FORTUNE -- Volkswagen -- which used to ask customers to "think small" -- is thinking big. Some might even say it's thinking grandiose.
Now second among the world's automakers in numbers of cars produced, VW Group has declared its intention to become the global leader, overtaking Toyota (TM) by 2018. Key to the plan is its ambitious goal to triple sales in the U.S., long a weak link in VW's global operations.
Read the rest of the article here: http://money.cnn.com/2010/10/04/autos/volkswagen_usa.fortune/index.htm
In a 2 paragraph response (a minimum of 5 sentences for each paragraph), answer the following questions. , The article mentions VW's goal to triple sales in the USA. Think about the quote "VW needs to spend much more time understanding the U.S.A. consumer". In paragraph # 1, describe at least 2 specific marketing activities (9 functions) you think VW would have to engage in to better understand the US consumer. Be specific with your thoughts. In paragraph # 2, discuss what car companies (USA or Global) you think do a good job marketing their products and services and why you think they do a good job. Be specific with your thoughts.
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VW is very smart in trying to branch out to the US in order to increase their sales. In trying to do this, they must understand the US consumer. One thing that they should interpret is our current monetary situation; the economy in the US is not that great, so they shouldn't price their cars too high so that people cannot buy them. They should also interpret our likes and dislikes into their commercializing. By doing so, they will have a more interested population and will then have more sales.
ReplyDeleteI think that Toyota does a good job marketing their products and services. In their commercials, they are always very interesting and very intruging. They make the atmosphere seem very appealing and will thus make the car appealing to the consumer indirectly. They always make the cars seem very glamorous but yet affordable; the perfect car for anyone that's looking to buy.
VW's need too be more specific on the way they market theirself worldwide. They need to understand how other countries , like the U.S.A get consumers to buy their products.
ReplyDeleteJust because you invented this "great" vechile doesn't mean that it will do "great" everywhere else. It's all about the needs and wants of the consumers.
It seems to me that VW's companies are trying to hard to reach out to the U.S.A. and that's probally the main keypoint on why they have lost over $600 million A YEAR in NorthAmerica since 2003.
Economy wise, the U.S. economy has decrease throughout the years so VW' needs to work on the pricing of their product and any other fiancial decisions.
VW has more than one big competitor in the U.S. . Toyota being the highest ; competing against a brand like Toyota , who not only gained the trust and loyalty of their consumers in the U.S , they actually know how to market theirself here.
It all depends on how a product is advertise in a certain country and how good that company is doing and the condition of the country they are trying to reachout too .
VW is a very well maintained automotive company which has built a name for themselves, and is very ambitious in expanding to the U.S. market. In order to succeed in the U.S. auto market they must first understand the American Consumer. An activity that VW should do is to examine the economical status in the U.S. and revolve the car’s prices to that. The pricing would help compete over other foreign auto makers making them appealing. Another activity is to focus there advertisement to the American public but showing that the car relates to them. By creating attention they will be able to draw out new customers and help fund them.
ReplyDeleteTwo foreign automotive companies that do well marketing on a global aspect is Honda and Toyota. Toyota seems to heavily base there commercials around the American family showing that a certain model is really reliable throughout the generations. They are always well received and have helped them continue progressing even through recent trouble. Honda’s promotions and advertisements are also very delightful to watch because they always spark the consumer’s attention. They both heavily focus on the family and American life which has helped them reach there target market.
VW has some get ideas to spread their sales to the US. They must do things to find out what the US consumers like and what would make them happy. They have to look at the US and the way that their economy is bad right now so they might want to wait and see if the economy goes back up. If they start now they may have to have lower prices then what they thought they could start out with. With the lower prices they will have many people buying cars as well as later on in life when they might new a new car or have a friend that might need a new car.
ReplyDeleteI feel that they do a great job getting their products out there. They know how to market the products and the right times to do it. Their Ads are great the get many people to watch them as well as have them interested int them. They make the car look great and show that it will last a long time and still look great.
I think that VW needs to work on the marketing information mangement part of their sales in america beause things that people like in Europe are differnt to what poeple like in America. Vw needs to see what the needs of the buyers in America, and make their cars to fit thier needs.
ReplyDeleteAlso they need to work and product and service managemant, beacuse their cars are do not look good to thier potential customers, except the Audi. they need to make their cars more suitable for the American people, who will eventualy be their customers
One company that does a good job of marketing their product is Honda, because you see their commercials on TV all the time. Honda also has cars to fit everyone needs in America and all around the world. Also another good company that does a good job of marketing their product is Ford,because they are always advertising their trucks on T.V. and in newspapers. Also they are advertising about how good of quality their product is instead of promotions all the time. They give the true facts about their cars instead of just wanting money all the time.
Tariq Masoud
VW will have to focus on pricing. Due to the in the economy most Americans might have the funds to pay for a high price vehicle. VW will also have to focus on demographics and who they are targeting to sale the car to. They wouldn’t want to make the car for young adults and teenagers and have it a price that wouldn’t be affordable for their target market. VW should do some research about cars that are popular in America and see why they are and branch ideas off of that.
ReplyDeleteFor the most part all foreign car dealers do a good job marketing their products. Like BMW and Mercedes. I feel as though American car companies focus more on who they are better than then their product. When watching a BMW commercial you never really see them put down Audi or Mercedes. Ford and Chevy always seems as thought they are putting each other down in their commercial. So obviously their promotions are focused on different things, which is why foreign countries do better in America.
Volkswagen would defiantly need to focus on distribution and pricing. Distribution because they aren’t located in the United States of America (U.S.A.) so they need to find ways to bring their product over to the U.S.A. They would also need to focus on pricing in the U.S.A. because they should match up or at least come close to completion’s pricing in the U.S.A. When they came out with the Volkswagen Beatle it was demanded in the U.S.A. and they ended up selling 569,696 cars. They said that was 7% of the market.
ReplyDeleteI think Ford and Honda do a great job of marketing their product. I always see commercials about their products on T.V. Ford even owns some of the National Football League team Detroit Lions stadium. Honda has the cartoon guy that’s “always knocking” and customers remember that. My mother bought a Honda in 2000 and she feels they are very safe and I should have a Honda for my first car.
“VW needs to spend much more time understanding the U.S.A customer”. This can be done by using product/service management to design, develop, maintain, improve and acquire products and services to meet consumer needs. In other words VW should try to make models Americans can use and what best would fit them, they should also try to be more willing. Distribution could also be considered, in that VW need to determine the best methods and procedures to market their models, so US customers can locate, obtain and use their products.
ReplyDeleteI think the Global car makers market their cars more than the US market, because almost every time you turn your TV on, there is an advertisement of a Japanese or Koran car, and you don’t really see much of the US car makers. The global markets are doing a good job in their marketing. That’s a reason why they are doing so well.
VW need to do a lot of work since now they’re trying to overtake Toyota by 2018. Since VW has been focusing more on Europe, china, and Brazil needs. Now to focus in the U.S they have to make a lot of changes in their cars because Europe, china, and Brazil have different cultures and different taste of cars then what we have in here. They also have to focus on the crisis that his country in passing through right now not everyone can afford a expensive car so they have to lower their cars price to fit the consumer budget.
ReplyDeleteI think that Toyota and Ford are doing a pretty good job in marketing their product. Because all there commercials I have seen on TV are mostly based on what the consumers here on the U.S need, comfort, reliability. They also don’t have car only for families but also trucks for people that work on constructions and does that need more horse power.