and what better way to put this...
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...HIC MASS COMMUNICATIONS MAC101 FOUNDATION/ BUSINESS NAME: BHAVEN MORAR ID NUMBER: MOBHC2B LECTURER: BEN WHEELER DATE: 9/08/2012 BMW ADVERTISEMENT ANALYSIS This is a representation of a BMW, an advert that was used when promoting the BMW Z4. This advertisement targeted a specific gender, age group and clearly shows signs of muscularity by a female. All this has been communicated using various aspects of location, context, costume, copy, colour framing, set design, and body language. Body language is key in this particular advertisement. We can see a woman urinating like a man clearly showing signs of muscularity. Her back is faced towards the audience and this shows signs of independency. The connotations associated with this are invulnerability and immunity and it all ties in with a stress free environment of just the car and the woman herself. All of this leads to one super paradigm of freedom, it shows the ability of woman to do what they want and how they want to, and in this particular case it’s the way she urinates. The body language also conveys a syntagmatic relation, we see this when we combine it with the copy ‘’Brings out the boy in you’’ the advert tells a story of lady wanting to become more than what she is. She is defined by her actions and the fact that she portrays signs of muscularity shows that she maybe unhappy with her lifestyle. The hand is another aspect of the body language used to communicate signs of muscularity, the fact...
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...LAUNCHING THE BMW Z3 ROADSTAR 1. BMW Overview 1916 760 53 110,000 (2013 (2013 ) ) BMW , . BMW , Bayerische Motoren Werker BMW, , . 2 1. BMW Overview 3 2. BMW History 1916 1923 1928 1945 3 R32 / ( 2 BMW 5, 3, 7 BMW , (Spartanburg plant) (BMW Dixi , 1929) ) BFW( Bayerische Flugzeug Werke AG) 1972 ~ 1977 1994 1995 1998 2000 , BMW (Rolls-Royce) 4 3. BMW Z3 Roadster BMW Z3 Roadster ( 2 1930 328 507 Z1 1,900cc 4 ) Spartanburg (South Carolina) 007 , Won the "Super Reggie" award for the best promotional marketing campaign of 1995. The BMW Z3 2.8 made Editor's Most Wanted Vehicle for 1999 Edmunds.com AUTOMOBILE Magazine awarded the BMW M coupe its 1999 Design of the Year. The 2002 BMW Z3 M Coupe became Top Gear Car of the Year 5 4. Case Questions 1) What is the strategic significance of the Z3 launch to the BMW corporation? Specifically, how BMW was hoping to redefine the BMW brand image? Yuppie Status Symbol Ultimate Driving Machine Biggest → The Best in Luxury/Performance segment : Spartanburg ‘Made in Germany’ ‘Made in BMW’ 4. Case Questions 1) What is the strategic significance of the Z3 launch to the BMW corporation? Specifically, how BMW was hoping to redefine the BMW brand image? Sheer Driving Pleasure Ultimate Driving Machine JOY Is BMW 7 3. Case Questions 2) Who were the main target consumers for the Z3? How did BMW segment consumers for the Z3 launch? Segmentation & Target ...
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...Launching the BMW Z3 Roadster Introduction BMW Z3 is the 1st BMW car which is being manufactured in North America, a market which has contributed only 16% to BMW s revenues. At the same time, the American customer has found itself very difficult to relate itself to a foreign brand. Here lies the challenge for BMW and the marketing efforts behind the Z3 campaign are aimed at changing this perception of the American customer and ingrain BMS s brand image in the hearts of Americans. Phase1 which was not a run of the mill marketing campaign created a huge buzz and was deemed a huge success. The campaign revolved around the placement of the BMW Z3 in the James Bond Movie, GOLDENEYE as Bonds new car. Several other non-traditional elements such as being part of the Neiman Marcus Christmas Catalog, product appearance on the Jay Leno show, and launch at Central Park ensured an out-of-the-box prelaunch. The challenge now is to leverage the buzz and design Phase II marketing strategies which will convert the interest generated into revenues for BMW. Strategic Significance of the Launch The launch is especially significant for BMW because the success of the entire U.S. operations of BMW crucially hinged on it. Moreover, BMW hopes to position the BMW brand firmly in American culture and settle into the hearts and minds of the American public through the launch. It was also meant to promote the vehicle as a cultural icon in America. Further, the launch demonstrates that BMW is firmly committed...
