Rizwan Habib🔴Joy Huffman🔴Derek Mitchell🔴Cynthia Rayess
Strategic Marketing Analysis Marketing Management
Atlanta Module-Spring 2012
Porsche Overview
Porsche Facts • Founded in 1931 by Professor
Ferdinand Porsche
• First Porsche office was opened in Stuttgart
• Offered consulting services
• Motor vehicle development work
• Headquartered in Stuttgart
• 70% of Porsche cars ever built are still on the road
Company PerformanceMacro & Micro Factors
Economic FactorsInternal Factors
• 2008 Economic Recession
• High unemployment
• More conservative consumer spending
• Stringent emission standards
• Increased raw materials cost
• Aging product line
• Introduction of Cayenne, Panamera and 911
• Strategic alliance with Volkswagen
• Sharing technology and innovation
• Resulted in SUV development
PanameraBoxsterCayman911CayenneTotal
How did these factors affect Porsche?
North American Porsche Annual Sales
Porsche Marketing StrategyExclusive Sports Car Manufacturer
High Quality
High Price
Low Price
Low
Qua
lity
Porsche Positioning
High Quality
High Price
Low Price
Low
Qua
lity
Porsche Positioning High priced-high quality-exclusive sports cars
Marketing Mix
Marketing MixPPLAC
E
PPRODUCT
PPR
OM
OTI
ON
PPRICE
Marketing Mix
Marketing MixPPLAC
E
PPRODUCT
PPR
OM
OTI
ON
PPRICE
• High end exclusive sports cars
• High performance
• High quality
Marketing Mix
Marketing MixPPLAC
E
PPRODUCT
PPR
OM
OTI
ON
PPRICE
• High price=high quality
• Price range: $48,000 - $136,000
• Elite status
Marketing Mix
Marketing MixPPLAC
E
PPRODUCTP
PROMOTION
PPRICE
• Engineered for magic. Everyday.
• Shifted to consumer focused advertising
• T.V.
• Direct mail
• North American Market
• Embrace American values and expectations
Marketing Mix
Marketing Mix
PPLACE
PPRODUCT
PPR
OM
OTI
ON
PPRICE
Marketing Mix
Marketing MixPPLAC
E
PPRODUCT
PPR
OM
OTI
ON
PPRICE
INTR
OD
UC
TIO
N
GRO
WTH
MA
TURI
TY
DEC
LIN
E
Time
Sales
Product Life Cycle
Panamera Introduced:
2009
Cayman Introduced:
2006
Boxster Introduced:
1996
911 Introduced:
1963Cayenne
Introduced: 2003
Marketing Segmentation
Porsche Market
Elitists
Bon VivantsFantasists
Proud Patrons
Top Guns
Everyday Users
• Driven • Ambitious
• Car is escape • Avoid flaunting
• Ownership is goal
• Trophy for hard work
• Enjoys sporty car for daily use
• Women, younger drivers etc.
• Jet-setters • Thrill seekers • Means of excitement
• Old money • Blue bloods • Not price sensitive
Performance Focused
• PDK:Porsche Dopplekupplung?
• PSK:Stability Management
• Launch Control
• Bluetooth
• Navigation Systems
• Cup Holders
• Creature Comforts
VS.
American Consumer Valued Features
Advertised Features
Performance Focused
• PDK:Porsche Dopplekupplung?
• PSK:Stability Management
• Launch Control
• Bluetooth
• Navigation Systems
• Cup Holders
• Creature Comforts
VS.
American Consumer Valued Features
Advertised Features
Engineered for magic. Every day.
PORSCHE
Consumer Focused
• Marketing the practicality of Porsche
• Targeting consumer values
• Breaking from traditional performance-driven advertising
Consumer Focused
Strategy 2018
Increase customer
enthusiasm
Excellent employer and
business partner
Return on capital
21% Return on sales
15%
Sales of 200,000 cars Goal: world's leading exclusive sports car manufacturer
Strategy 2018
Increase customer
enthusiasm
Excellent employer and
business partner
Return on capital
21% Return on sales
15%
Sales of 200,000 cars
Value-creating growth
• Increase market share-double sales by 2018
• Porsche Pure-remain true to Porsche brand
• Value creating-growth, not growth at all cost
2011: Record breaking year
• 116,978 unit sales
• First year in Porsche history with sales over 100,000 units
• $14.5 billion in revenue
• $2.6 billion in profit
Marketing Impact
CaymanBoxsterPanamera911CayenneTotal
Marketing Impact North American Porsche Annual Sales
Marketing Impact
Record Sales
Porsche World-wide Annual Sales
Marketing Impact
911Boxster/CaymanCayennePanamera
Porsche World-wide Model Sales
Survey Results
Survey Questions
1. What is your overall impression of Porsche?
2. How would you rate the fuel-efficiency of a Porsche?
3. Which of the following cars do you prefer?
Lexus Mercedes-Benz BMW Porsche
Survey Results
Extremely FavorableFavorableExtremely Unfavorable
Survey Results
Extremely highHighMediumLowExtremely low
Which car do you prefer?
Survey Results
Survey Results
I'd rather have a......
Benz Beameror
Recommendation Proposal
Recommendations
Product placement
Target marketing towards younger consumer
Market fuel-efficiency of a Porsche
Target marketing towards younger consumer
Tween Demographic
Recent Graduates
Young Professionals
Product Placement
Product Placement
Product Placement
Product Placement
Product Placement Exposure
500,000+ 500,000+ 5.7 million
Product Placement Exposure
Product Placement Success
$176 Million Box Office 11 Million Views22%12%
Market Fuel-Efficiency of a Porsche
Panamera 25 MPG
911 23 MPG
Cayenne 23 MPG
Cayman 24 MPG
Boxster 26 MPG
Engineered for magic. Every day.
Thank you