BMW Group, headquartered in Munich, Germany, is one of the most successful multi brand premium automobile manufacturers in the world.
The company manufactures, distributes and sells passenger cars (including Sedans, Coupes, and Convertibles) and Motorcycles. BMW operates three business segments that include Automobiles, Motorcycles and Financial Services. BMW is the parent company of the Mini and Rolls-Royce car brands1. The company’s slogans in the U.
S are “The Ultimate Driving Machine” and “Sheer Driving Pleasure”. Marketing Mix: Innovative engineering and technology are at the core of what makes a BMW the amazing automobile it is today. Every detail of a BMW is designed with a single goal in mind: to enhance the joy of driving. BMW engineers have high priorities of providing more exhilaration, more comfort, and enhancing driving safety. The target market of BMW is typically the upper middle class with the average income of about 150,000 dollars a year. Two thirds BMW owners were male, married, and did not have children.
In most recent times, the target market has had a focus on the middle aged but continues to have a wide range of target market from ages 25 – 55 years old. 3 The External Environment The industry environment shows low threat of new entrants within the competitive market that will not have any impact on the market that BMW is currently apart of. There is a low bargaining power of suppliers, and a high bargaining power of buyers. There is a moderate threat of substitute products. Within the market that the luxury cars are apart of, there is always an expected intense rivalry among apposing automobile companies.Between Mercedes, Audi, and Lexus, the competitors are constantly competing to find ways to supersede their opponents.
The BMW Group has been understanding about the current economic stance of the United States and other countries as well. They have taken steps to help by opening branches and expanding to create jobs. Because BMW is so well established within countries all over the world, it may be a self promoting company because of the well known prestigious and luxurious cars that are produced today.It promotes by advertising on TV in magazines, by sponsoring things such as speedway races, golf tournaments, the Olympic Games, and charity fundraisers. 4 Technological advancements are a key aspect to future production and innovation changes made by engineers. The cars are state of the art technology everything from engines, to the heated seats.
Aside from the performance and luxury mainstay features expected from BMW, a bevy of new technological enhancements have been added to 2011 year models.Perhaps the most exciting and innovative of these new features is TeleService, a utility designed to wirelessly communicate the need for service to an authorized BMW service center. Fully integrated into the new scaled down V-8 engine of the M-Series, this new technology will allow BMW owners piece of mind when dealing with vehicle maintenance. The TeleService monitoring system will be offered in only a few of the 2011 classes however BMW has announced plans to integrate the system into all of its fleet in the future. Every detail put into the BMW car is precisely tested and made to maintain the promise of each “ultimate driving machine. ” Social pros and cons come with owning a BMW and ultimately have a large influence on their target market.
People who purchase a BMW understand that when they buy the renowned car, it comes with a label and status. People judge the owner of the car and expect a wealthy, upperclass person. It is expected that only the best can own such a top-of-the-line car.