Direct interactive and digital marketing (DIDM)

BMWi3 Yearly plan presentation

UOG STUDENT ID:

000792751
000799959
000799915
000792708
000792732

SUBJECT TITLE : DIDM (MARK 1149)

INTAKE : FEB13
SUBJECT TUTOR
: MR. PRADEEP
SUBJECT LEADER : MR. MJ HOUSDEN

Introduction
According to Smith BMW has been
referred as the world most reputable
companies
(Smith, 2012)

Research problem
Create a marketing plan to generate
5,000 leads with the aim of creating
500 sales with the use of 400,000.

Objectives
Generate 1000 sales instead of 500
sales which has been set by the
department.
Retain and migrating current
customer
Borrow famous events to create
awareness towards new product (e.g.
Olympic)

SWOT analysis (comparison result)

Strength
Good reputation
(high)
Environment friendly
vehicles
Quality products
Highly skilled
workforce
Corporate Social
Responsibility (CSR)
Strong brand
presence in China
Opportunities
Increasing fuel prices
Positive attitude
towards green
vehicles
Expand brand
portfolio
Changing customer

Weaknesses
High cost structure
Weak brand portfolio
Perception of high
prices
Too few acquisitions
and strategic
partnerships

Threats
Intense competition
Rising raw material
prices
Decreasing fuel
prices
Growing euro
exchange rate

Market Analysis

Title: Youtube Views

BMWi3 Go Green

BMWi3 was the first one to create a

car which are the most fuel efficient.
(50%)

ECO friendly (BMWI3)

Comparison of fuel efficiency and costs for electric cars

Brand
equity
Brand equity is important for the
purpose of generating organization
reputation
(Chris and Stephanie, 2012)

Brand
equity

Aaker, 1996. The model of brand equity.

Brand personality

Source: Aaker, 1996. The diagram of brand

personality

Market Entry
According to Open government licence or
GOV.UK
UK (United Kingdom) its government support
Ultra low commission vehicles
Provide 900 million

Office for low emission vehicles (Position)

Contribute to economic growth
Help reduce
Green house effect
Air pollution
(sources: gov.uk)

Olympic sponsorship

Olympic sponsorship

PESTEL
analysis

Source: Elearn,

Political factors
Enforcement of new laws (CO2 emission)
Change in EU legislation (life time of vehicle)
Political stability (emerging markets)

Russia, China, and Brazil (politic that

impact BMW)

With above countries (political

instability)
Have negative impact
Consumer spending patterns
Company investments (risks)

Economical factors
Impacts of economical factors on BMW
GDP fluctuations in EU countries
Last few years (direct effect consumer spending)
(affects BMW)
Income level of citizens
It may directly influences the purchasing power and
behaviour of customers
Inflation rate
Once the increasing of salary is slower than inflation
The expansion of demand will be easier
The subsidiaries of government
Need get support from government otherwise will
affect the decision making of consumers

Social factors
Social tendencies in local and global scales
market
Require to be taken in strategic decision-making
(BMW)
For e.g. changing family patterns
Such as single parents
Impact consumer spending patterns

Ageing population in European markets

Rising life expectancy (developed countries)
Changing values,
Changing consumer attitudes (savings, spending
etc.)

Technological factors
Impacts of technological factors for
BMW
Increasing awareness of green
marketing
Increasing levels of demand for
alternative fuels
Concept of driverless car (realisation)
Development of internet-enabled
technologies (automobile industry)

Legal factors
Rules and regulations is compulsory
(BMW)
The process of business and activities in :
Local regional
Governmental and international level

The changing of above rules and

regulations (huge impact in BMW)
In another way,
Patterns and copyrights is significant legal issues
It is a must to be approach by BMW in
appropriate way

Ecological factors
Ecological impact on BMW includes
the level of concern by the consumer
towards go green product
Increasing levels on the effect of non
government environmental
organization
The changing in waste management
practice

BMWi3

This is how BMWi3 design like.

Diffusion theory

Diffusion theory

BCG matrix

Source: Checkzis, 2013

BCG Matrix
BMW i3

BMW 6
Series

BMW 3
Series
BMW 7
Series
BMW 1
BMW 3
Series
Series
BMW 7
Series
BMW 1

Ansoff matrix

Poten
tial
custo
mer

Curre
nt
custo
mer

Source: Blatchford, 2013.

Segmentation, Targeting, and

Positioning process

Segmentation (BMWi3)
UK country
Those who are environmental friendly
concern

Urban areas (City)

London (more than 8million population)
Birmingham
Glasgow

Target market (BMWi3)

Primary target market
Working adult (Male and Female)
Above 24 years old
Middle, Middle upper and Upper
(Income)

Secondary target market

Retiree (Saving)
Might bought for its children.

