2. Marketing Plan: Audi
Company Overview:
Parent Company: Audi (Volkswagen Group)
Category: Super mini, SUV, Sedan, Sports Car
Sector: Automobiles
1. Introduction & Mission Statement
Audi is a premium and performance car manufacturer. Our Strategy 2020 provides even clearer
focus on our target to become the number one premium brand.
With the change in demand from society in the types of cars people wish to drive, we have to
adjust the path we are taking to achieve our vision. We can only achieve this if we focus our full
and uncompromising attention on the customer. That‟s why our mission is:
„We delight customers worldwide‟
To delight customers worldwide we must focus on giving them the very best brand experience,
with innovative and emotional products. This must be delivered with the passion, skill and rapid
response of everyone in our organisation.
Audi's two principal assembly plants:
• Ingolstadt, Opened by Auto Union in 1964, (A3, A4, A5, Q5)
• Neckarsulm, Acquired from NSU in 1969 (A4, A6, A7, A8, R8 & all RS variants)
Outside of Germany, Audi produces vehicles at:
• Aurangabad, India since 2006
• Bratislava, Slovakia, shared with Volkswagen, SEAT, Škoda and Porsche
• Brussels, Belgium, acquired from Volkswagen in 2007 (A1)
3. • Changchun, China since 1995
• Győr, Hungary, (TT and some A3 variants)
• Jakarta, Indonesia since 2011
• Martorell, Spain shared with SEAT and Volkswagen (Q3)
Tagline/ Slogan: Progress through technology
USP: Wide range of luxurious and comfortable cars delivering excellent engine performance
Product Portfolio:
1. Audi A1
2. Audi A3
3. Audi A4
4. Audi A5
5. Audi A6
6. Audi A7
7. Audi A8
8. Audi Q3
9. Audi Q5
10. Audi Q7
11. Audi R8
12. Audi TT
SWOT Analysis
Strength:
1. Available in both petrol and diesel variants with a huge product portfolio
2. Wide range to cars to choose from starting from Hatchback to Luxury SUVs
3. Equipped with superior features like parking sensors, LED illuminated interiors, Air bags,
traction control and much more
4. Elegant styling of both interiors & exteriors
5. Latest technology like Quattro and FSI provide refined and efficient engine performance
4. 6. Well established brand which helps in the brand recall
7. Has approximately 50,000 employees worldwide
8. The brand has actively been involved in motorsport and sponsorship of many sporting and
premium events
Weakness:
1. High maintenance & handling cost
2. Limited presence in emerging markets where some other brands have taken over the market
Opportunities
1. Expanding automobile market and available space
2. Opportunity to leverage brand recall and acquire newer customers
3. Expansion of product portfolio by entering into low cost cars
4. Increasing manufacturing capability to meet increasing demand generated through advertising
Threats
1. Increasing fuel costs
2. Competition from other big automobile giants
3. Product innovations and frugal engineering by competitors
4. Limitations due to government policies in entering foreign markets
Competition
1. BMW
2. Volkswagen
3. Mercedes
4. Porsche
5. STP Analysis:
Segment: Affluent customers seeking luxury, comfort and excellent driving experience
Target Group: Targeted towards professionals and executives as well as rich families
Positioning: Positioned as a company which continuously progresses by using innovative
technology and provides superior luxury and better driving experience
Differentiation:Audi says it intends to pursue a new design strategy that will differentiate
more between model lines, allow a greater integration of technical features and give emphasis to
creating individual styling that pairs the exterior and interior of a vehicle.The automaker's main
goal is to distinguish between the styling of its A, R and Q model lines.Audi points to the
Crosslane Coupe concept car as an example of its new design direction."Something new has to
come along without breaking with tradition," Audi design chief Wolfgang Egger said in a
statement, adding that technology will no longer be buried in a design but made visible.Egger
said an example of this is the mix of technology and novel material combinations used on the
design of the Crosslane, which Audi debuted at the Paris auto show. The concept is seen as a
starting point for a future Q2 small SUV and an example of what future Q family models will
look like.Audi's new design direction also intends to achieve a greater unity between the
individuality of exterior and interior designs in its vehicles, to such an extent that customers will
be able to recognize models from their interiors.
4P’S OF AUDI:
Product: Audi produce only high-tech, modern, high quality cars. Audi has slogan “Truth of
engineering”, what means all goods of this company must be on high level of all area
technologies such as ecology, safety, comfortable and economy. Really, Audi‟s cars comply with
the slogan.
6. Price: Audi‟s cars have average price in the market, but this is the case of balance between price
and quality. For example, Mercedes-Benz‟s cars are much more expensive than Audi‟s cars, but
they have the same quality. The price of Audi‟s cars oriented on middle-class and target audience
are mens, because Audi‟s cars are brutal.
Promotion: The best way for promotion cars is racing, because everybody want to have race car
in everyday life, especially mans feel a lack in adrenaline. And racing is the best way to show
customers that your car better, faster etc.
Also, Audi promote their cars in films, for choice in films, which have many pursuit and racing.
The last type of Audi‟s cars promotion is advertising in men‟s magazines.
Place: Audi has many show-rooms in a different areas of big cities.
BCG Analysis
STARS :
A5
A1
Q5
TT
CASH COWS :
Q7
A1
Q3
QUESTION :
TT
R8
DOGS :
A3
A7
A8
Conclusion:
In conclusion, Audi appears as one of the world leaders of the motorcar. Its commercial and
marketing strategy is based on quality cars and luxury with a sports image. Recently AUDI can
praise itself to be on all the segments. There is no real policy of Audi marketing. Audi works in
study project on each model. There are no common rules with share to create cars of quality.
