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“Small ,but perfectly formed”
SSCP Consultants
History/Product Life CycleS
ale
s
1960 1971 1994 2001 1st Mini
(Sir Alec Issigonis, British Leyland)
• Mini Cooper
(John Cooper)
• Monte Carlo Rally
• Italian Job
(Micheal Caine)
• Celebrities
(Mick Jagger, The Beatles...)
• 318475 units sold (best selling British car
in the world)
• Cooper out of production
• Decline in Sales
•Rover Group Bought BL
BMW bought Rover Group
40th Birthday (car of the Century
by Autocar)
New Mini Cooper
1959Time
Source
Journal of Product & Brand Management 15/4 (2006) 228-238 – Emerald Group Publishing Ltd
GrowthGrowth
Maturity
What is its Core Product?
• Small • Economic • Practical• Easy to park• British
• High Quality• Status• Luxurious• Prestigious• German
Source
http://www.mini.co.uk/
Takeover/Repositioning
Appeal/Function Image Associations
IMAGE
Functional
VFM Quality
Symbolic
Different
Classy/Chic
Fun
Sporty
Stylish
Fashionable
Symbolic Benefits/Appeal:
• Personal identify
Functional Benefits/Appeal:
• Affordable
• VFM
Product Related:
• Relative Price
• Relative Quality
Personality:
• Characteristics
• Demographics
• Typical Owner
History/Heritage:
• Era: 1960’s
• Origin: British
• Event Application: Motorsport
• Film: Italian Job
Why?
Source
Journal of Product & Brand Management 15/4 (2006) 228-238 – Emerald Group Publishing Ltd
Perceptual map
High Price
Low Price
Low Quality
High Quality£10.300
£15.000
Source
Brassington F, Pettitt S. 2006.Principles of Marketing. 4 th edition. Pearson.
Mini vs. New Beetle
Product Anatomy
Augmented
Potential
Tangible
Core
Source
Brassington F, Pettitt S. 2006.Principles of Marketing. 4 th edition. Pearson.
Actual product•Design - Modernised•Quality – Higher•Features
Add-on extras
After-sale support• tlc• tlc XL• Mini Spa• Health centre
Insurance• Mini Protect• Mini Travel• Mini Cover• Mini Shortfall
Payment• Mini Select• Mini Lease
Purchase• Mini Purchase• Mini Drive
Idea behind the Product•Small•Practical•Easy to Park•Economic
Product in the future•Prototype
Potential Product
Mini Traveller“Go British”
• New Storage Solutions• Under floor tray• More room for feet• Silver metallic paintwork• Sporting look• Similar to the Mini
Clubman (already on the market)
Source
http://www.supercarnews.net/mini/picture/2005-mini-concept-tokyo-08-1-5981/
Will this new concept car damage the Mini brand once launched on the market?
Product Mix
Gifts and Fancy Goods
Insurance Cars
Pens Mini Protect Mini Hatch
Sunglasses Mini Cover Mini Convertible
Umbrellas Mini Travel Mini Clubman
Model cars Mini Shortfall
Mini OneMini CooperMini Cooper DMini Cooper S
Mini One ConvertibleMini Cooper
Mini Cooper ClubmanMini Cooper D ClubmanMini Cooper S Clubman
Pro
du
ct
Lin
e
Dep
th
Product Line Width
Product Line Length
Source
http://www.mini.co.uk/
Brassington F, Pettitt S. 2006.Principles of Marketing. 4 th edition. Pearson.
Brand
What does “brand “mean?
• Marketing Practice of Creating a name, symbol or design that differentiates a product from other products.
• One of the most important aspects of any business; large or small, retail or B2B
• The brand is the promise to the customerSource
Brassington F, Pettitt S. 2006.Principles of Marketing. 4 th edition. Pearson.
Launching a new product through an existing brand: good or bad idea?
Advantages Disadvantages
• Customers loyal to the character and appeal of the old Mini
• Due to problems that arose when the old mini became out –of-date, customers may still hold negative attitudes in mind
• Very good brand image– Sporty – Fun – Trendy –
Stylish – Classy/Chic – Different – Special character
• Due to the strong reputation of BMW, many of their customers may decide to remain loyal to the firm– high success, by offering
customers a better product
Source
Journal of Product & Brand Management 15/4 (2006) 228-238 – Emerald Group Publishing Ltd
Success of the Mini in the USA
• Higher sales than anticipated when launched in USA in March, 2002
• Increased small car niche in USA and celebrity following
• BMW association
Value – Mini perceived as a valuable car, why?
Brand reputation Fuel-efficiency Brand experience
Will success continue for Mini in the USA?
Sourcehttp://www.ForbesAutos.comhttp://www.bmw-mania.comBrassington F, Pettitt S. 2006.Principles of Marketing. 4th edition. Pearson
USA SURVEY
• 72 % Agree
• 20 % Disagree
• 8 % Somewhat Agree
• 72 % Agree
• 20 % Disagree
• 8 % Somewhat Agree
Source
Survey organized by SSCP Consultants in USA –
Quality: Is Mini a well made car?
1 - 8%
3 - 20%
10 - 72%
-1
4
9
14
Agree Disagree Somew hat Agree
Answer
N. o
f P
eop
le
Comfort: Is Mini a comfortable car?
1 - 8%
3 - 20%
10 - 72%
-1
4
9
14
Agree Disagree Somew hat Agree
Answer
N. o
f P
eop
le
• 43 % Agree
• 43 % Disagree
• 14 % Somewhat Agree
USA SURVEY
• 86 % Agree
• 7 % Disagree
• 7 % Somewhat Agree
Source
Survey organized by SSCP Consultants in USA –
Safety: Is Mini a safe car?
2 - 14%
6 - 43%6 - 43%
-1
4
9
14
Agree Disagree Somew hat Agree
Answer
N. o
f P
eop
le
Value: Is Mini a value for money car?
12 - 86%
1 - 7% 1 - 7%
0
5
10
15
Agree Disagree Somew hat Agree
Answer
N. o
f P
eop
le
Conclusions
• MINI has a distinct brand image
• MINI Augmented and Tangible products are reliable
• MINI kept its core product intact with original character
• MINI stands for VFM (Value for money)
• MINI improved quality since acquired by BMW
• BMW found a way of exploring a new segment out of its range
• The new MINI is extremely successful since its revitalisation. So BMW succeeded.
• MINI was successful in the USA due to the points described above
Contact details:
SSCP Consultants Ltd. 21 City Road
London EC2 3NC
e-mail: info@sscp.co.uk
www.sscp.co.uk
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