Segmentation, Targeting, and

Positioning process

Positioning (BMW i3)

Positioning map (Previous)

Positioning map (Current)

Positioning map (Future)

Event management
(Campaign)
Venue: Stadium XYZ
Dates & duration:
Expected audiences: 5,000
Title:
Go green guarantee future

Test Drive
Enhances the interest of prospects
Able to get immediate feedback
from audience
Perform the strength parts to
prospects
Having the opportunity to explain
Prospect feels satisfy on it
Benefits for both parties
Win-win philosophy

SMART (BMW)
Specific
Introduce new product also known as
BMWi3 (create awareness and reduce
fuel consumption)

To reach more than 500 sales from

5,000 leads (aim to reach 1000)

SMART (BMW)
Measurable
The objectives of BMWi3 within this year is
measurable.
BMWi3 will use its strong points to achieve the
objective (go green awareness)
Due to the increasing environmental friendly
awareness
BMW are able to measure the demand for BMWi3
electric car

There is a proven research for the demand

of go green product are higher from year
to year

Demand for go green

product

SMART (BMW)
Achievable
1st year: 400k (Given budget)
1st year(2015): Create awareness and
conduct promotion by focus on
promotion on ATL, BTL, TTL (mostly on
TTL) (which are generally focused on
ATL and BTL)
Targeted both young and old generation

SMART (BMW)
Realistic
Have the ability to conduct the plan
with the given budget
BMW having capital resources, man power,
specialist workers, experience, appropriate
instrument and skilled labour to make
objective become actual

Cooperation with government

Government support on eco-friendly car
Some countries taxation has been
excluded
New implemented rules and regulation

SMART
(TIME)
FOR BMW

JAN
Identifying
the problem
Analysing
the market
Plan
for
market entry
strategy
Re-evaluate
the plan
Conducting
(plan)
promotion,
events

(eg:

test drive )
Calculating
sales
find

and
out

next

year

objective
Plan for 2nd

FEB

MAR

APR

MAY

JUN

JULY

AUG SEPT

OCT

NOV DEC

Integrated marketing
communication

AIDCA model (BMWi3)

Source: Comindwork, 2014.

AIDCA model
Attention
By using the previous IMC tools to
generate and create the attention of the
public towards BMWi3
Tagline (Go green, guarantee future)
With an environmental friendly
Vehicle
Reduce emission (Pollution)
Reduce fuel consumption (Cost saving)

AIDCA model
Interest
BMWi3 (Free Ipad)
Environmental friendly (Save fuel)
Environmental concern (Public)

AIDCA model
Desire
Once the customer has interest
Product

Desired can be create

Importance of environment
Cost of fuel
Government support (reduce tax)

AIDCA model:
Conviction/commitment and Action
Convey about the benefits
purchasing the car now
Such as the freebies they can get when they
purchase now
Instalments can be made
No front payment required for first 1000
customers

Thus, due to the previous reason

Prospect to take Action
Purchasing BMWI3

Decision making

Media

Source: C-marketing, 2012.

Current promotions of BMWi3 at social media (Twitter)

Current promotions of BMWi3 at social media (Facebook)

MyCityWay
For the purpose of increasing urban
mobility MyCityWay has been used
as an apps to promote BMWi3.

The ladder of loyalty

Source: Murray & Neil Raphel, 1996

The ladder of loyalty

Source: Neil and Murray Raphel, 2014.

Customer- Brand relationship model

Source: Walter, 2013.

Customer relationship management

Source: Friesner, 2014.

SERVQUAL(BMW after sales service)

Technology Acceptance
Model The perception of the
Awareness
Promotion
All of the
IMC tools
that has
been used

consumer on BMWi3 benefits

towards them such as eco
friendly, save fuel, and
others

The attitude
of the
consumer
toward BMWi3
benefits

The perception of the consumer for the facilitates for provided by BMWi3
towards the ease when consuming the product itself

Model of continuous improvement

Kaizen model

BUDGET (Yearly)

AMOUNT

Total

Advertising method
A) Billboard
B) Newspaper &
magazine

36,000
4,000

40,000

Public Relation method

A) Car exhibition
B) Olympic sponsorship
C) Campaign

10,000
70,000
60,000

140,000

Sales Promotion method

A) Expenses for Freebies 50,000
Direct Marketing
method
85,000
A) Commissions for
salesperson
(Group)
Personal Selling
method
A) Commissions for
salesperson
(Individual)
E-marketing method
A) Blogging
B) Social media
(facebook, tweeter,

50,000

85,000

50,000
50,000

5,000
30,000
35,000