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Bravaria Motor Works Z3 ROADSTERGroup No. 9Abhishek Vashishth 1402001Kaushik Yadav - 1401055Subburam S 1401047Suresh Bhasin - 1401049Varun Prabhat Soreng - 1401052

INTRODUCING BMW Z3Brand repositioning from Yuppie Status Symbol to Ultimate Driving Machine

Decline of Motorcycle market in 1992Surgical transplantation from Germany to U.S.A To become a truly global brand To create a cushion against international monetary fluctuationsTo develop new relationships in North America especiallyRoadster Z3 was the perfect fit with BMW positioning ofDriving ExcellenceEvoked BMWs heritageEmbodied the spirit of the company

Market was falling because of competition from Lexus and Acura.Improved dealer networkSignificant improvement to the product lineOverall strategy remained same- Best not Biggestso there was a need among Youth Markets of a product which could fulfill the emotional fantasy of being exciting & could create the thrill2

INTRODUCING BMW Z3Objective of launch was 2 fold to motivate & stimulate dealer networkto build an order bank for Spartanburg PlantBMW differentiated and positioned itself on the basis of PERFORMANCEBMW used both push and pull promotional strategy.Market was falling because of competition from Lexus and Acura.Improved dealer networkSignificant improvement to the product lineOverall strategy remained same- Best not Biggestso there was a need among Youth Markets of a product which could fulfill the emotional fantasy of being exciting & could create the thrill3

Roadster Introductory Marketing PlanCentral Goal of Launch:Expand BMW FranchiseRejuvenate BMW brand by positioning Z3 in American culture

The launch plan budget was split 40:60 between Traditional & non Traditional Element Focused on non traditional marketing: given Psychographic SegmentationTargeted Demographic Segment: Lover of Life mindsetMulti media communication channels were usedWanted customers to hear message in many voices rather than reiterationPsychographic Segmentation : Demographic Segmentation : Generation Xers, Men & Women in 40s who expressed their desire to have a convertibleThey were all lover of life with a unique expression of individuality, indicated a target market defined in Psychographic & demographic terms4

Phase I Traditional Marketing Released on November 1, Non traditional spirit was maintained- Bond exampleCentral element of humour and fantasyBooks- Business Week, Forbes, Fortune & Magazine- Car & Driver, Auto Week, Auto world15% Recall- highest in ten yearsDealers not very enthusiastic at first- 345 dealers and only 150 cars for promotional period. circulation in three wavesKit contained multi media Kiosk video, mock bond 007 license plate

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Phase I Non Traditional MarketingPLACING Z3 IN A MOVIEMovie becomes more realistic with use branded productsManufacturers look for exposure & visibility (Young & Foreign people)Cost effective and adds glamourEffective way of building Brand EquityRisk associated is very highCo launch of MGM movie Goldeneye, Pierce Brosnan & the roadster Z3BMW was looking for a glamorous hero. Bond was perfect fit- Handsome, sexy, wealthy, resourceful, adventurous, penchant for good fast cars

The Bond Connection became the foundational element around which remaining Z3 launch plans were formulated

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Phase I Non Traditional MarketingJAMES BOND PERFECT FIT FOR BMWBMWs deal with MGM - capable of reinforcing BMWs brand imageThe deal was a perfect co launchQuintessential hero for a quintessential carBMW agreed to invest in advertisement to support Z3 as James Bonds new CarMGM agreed to place Z3 in Goldeneye - Preview & TrailerCo launch of MGM movie Goldeneye, Pierce Brosnan & the roadster Z3BMW was looking for a glamorous hero. Bond was perfect fit- Handsome, sexy, wealthy, resourceful, adventurous, penchant for good fast carsThe Bond Connection became the foundational element around which remaining Z3 launch plans were formulatedAppeared in movie for 90 second but was noted in marketing press as SEAMLESS INTEGRATION

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Co launch of MGM movie Goldeneye, Pierce Brosnan & the roadster Z3 Film makers want to make the movies real that is why they showcase branded products (Win Win situation)through their Hollywood alliances

The Risk Associated with it was very high i.e. uncertainty of the success of the movie & appearance of the product in the movieCo launch rather than a traditional of movie product placementThe Bond Connection became the foundational element around which remaining Z3 launch plans were formulated

8Objective Setting

Sales

Communication

Advertising DecisionsBudget Decisions

Movie decision was cost effective

Cost Effective Non Traditional Marketing

Media Decisions

Multi media channels used

Use of Traditional & non Traditional Marketing

NTM being cost effectiveMessage Decisions

To make it word of mouth

Advertising Evaluation

15% of viewers recall the ad which is the highest figure ever

Successful BUZZ creation

Booking increase to 9000 as earlier envisaged was 5000Sales objective was 1,00,000Communication objective was to create buzz9Non Traditional MarketingOnline & Field MarketingTraditional Marketing

Integrated MarketingGo VideoTonight ShowRadioCo Launch with oo7Central ParkWebsiteCatalog OfferPremier ShowsPrint Media007 KitsTV Ads

Phase II Key ChallengesTo create a market plan that would sustain the excitement created in phase I until product availability?How to maintain the Buzz created by phase I marketing ?How to materialize the interest & excitement of the targeted market into Sales ?Probable Solutions*Connecting & Maintaining relationships with customer by direct marketingGet married: Conversion of purchased decision into relationshipsConnecting & Maintaining relationships with customer by direct marketingGet married: Conversion of purchased decision into relationships

To create a market plan that would sustain the excitement created in phase I untill product availability?How to maintain the Buzz created by phase I marketing ?How to materialize the interest & excitement of the targeted market into Sales ?

11Desired End-State: Purchase

Possible End-State: Brand forgotten Time Phase IPhase IIGenerating excitement,buzz, visibilityPoint ofinfatuationExcitementFrom Excitement to Sale !

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Should BMW continue with Non Traditional Marketing or not ?What shall be done now?Should itNon Traditional Marketing suits best for their targeted Market Segment BMW Z3 Roadster being a high involvement product & looking to its Psychographic Segment innovative marketing leaves a deep impactShould not it Same way can not be repeated as it will loose its charmInvolves high Risk13

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Thank You

Back Up Slides16

Phase I Marketing