Conclusion

So how do you feel about VW Tiguan now? Do you want a car with all these features:

Price: from $32,990
 Warranty: 3 years/unlimited km
 Resale: 75 per cent 


Engines: 1.4 litre petrol, 118kW/240Nm; 2 litre turbo diesel,103kW/320Nm; 2 litre petrol,132kW/280Nm; 2 litre petrol,155kW/280Nm
 Safety equipment: Six airbags, ABS, ASR,ESP. Five-star crash rating (previous Tiguan)
 Transmissions: Front drive, all-wheel drive, 6-speed manual, 7-speed DSG
 Dimensions: 4427mm(L), 1809mm (W),1686mm (H),2605mm (WB) 
Ground clearance: 195mm
 Towing capacity: 1800kg to 2000kg.

You know what...as normally a not so keen VW driver...I do.

Their ad drew me in, their website and features ticked all the boxes and reading the comparisons to other compact SUVs assured me that this is the car to get. But then again I am not here to shop, what I want and need does not mean I can afford and what the real aim is to see if their marketing tools worked and you know what, I do not think it was enough.

As someone in their target market, always looking around, previously looking at SUV's as my father thought it would be a wise investment over an Audi, I barely saw any advertisement outside the commercial and online. No billboards, out of home media from bus shelters to taxis, no radio advertisements, nothing! Whilst they maybe backing up their brand with many styles and models to attract everyone in the end, this schedule was about the Tiguan and as it reaches its mature stage and that is where the growth of sales and profit is meant to come in, who really knows about it because if you do not watch much television or fast forward the ads, you just would not know it existed if you were not looking. They are about global domination right now, creating more brand awareness yet maybe they are just trying to do too much at once???

You be the judge, but for me although through research I see it is great, I do not think they have maximised their marketing mix tools to better their overall competitive positioning.

Other Factors Effecting a Campaign

Competition...What is the purpose of creating a campaign if you do not create a competitive advantage because after all, whilst you are out to satisfy consumers wants and need, every company's aim is to create profit and in the world of cars, lets face with all the importing and exporting, there is ALWAYS going to be competition.

So who are Tiguans leading competitions? 

• Toyota Rav4:  from $28,990
• Land Rover LR2: from $44,990
• Mazda CX7: from $33,990
• Mitsubishi ASX: form $25,990
• Ford Escape: from $33,990

So what differentiates each product. Well very little actually. They are all highly rated, comfortable, great handling, similar in costs for certain benefits and features you may want or need, and for the most part fuel efficient. Whats lacking, for some its the slightly aging details and for the Tiguan the small boots when all 5seats are used.

But at the end of the day this compact SUV market shows just how important marketing is as brand loyalty and positioning is really quite crucial when all of the market is performing.

Sometimes it'll just come down to your favourite colour available, sales man skills, time, energy and habit so when creating a campaign you not only need to inform but with technology today being able to fast forward ads and really just tune out to the endless push of products day in and day out, you must create a reaction and I believe VW Tiguan did just this.

Life Cycle of Campaign

All campaigns have a life cycle and since starting this blog, this Tiguan campaign is already on the mature stage now, although it is part of a much larger Volkswagen scheme so the brand is still creating awareness for any late majority.


The following diagram best describes the cycle process:

At the introduction stage, Tiguan begins its basic publicity although I was unaware of the product at the time so did not get to hear or see any of it but as it moved into the introduction faze, the bulk of the IMC tools came out which was seen through the advertisement(commercial), sales promotion which uses the push strategy and free test drives using the pull strategy are a major contributing factors for early adopters. 


Being that most 20-34year olds are all for following trends and the latest toys. Many consumers will be what is know as the innovators and early adopters which basically means they will be one of the first to purchase or at least very early in the release. Any late adopters will be more financially conscious and slowly to react, seek information and purchase.


Understanding the Life Cycle of a Campaign is crucial in setting an appropriate schedule for all promotional tools from start to finish.


VW has a international plan right now to be the market leader, taking over Toyota by 2018 and part of this plan is making the world become aware of all their models of car and whilst I am focusing on the Tiguan it is part of a much bigger scheme which can be seen as they have already replaced the ad with two newer models that are building the landscape and world for the take over.

The Communication Process

There are many factors a Company must take into account when planning a campaign and this "Quality you could get used to" is no exception. Purchasing involvements are taken into account, where the product lies on a consumers Hierarchy of needs as well as who does what in the decision making process, are all factors researched and targeted prior to finalising a campaign.

VW Tiguan is a high involvement purchase. So what does that mean? Well it is a car and for most time, price, style, brand, features and bonus's also know as your core, actual and augmented product parts arecarefully considered, researched, compared and negotiated before the final purchase is made.

This particular commercials involvement is set to make you think, feel and do which in marketing terms is known as cognitive, affective and conative. Because this ad is set to make you really think about what is initially being sold your thinking and really starting to study the vehicle, especially after the first time you see it. The humour in the couple sneaking into the tent after a cheeky night spent at a hotel makes you feel, laugh and possibly relive a similar personal experience or want to act like that. Finally the conative response is for VW fans to look into this new car model and for first time buyers to start comparing and investigating this model and it's benefits to see it is right for them or possibly a new want for them.

Which leads me to the well known and all important Maslow's Hierarchy of Needs. Psychologist Abraham Maslow first introduced his concept of a hierarchy of needs in his 1943 paper "A Theory of Human Motivation" that suggested that people are motivated to fulfil basic needs before on to other needs. These are set in a pyramid shape with the most important needs at the bottom.

