Tuesday, May 13, 2014

Ch. 7 - Business Marketing (The Last Post)

Audi has not always been a a profitable company like it is today. During the early 1960's Audi had to form an alliance with Volkwagen due to poor profitability because the world was moving on to 4 stroke engines and Audi was manufacturing cars with 2 stroke engines. Volkwagen provided the 4 stroke engines to Audi cars at that time but eventually stopped. Audi had to find way to save itself so it came up with the Audi 100 which was a huge success and proved to be the resurrection of the Audi Brand.

Now that Audi is at the peak of its success it is partnering up with different companies to further improve its profitability and Brand recognition although everyone in the world can spot an Audi in the traffic. Audi recently partnered up with NXP to further innovate its automobiles. It is basically focused on enhancing the time and speed of its hybrid cars. Other than that Audi is also seen shimmering at different sports events especially the Olympics. Audi has made its business throughout the entire world and is well recognized for the brand that it is. No doubt about it the cars are extremely luxurious and well built. So if you have an Audi than you know that the money was well spent.

Tuesday, May 6, 2014

Ch. 8 - Segmenting and Targeting Markets

Audi has a specific standard when it comes to building cars and the company makes sure that each and every vehicle is the same when it comes out of the factory, but different steering placement maybe required across different parts of the world, but overall the mechanics are the same. Furthermore Audi basically uses Geographic and Demographic segmentation to dissect it's target market. Under geographic segmentation people living in crowded cities are more likely to buy hatchback but most prefer not to. But keeping such aspects of the market in mind Audi has introduced different innovative ideas. A person living in New York or Lahore, Pakistan (my native country) faces a major issues while driving, which is traffic jams. Audi has provided it's customers that face such issues in their daily lives with Traffic Jam Assist. It acts as an auto pilot when you're caught up in heavy traffic and informs you to take control when the road clears.
Another major concern for all drivers and car owners in the world is parking. Audi has also eased this aspect of driving for the driver by introducing park assist, that let's you park the car easily.

Audi's demographic segmentation shows that the company is more focused towards the younger generation and in the class factor the upper class. So this provides Audi with the incentive to make its cars more and more luxurious and give them a sporty look at the same time. The LED lights represent modernization and appeal to young people as savvy and classy to the people who have taste. Along with all other German brands Audi also falls in the luxurious category in automobiles so it is kind of a responsibility for them to not only provide a car that has the best mechanics but also the perfect interior.