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BMW Z3 Roadster

The document discusses BMW's launch of the Z3 Roadster in the US market in the 1990s. It describes how BMW selected Spartanburg, South Carolina as the production location for lower costs and tax advantages. It then details BMW's integrated marketing campaign for the Z3 launch, which included product placement in the James Bond film GoldenEye, promotions through Neiman Marcus catalog and Today Show, and a website and press events to generate interest. The risk was that American consumers may not accept a German car made in the US, but the non-traditional marketing approach was largely successful in meeting BMW's goals.

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Atin Mehra
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0% found this document useful (0 votes)
276 views26 pages

BMW Z3 Roadster

The document discusses BMW's launch of the Z3 Roadster in the US market in the 1990s. It describes how BMW selected Spartanburg, South Carolina as the production location for lower costs and tax advantages. It then details BMW's integrated marketing campaign for the Z3 launch, which included product placement in the James Bond film GoldenEye, promotions through Neiman Marcus catalog and Today Show, and a website and press events to generate interest. The risk was that American consumers may not accept a German car made in the US, but the non-traditional marketing approach was largely successful in meeting BMW's goals.

Uploaded by

Atin Mehra
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© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Atin Mehra

S.NO.: 53
Section : F

12/17/2014

Z3 Roadster
Captured essence of BMW brand
Performance and luxury The Ultimate Driving
Machine
Was best fit with positioning of driving excitement
Emotional substitute for motorcycle segment

Evoked BMWs heritage as a producer of roadsters


Fit the corporate goal of being the best not the
biggest
12/17/2014

Spartanburg Selected For Production


Spartanburg lies in South Carolina in USA. The
location has following advantages for the automobile
industry:
250+ automotive companies

#3 in Automotive Manufacturing Strength


15% lower energy costs than national average
0% state property tax, local income tax, inventory tax

and wholesale tax

12/17/2014

Why Spartanburg?
Displayed commitment to dealers and American people

that BMW is here to stay


Provided cost advantages
High cost environment in Germany
Cushion against monetary fluctuations

However, also posed challenges


To convince consumers that quality of cars produced in

the USA would be no different from cars produced in


Germany
12/17/2014

TARGETS SET FOR BMW


Z3ROADSTER
To expand the BMW franchise & market share
Target of 100,000 annually in USA
To rejuvenate the BMW brand by positioning the Z3

squarely in American culture and settling into the


hearts and minds of the American public
To make BMW a global brand
Transition from Made in Germany Made by BMW

12/17/2014

STRATEGIES OF Z3 LAUNCH CAMPAIGN

12/17/2014

Z3 Roadster in The GoldenEye


Without a fee!
MGM got the use of prototype vehicles for the movie.
MGM also obtained worldwide rights to reference the

placement

Perceived fit between Bond & Z3 brand personality


BMW looking for a glamorous hero.
Bond as handsome, wealthy, resourceful & adventurous.
Man who loves life and is in control of his destiny
Known for using technology with penchant for fast cars

The quintessential hero for a quintessential car!


12/17/2014

RISKS & BENEFITS OF USING The


Golden Eye MOVIE

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12/17/2014

Need for Other Marketing


Elements
To Pre Sell Z3
Golden Eye movie placement was just a teaser
To close gap between Golden Eye Launch and

dealership availability
To stimulate interest in other BMW brands
To reach a wider audience
To reinforce brand image

12/17/2014

Neiman Marcus, Todays Show


Sep95
Known for its unusual product offering

Features
Special Limited Edition Bond Roadster Launched in

Neiman Marcus Catalog


Catalog and Vehicle featured on Todays Show

Goal
20 Units over 3.5 months

Result
100 units in just2 days
6000 orders in the Christmas period

12/17/2014

Oct 95

BMW Website

More information
Virtual View of the Car

Features
Golden Eye film Segments
Today Show Clips and Movie Offer
Build your own Roadster: View Display and Price

Result
Hit rates tripled from 35,000 hits/day to 125,000

hits/day.
Apple used this as a reference in their advertising

12/17/2014

Press Launch in Central Park


Nov95
Formal introduction
Reach out to broadcast and print media
Prepare the ground for movie launch

Features
Media attention: 200 media rep.
Preceded by CEO Interview in Today Show
Special Effects to generate Interest

Result: Extensive Coverage in


Print: Hard Copy, The Mornings Business, The Money

Wheel
All major network news channels.
12/17/2014

Jay Leno Tonight Show


Nov 95
Reaching out to wide audience
Promoted movie and car

Features
Jay Leno using the car in his show
Bond to dodge all security and enter
Took calculated risk and gamble

Result
Worked Out Well as per Mc Dowell. Not much data.

12/17/2014

Radio DJ Program
Nov 95
Word of Mouth effect
But was the most risky

When?
Early November 1995

Features
Innovative ideas used by DJs
Gave away Z3.

Result
Got brand into conversation milieu.
6000 spots against 3800 promised.
3 Times Word of mouth effect of other programs
12/17/2014

Traditional Media Used In NT Spirit


40% Traditional vs. 60% Non-Traditional
TV and Print Advertisement s on 1st November
Humor and Fantasy instead of traditionally no-

nonsense

TV: Spots in Network Shows, Lifestyle Cable

programs
Print: Placed in business, lifestyle and Autobuff magazines.
Utilized to prime the launch of movie.
Advertising Recall 15% of TV viewer (50%
higher than Mercedes E class)
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Dealer Promotion
Objective
To be integrated from outset
To motivate dealers to spend resource on product to be

launched after 6 months.

Process
Dealer Visits and Presentation
Emphasized strategic importance

Result

12/17/2014

Private Film Screening


Cocktail Receptions
Circulated the Cars for Display
Merchandise e.g. Bond License plate
These generated publicity in media

ANALYSIS OF CAMPAIGN IN
PHASE-I

12/17/2014

12/17/2014

RISK INVOLVED IN PHASE-I


CAMPAIGN

12/17/2014

FACTORS LEADING TO SUCCESS OF


PHASE-I

12/17/2014

IMC PLAN FOR PREMIUM CAR IN


INDIA-ADVERTISING
BROADCAST
PRINT MEDIA

12/17/2014

Television Commercials

Newspaper Advertorials
Magazine Advertisements

DISPLAY
MEDIA

Billboards
Outdoor Advertisements near airports

ONLINE
MEDIA

Facebook Fan page


Sponsored Adwords advertisement
Create special standalone website for the car
Run youtube viral campaign

IMC PLAN FOR PREMIUM CAR IN


INDIA-SALES PROMOTION

Provide higher margin rates for car dealer for certain period
Organize events for them to encourage sales and provide

rewards for the same


Take part in trade shows and put car for a show
Provide premium service and maintenance programs for

the customers
Provide incentives for referrals to the customers
12/17/2014

IMC PLAN FOR PREMIUM CAR IN


INDIA-EVENTS
Sponsor cricket tournament and provide car as gift to

man of the series


Sponsor industry relevant conferences, trade shows etc

12/17/2014

IMC PLAN FOR PREMIUM CAR IN


INDIA-EVENTS

Sponsor cricket tournament and provide car as gift to

man of the series


Sponsor events such as City Marathons organized

within the target locations


Sponsor industry relevant conferences, trade shows etc
Sponsor media shows focusing on automobiles like Car

n Bike show on CNBC TV18


12/17/2014

IMC PLAN FOR PREMIUM CAR IN


INDIA-EVENTS
Sponsor cricket tournament and provide car as gift to

man of the series


Sponsor industry relevant conferences, trade shows etc
Sponsor media shows focusing on automobiles like Car

n Bike show on CNBC TV18

12/17/2014

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