Name: Nimra Shahid STUDENT ID: 15819 COURSE:Fundamemtals of Marketing

NAME : NIMRA SHAHID
STUDENT ID : 15819
COURSE :Fundamemtals Of Marketing
QUESTION 1
How does BMW segment its consumers? Why does this work for BMW?
1. Based on the case, BMW firstly segment its consumer in a multiple segment specialization by
targeting the specific market segments. This is because BMW do the segmentations and
targeting its consumer based on the Demographic segmentation (age and income),
Psychographic segmentation (social class, lifestyle) and Behavioral segmentation (loyalty
status).
2. This kind of segmentation works for BMW as the company knows what its consumers
preferences by doing a research. The researched showed the change of customers’ attitude as
they care more on desired to have varieties of design, price, size and also the style of choices.
BMW aims for groups of people which are higher up in social class. This is because BMW
promotes its cars as luxury with an exceptional performance as well as exclusiveness. In
addition, the company managed to perfectly analyze its consumer behavior by identifying the
factor that could influence consumer behavior which is cultural factor (social classes) and also
personal factors (age, occupations and lifestyle). Thus, by doing innovations in its cars based
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on each group of segments preferences enable BMW to appeal more to the consumers than its
competitors and this segmentation works well for BMW.
QUESTION 2
What does BMW do well to market to each segment group? Where could it
improve its marketing strategy?
1. BMW are doing well to market to each its segment groups because BMW knows who it’s
specifically target market. Then, the company were doing some research in order to knows its
consumer preferences for each segment group and this resulted in introducing of unique-
premium priced car such as SUVs, roadsters, convertibles and also less compact cars like the 1
Series. BMW also redesigned 3, 5, and 7 Series cars by making them unique in appearance but
still maintaining their exceptional performance. Thus, this innovations and redesigned cars
were appealed more to these consumers as it fulfil1 the consumer’s needs.
BMW also are using a wide range of advertising tactics to reach each of target markets. This
includes amazing television commercials, print advertisement, online advertisement and also
mobile marketing. BMW also featured its cars in some blockbusters series movies such as
James Bond and The Mission Impossible. These will promote BMW cars as the viewers were
able to see its design and also its exceptional performance showed in those movies. In addition,
BMW were using different slogan when they are promoting different campaign of different
model of cars. Nowadays, BMW had a full range of cars such as 1 Series, 3 Series, 5 Series, 6
Series, 7 Series, X Series, Z4 Roadster, M Series, Hybrids and also BMWi.
The examples of BMW cars featured in movies can be seen in pictures below:
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2. As we knew BMW was an established Brand in worldwide. The company had an amazing
marketing strategy which is one of the factors of its successfulness which results in consumer
loyalty. For example, the BMW owners also had hosts an annual Bimmerfest each year in
order to celebrate their car and this shows their loyalty to the brand, BMW.
Hence, in my opinion, if the company wants to improve its marketing strategy, they need to do
more innovations in their cars in order to appeal more and can beat its competitors such as
Mercedes and Audi. This is because of the great competitions in luxury cars market which
every company tries to do some more and new innovations in their cars with newest high
technology system and with amazing car performance to capture the consumers. BMW also
can offer more designed car in lower-priced car for “modern mainstream” group market instead
of just 1 Series cars. So, this group of consumers will have more choices to choose and this
also can attract new consumers who never use BMW cars.
QUESTION 3
Should BMW ever change its tagline, “The Ultimate Driving Machine”? Why or
why not?
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In my opinion, BMW should not change its tagline of “The Ultimate Driving Machine”. This
is because this tagline perfectly defined BMW cars as the cars were exceptional in performance
and also its design. BMW designed its cars with better engines for amazing performance and
also offer luxury looks as BMW appeal to its consumers as exclusive cars with those features.
Thus, BMW provides its consumers with both amazing design and car performance. In
addition, by using the same tagline, the BMW sales had grown to more than 300000 units in
the United States (U.S) in year 2013. In the recent years, BMW representative stated that “We
only make one thing, the ultimate driving machines.” This showed that BMW returned to
emphasizing more performance over status of the Brand because BMW continues to do
research, innovate and also reach out to specific segment groups for years after years. Hence,
based on those explanations, I think that BMW should keep using the same tagline.
In Addition, nowadays, BMW using different tagline based on countries and this could be find
out when user visited BMW official website for certain countries. For example, for United
States (US) and United Kingdom (UK) were still using “The Ultimate Driving Machine”
tagline while other countries websites like International and Malaysia website, the tagline had
change to “Sheer Driving Pleasure”, tagline. The BMW Germany website also was using new
tagline which is “Freude Am Fahren” which means driving pleasure. In my opinion, the reason
for this differentiation in using the taglines was probably because of the different in language
of each country. Eventhough most people could speak English but because of the different in
consumer background (native language including slangs), it does not meant that everyone have
the same understanding of the meaning of taglines used. Thus, BMW use different tagline to be
able to reach its target consumer segment market in those countries because taglines used could
reflect the cars image and that could attract consumer to use BMW cars. In other words,
taglines message could be understood.
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How does BMW segment its consumers and why does this work for BMW?

What does BMW do well to market to each segment group and where could it improve its marketing strategy?

NAME : NIMRA SHAHID

COURSE :Fundamemtals Of Marketing

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