Situation Analysis Bmw M5 Market

Only available on StudyMode
  • Topic: BMW, Marketing, Formula One
  • Pages : 7 (2285 words )
  • Download(s) : 289
  • Published : May 12, 2013
Open Document
Text Preview
Situation Analysis BMW M5 Market
Table of Contents
1.0 introduction...............................................................................................................
2.0 Situation Analysis/Current Marketing Mix
2.1 Current Product
2.2 Current Pricing
2.3 Current Distribution
2.4 Current Promotion
3.0 Brand Positioning Theory
3.1 Define Brand Positioning
4.0 Target Market Identification
4.1 Geographic Segmentation
4.2 Demographic Segmentation
4.3 Psychographic Segmentation
4.4 Behavioural Segmentation
5.0 References List:11

1.0Introduction
BMW Group is one of the largest and most successful multi-brand automobile manufacturers in the world, headquartered in Munich, Germany. Just like many other automobile manufacturers, the company does not only manufactures, but also distributes and sells passenger cars including sedans, SUV, Coupe and Convertibles, etc. This report will give an evaluation for one of the popular model series, BMW M5, by investigating the product’s market.

This report mainly focuses on analyzing three elements of BMW M5’s market, which are current Market mix, brand positioning theory and target market identification. The purpose of this report is to outline M5’s market by providing an analysis of the three aspects.

This report will give a definition to each section in order to well understand each technical term, and then it will analyze the three aspects in depth. Finally, it will get a conclusion and give some suggestions.

2.0 Situation Analysis/Current Marketing Mix
3.1 Current product
Elliott, (2010, 21) states that a product can be anything offered to a market including a good, service, person, etc. However, the product BMW M5 can be obviously defined as luxurious goods. “High-performance, outstanding technology and the sensation of motor sport can be expressed in one single letter: M”. (Bavarian Motor Works, 2013) BMW M5 is a luxurious car which means the company target the middles-income or even high class group of people as their customers. In order to attract these people, M5 has provided fantastic car functions to its customers. One of the functions is Compound disc brakes. “Getting from 0-100 km/h is important, getting from 100 km/h to 0 even more so”. (Bavarian Motor Works, 2013) This statement has clearly shown that M5 provides a more safety car compared with others. And M5 provides more than this. The car has been firstly conceived of “race car”, perfectly combining high performance with suitability for daily use. Thus, it offers a high quality on speeding up 100 km/h from 0 which just needs 4.4 seconds. Besides, as everyday used car, M5 also focuses on conserving energy by providing auto-start-stop function and brake-energy regeneration. Auto-start-stop function is a car system to aim preventing the unnecessarily burning fuel, for there are countless instances when the engine is idling. As everyone knows, that battery will get charged by stepping on the gas and burning fuel, but it won’t charge anymore when taking it off. In order to make car more economic and eco-friendly, Brake-energy regeneration is a function to work this out. It aims to recover the unused but wasted energy and convert it into electricity and then be stored in the battery. Furthermore, it is very profitable to make big four-door sedans handle like sport cars. M5 consequently gets so many competitors. For instance, Audi has the S6, Mercedes-Benz makes the E63 AMG, and Cadillac has the CTS-V. Back to M5, the car was first introduced in 1984, which means it has been existing for 29 years. It is keeping in touch with its customers and continues to develop on improving the car functions to make it more and more human. This is why and how that M5 can get a large share from car market.

3.2 Current pricing
Price is the term to measure the value of a product. It does not only involve the cost of a product, but also consider the...
tracking img