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...lifecycle. It is found at the ultimate destination of all products, a ‘dog’. The production does have market share, but its desirability is waning and its performance relative to its competitors is not what it once was. The market for the 7 series however, is still performing well. This means that BMW should, and will review the model with a view to re-launch in the near future. The above products are all fairly settled. Many of them have been being manufactured for many years now with several re-designs and re-launches. BMW has however recently begun expanding its portfolio, and the result of this is some new star and problem children. One of these stars is the X5. The X5 is a new market area for BMW. The 4x4 market can be extremely profitable, especially the ‘On road’ 4x4 products. This market is very large and growing, and BMW have made an attempt to get a slice of the cake with the X5. The Z3 and Z8 are very similar products. They are both small sports cars, differing in the Boston Matrix in terms of market share and price. The Z3 is a star, but the Z8 could be described as a problem child. More affordably priced than the Z8, and with a larger share of the growing market, the Z3 is a product beginning to mature and generate a...
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...Please read the case at least three times before attempting the solution. Do not write in Q&A format. Please prepare your assignment as if you are a consultant and giving a proposal to the senior management Assignment Questions: 1. What factors underlie BMW’s desire to shift to a “non-traditional” marketing venue for the Z3 launch? 2. Do you agree with McDowell that the Z3 launch qualifies as a paradigm shift in marketing for BMW? For marketers in general? 3. McDowell claims that he will never go back to traditional marketing after getting a taste of the non-traditional venue. Do you agree? 4. Was the Z3 launch successful? How do you know? 5. Helmut Panke has engaged you as a consultant on design of the Phase II plan. What specific objective(s) would you set? What budget and media plan would you propose? Guidelines: Maximum pages 8 pages (4 for text and 4 for exhibits) Last date and time for submission 0600 hrs. (Monday morning) 5th May, 2014 Maximum group members Two Penalty on Plagiarism F grade in the COURSE Format Word 2003 or later Formatting • Main text format: Font Size: 12, Font Style: Times New Roman, Left Aligned Text, Line Spacing 1.15, Font Color: Black, Page border: 1 inch from each side, Header and Footer 0.5 inches. Page Size: A4, Page orientation: Portrait, No page border. No cover page • Headings should be bold • Header and Footer format: Font size 8, Bold. Header text includes Case Name and Students’ names. Footer includes Page number Best...
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...Recommendations BMW, being a global company decided to open Spartanburg plant in North America. We think it should have had an approach to open few other plants in other top strategic parts of the globe at the same time. If it had done so, it might not have given an opportunity to its competitors in those strategic parts of the globe to open their plants or to develop a similar strategy. Doing so, BMW would have gained the edge over its competitors. The central goal of the launch was to expand the BMW franchise. But we feel that it was not necessary for BMW to stress so much on the American culture and settling into their minds and hearts because that may have hampered its recognition and success in other parts of the world. Rather, it could have addressed the general public all over the world. BMW knew it had 345 dealers and their goal was to expand the franchise. It produced only 150 pre-production cars for use in pre-selling promotions which were circulated among the dealers. This gives the public an internal picture of the BMW’s confidence level in the Z3’s success. It may have wanted to pre-produce more cars than the number of dealers for pre-selling promotions. The BMW/MGM agreement was orally sealed in January 1995 and formally signed in July 1995. This elongated time period of gap may have created opportunities for their counterparts to break or disturb the agreement. Another thing is BMW did not pay anything to MGM to place its product in the movie. This may...
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...“to continue to sell established models in established markets, while at the same time penetrating new markets with new models,” (Crawford & Di Benedetto, 2011). After the Beetle captured attention, it was evident that reviving the Mini would fit BMW’s mission; thus it recreated the Mini. 2. Looking back at the Mini in the 60s, 70s, 80s and 90s, I think that BMW skillfully recreated the Mini with tremendous improvements in the design, particularly the interior. In addition, BMW has attracted many customers to the Mini since it is a retro sport car. 3. BMW witnessed many modern automobiles resembling beloved retro cars. The launch of Z3 was very successful yet different from BMW’s prestigious sedans. After acquisitioning Rover Group Ltd., BMW had the right to recreate the Mini; thus the Mini was recreated to revive an old favorite as well as targeting a different segment. 4. I believe that BMW avoided the perception they were cheapening their brand by supporting their corporate identity in the Mini. Even though Mini looks nothing like other BMW cars, it still has the quality and excellence of BMW cars. The Mini’s controlling and feel reflects BMW’s high standards and thus it supports its identity. 5. I think that some arguments might occur during the Mini’s new product process, especially in the development phase. Considering the fact that the Mini has a British look but being manufactured by a German automobile company, I assume that designers and engineers...
