2. Business overview
Name: BMW Group: - BMW
- Mini
- Rolls-Royce Motor Cars Limited
Operational Facts: > 140 countries
- over 110,00 employees
Position: International premium automobile market
Customer Value: - High quality product and services
- Unique design
- Recognition of achievement
- High standards of dynamics and technology
3. Vision/Mission/Objectives
Vision:
Mission: until 2020 world’s leading provider of premium products and
premium services for individual mobility.
Objectives:
the development, manufacture and sale of engines and cars
Striving for ecological and social sustainability
taking full responsibility for products
giving an unequivocal commitment to preserving resources
6. Strengths
- Brand reputation
- High quality product
- Skilful workforce
- RD -> Technology & Innovation
- Strong Corporate Social Responsibility
“Green” vehicles
Weaknesses
High production cost
High cost structure
Weak brand and car portfolio
First Pick-Up
Opportunities
- Positive attitude towards “green” car
- Increase the brand portfolio
- Changes in consumer need
Threats
- Strong competition
- Rising of raw materials prices
- The euro exchange rate is growing
SWOT
7. Array of Products
Product Description Starting price Anticipated demand
worldwide
Series P1
Small Pick-Up
(Size comparable to X1)
$36,959.00 5130 units
Series P 3
Medium Pick-Up
(Size comparable to X3)
$46,046.00 2700 units
Series P 5
Big Pick-Up
(Size comparable to X5)
$63,628.00 4400 units
Series P 6
Big Coupe Pick-Up
(Size comparable to X6)
$71,279.00 1200 units
Growth potential: 253% Growth over the 5 coming years
8. The market situation
• Unique selling position
– Representation of status and achivement
– Effective design and features
– Competitive post-sales service
• Loyal customers
9. The market situation
• Competitors:
– Audi (well known brand, status symbol)
– Mercedes-Benz (leader in innovation, safety patents)
– Lexus (reliability and durability)
– Acura (quickly built reputation, impresive
performance)
10. Marketing strategy
• Search engine marketing
– Promote brand, ads that link to the BMW website appear on
top when specific keywords are typed
• Online public relations
– Press release, third party media coverage, extension to social
networks
• Online TV
– Promotion of core brand values, technology, performance,
quality, interaction among viewers
• Online games
– Appeal to the players, enhance awareness, influence players
11. Advertising and promotional strategy
• BMW website
– Easily reach customers worldwide with rich information
• E-mail and mobile messaging
– Growing popularity of devices connected to the internet. Promotion,
customer retention, obtaining further data that helps learning customer
behavior
• Online magazines and newsletters
– Engaging reading experience through interactive features with more
information, pictures, and videos. Easier than printing and physical delivery
• Social networks
– Potential of reaching a great number of people at a relatively low cost.
Multimedia and interactive communication with a large number of
consumers
12. Sales and distribution channels
• Car dealers 80%
– Cars are easily available. Salespersons provide
personal customer contact
expand car sales without investing capital.
– competitive rates for car dealers
• Online purchase 20%
– Using the Internet - no need of physical presence
– customization of the car via the virtual showroom
and later pay and obtain the car
13. The Investment
Initial Investment ($Million)
Marketing $2,953
R&D $5,232
Cost of Material $62,238.46
Personnel Costs $16,015.20
Structure cost $10,676.80
Total $86,439.15
Total Investment 100% $86,439.15
BMW Automotive Finance Co., Ltd
45% $38,897.62
BMW Bank GmbH 35% $30,253.70
Own Capital 20% $17,287.83