Land Rover North America, Inc.
1. Why is LRNA launching the Discovery?
2. Why do people buy SUVs? What benefits do SUVs deliver? Does the product make sense on a rational, economic basis? 3. Market Segmentation: Who is the typical SUV consumer and how is this changing? 4. Product Differentiation: What are the differences among competitive SUV offerings? What are the distinctive roles of the different brands within the Land Rover line? 5. What strategic considerations are involved in moving this brand forward? Make recommendations on suggested positioning, and delivering this positioning through the marketing mix.
1. Why is Land Rover North America, Inc. launching the Discovery?
The successful of Japanese 4x4 proved the market potential for Discovery.
Discovery targeted the segment of young, affluent, childless adults that wanted a vehicle to indentify with their images; another segment is conservative buyers such as family buyers and traditionalists who valued the safety and stylish of Discovery.
The segment was in hot growth in the US.
Fitted the trend of comfort and safe to drive.
Discovery already had proven success in UK.
2. Why do people buy SUVs?
SUV was perceived safety than other vehicle.
People liked its uniqueness, different from ordinary cars.
It symbolized status.
It is comfortable to drive.
According to the Truck Study done by Maritz in 1997, the most important attributes for SUV were quality, safety and performance. The status weighted less important in the study.
3. What is the typical SUV target consumer and what is this changing?
The first segment is young, rich adult with no children. They like the product to state their accomplishments and images. They like to be different from others.
The second segment is conservative buyers, who preferred vehicles that are smart and...
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