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...helped launch the career of Clive Owen into the mainstream. The Setup Like most car companies, BMW traditionally executes advertising campaigns (i.e., television, print and radio) to support new vehicle launches. However in 2000, there was no new vehicle launch for BMW, so the opportunity to spend advertising budget on pure branding arose (a marketer’s dream). The Key Insight Through extensive consumer research, BMW found their typical customer was 46 years old, with a median income of about $150,000 (USD). Two-thirds were male, married, and had no children. Delving deeper, they discovered this nugget: Roughly 85% of BMW purchasers used the Internet before purchasing the-hire-logo On April 26, 2001, the now defunct bmwfilms.com launches with a series of short films available for viewing. Clive Owen plays the driver, a man who goes from place to place (in sexy BMW’s of course), getting hired by various people to be a sort of transport for their vital needs. The series launches with Ambush directed by John Frankenheimer and featuring the BMW 7 series. Along with Ambush, four other short films were released in 2001, including: - Chosen directed by Ang Lee (Crouching Tiger, Hidden Dragon) featuring the BMW 5 series >>> scroll to the bottom of this article - The Follow directed by Wong Kar-wai with Forest Whitaker, Mickey Rourke, and Adriana Lima and featuring the BMW 3 series and Z3 roadster...
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...Problem Statement: By 1996, KONE’s financial condition in Germany had deteriorated compared to previous years. Forecasts were bleak indicating little to no improvement for the near future. KONE business director, Raimo Hatala anticipated the launch of KONE’s latest offering, MonoSpace to improve the company’s financial position. Conversely, as initial test markets began, fears about the product’s ability to master the German market were raised. Hatala contemplated a successful entry strategy that would position the product appropriately and permit the company to leave a durable impression on the German market. Before the launch of MonoSpace in Germany, it was test marketed in select countries. Merely 40 units were sold in France although 300 were expected, even worse, no units were sold in the United Kingdom. The market became saturated; the construction boom terminated abruptly and demand for elevator gear was projected to fall by 15 percent. Competition for new installations was intense, large companies sold their equipment at or below cost to customers. Service contracts were commonly closed with companies that originally installed the equipment. Six major companies dominated the German market in 1995: Schindler, Otis and Thyssen, with KONE placing fourth. 150 small local companies, as well 30 mid-size players comprised the total market share. This resulted in a fragmented market. The largest construction companies controlled 20 percent of the market, while...
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...Bus 252a Marketing Management Mondays and Wednesdays 2: 11:00 – 12:20pm Fall Semester 2014 International Hall Sachar Building Grace Zimmerman Senior Lecturer Email: gzimmerm@brandeis.edu Office: Lemberg 161 Office Hours: Mondays and Wednesdays 11:00 – 12:20 and 2:00 – 3:00 pm, or by appointment Brandeis University International Business School Course Description Marketing is the sum of the activities undertaken by a company to stimulate sales of its product or services with its customers. The marketing objective is to create, promote and distribute products or services, at a price and quality deemed valuable by the company’s customers, in order to create value and profit for the company. Maintaining a strong and compelling value proposition and long-term relationship with the company’s customers are vital for the company’s continued success and require constant monitoring of market, environmental, technological and competitive forces. Marketing is therefore integral to establishing a company’s strategic direction. This in turn makes marketing skills and perspective essential to the success of all business managers in any business. This course provides an in-depth exploration and practical application of basic marketing tools. These include product policy, pricing, promotion, distribution...
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...Bus 252a Marketing Management Mondays and Wednesdays 2: 11:00 – 12:20pm Fall Semester 2014 International Hall Sachar Building Grace Zimmerman Senior Lecturer Email: gzimmerm@brandeis.edu Office: Lemberg 161 Office Hours: Mondays and Wednesdays 11:00 – 12:20 and 2:00 – 3:00 pm, or by appointment Brandeis University International Business School Course Description Marketing is the sum of the activities undertaken by a company to stimulate sales of its product or services with its customers. The marketing objective is to create, promote and distribute products or services, at a price and quality deemed valuable by the company’s customers, in order to create value and profit for the company. Maintaining a strong and compelling value proposition and long-term relationship with the company’s customers are vital for the company’s continued success and require constant monitoring of market, environmental, technological and competitive forces. Marketing is therefore integral to establishing a company’s strategic direction. This in turn makes marketing skills and perspective essential to the success of all business managers in any business. This course provides an in-depth exploration and practical application of basic marketing tools. These include...
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