In this day and age transport is just a must in my opinion. Not only to get from a to b, but to get from home, to work, to out, get food and for this particular target market possibly rush young children around too. In regards to the needs factor, a Tiguan ticks the physiological, safety and belonging box to me. Technically vehicles are really only needed for the basics but this economical/luxury SUV shows that the brand loyal and image conscious may not just choose this car for the basic safety, comfort features but for the trusted image of quality and taste of a VW. Other sports car and luxury vehicles like a lamborghini would show the use of esteem needs being put into place but a compact SUV would not move much further up the pyramid.

Understanding why people buy your car is part of understand what they want it for and this pyramid showing the motivation behind this want and need is an important tool when marketing your product.

The next important factor to take into account is the decision making process. Who are you trying to reach through the television on the couch or out on the street? Who is going to react better to price, needs, persuasion, word of mouth? and ultimately who is the initiator and who is the decider on what to purchase?

This is focused on through what is known as the decision making process:

Problem Recognition - Information Search - Alternate Evaluation - Purchase Decision - Post-purchase Evaluation. These factors are not only effecting motivation, perception, attitude formation, integration and learning, but usually not one sole person is necessarily going to be sole decider and gathering of information.  For example, when it comes to a family car the wife may be motivated, seeks information, the husband will most likely be the decider and purchaser. 

The Tiguan is much the same, whether for a couple, young family or single, word of mouth, comparing competition, the high involvement process kicks in and one must look into features, needs, personal style and finances before making a decision and evaluating post purchase choice. Judging from online car sites the Tiguan gets 4 1/2 stars out of 5 every time as a serious leading competitor in the industry.

 

Marketing Mix and Target Market

To understand what consumers want and need you need to do research. For every company, understanding your target market is key in developing the appropriate product and campaign.


Target marketing is done primarily through segmentation which helps firms tailor the marketing mix, therefore better satisfying customer needs. The four main segmentation groups are:

• Geographic segmentation - region, climate, state
• Demographic segmentation - age, gender, education, income, occupation, family status
• Psychographic segmentation - values, attitude, lifestyle
• Behavioural segmentation - usage rate, brand loyalty, benefits sought

So what is VW Tiguan's Target Market?

20 - 34 year old male and females living in metropolitan areas who earn average to high incomes. Are well educated, live a comfortable lifestyle where image and brand loyalty is important. 

VW are currently positioned between the economical and luxury segment attracting customers who enjoy a trendy but low profile car and with Tiguan being rated Australia's best handling vehicle in the compact SUV category, even out doing some sports cars, for those people on the move needing benefits of style and efficiency in their fast paced lives, the Tiguan is the leading choice.

So how do Companies go about reaching their target market? it is done through the Marketing Mix or what is know as the 4 or 7P's. But today we are focusing on the 4: Product, Price, Place and Promotion. These marketing mix concepts create awareness, customer loyalty, competitive advantage and value.

Here is the breakdown for VW Tiguan's Marketing Mix:

Product: Volkswagen Tiguan Compact SUV (includes-brand name, safety, quality, style, packaging, warranty, accessories and service)

Price: From $32,990 (includes- pricing strategy, suggested retail and wholesale prices, discounts and flexibility)

Place: Internationally Sold. In Australia Tiguan is distributed to manufacturers, wholesalers, retailers and consumers and can be public or privately sold. There are hundreds throughout Australia as well as service and parts distributors. 

Promotion: IMC Tools = Advertising, Personal Selling, Sales Promotion, Public Relations, Interactive Marketing and Direct Marketing. Whilst this particular campaign only focuses on advertising through the television ad, internet(youtube), personal selling at retailers, sales promotion through test drives and so forth. Volkswagen as a whole uses all IMC tools to help maintain, promote and increase brand loyalty, positioning and profit through endorsements/sponsorship such as Sydney Swans, The Wiggles and the City of Sydney's Chinese New Year Celebration, website interaction and information, radio, print and out of home advertising, pulsing throughout the year.

The purpose of the marketing mix and primarily IMC tools, is to create the appropriate dialogue to consumers so your message is heard amongst the noise, create competitive advantage, boost sales and profit, help consumers through the various stages of the buying process as well as keep the message consistent and credible. 

How is this monitored and whether VW is successful at achieving this will be later discussed but in a highly competitive market, they are doing ok.

Introduction - The Peoples Car

Volkswagen the "Peoples Car" or so they say. Whilst I have never personally driven one,  with a tag line of Das Auto, "The Car" it makes me wonder why not? Especially since finding out that whilst Volkswagen formed back in May 1937 in Germany and later Group Australia formed on the 1st of January 2001 in Botany NSW, they acquired along the way my favourite/future investments Audi, Bentley, Lamborghini and SEAT to name a few. 


So what comes to your mind when you hear the name? Quality? Comfort? Safety? Style? 
I used to just picture the old VW beetle, think of the sixties and thats about it. But now since viewing the new VW Tiguan Cross Country Commercial, not only did the ad grab my attention and make me laugh, but intrigued me enough to spend the next 3 weeks studying this particular model and more importantly the IMC tools behind this current campaign.


After all being a girl brought up camping every year but now loving the luxuries of life and the finer things although on a student wage, a website advertising quality at a campsite with city sushi being delivered is my kind of car.


So stayed tuned for an open minded, slightly critical investigation into this so called "Quality you could get used to" Campaign. 


Website: http://www.volkswagen.com.au/en.html?247SEM
Campaign: http://www.youtube.com/watch?v=xeggGGNzSl8