PORSCHE

ABSTRACT PORSCHE is a German automotive brand which began its journey in

1931 from Stuggart and its owner is Ferdinand Porsche. PORSCHE targeted the wealthiest segment and made exclusive, high

performance, elegantly design and expensive cars.(911, Cayenne, Panamera)

Not only created unique models but also provided high class value and satisfaction to its customer for which they pay premium.

Focusing on their cars, PORSCHE only targeted those segments where it achieve exceptional results.

Porsche set high level of positioning which help it to stand as a market leader in luxurious sector.

Differentiated its strategy as well as mainly focused on product development which made difficult for others brands to compete.

Whenever people became less attractive and less intrested towards PORSCHE models, it changed and upgraded its model according to customers want to made them brand loyal.

Also positively effect on customers personality and status.

Q#1: Analyze the buyer’s decision process of traditional PORSCHE customer?

ANS: The buyer’s decision process of traditional PORSCHE customer is:

o They donot follow the all the steps of “Decision Making Process”.

o They jumps directly on the “PURCHASE DECISION PROCESS” and then follow the POST PURCHASE PROCESS”.

NEED RECOGNITION

INFORMATION SEARCH

EVALUATE ALTERNATIVES

BUYER’S DECISION PROCESS OF TRADITIONAL PORSCHE CUSTOMERS

PURCHASE DECISION PROCESS

POST PURCHASE PROCESS

• They don’t have need, but their desire drives them to go for PORSCHE.

• They are habitual users and they are aware about the uniqeness and innovativeness.

• These are usually financially suceesful and brand concious people who only have concern with satisfaction, value and pleasure and they only buy those vehicles which suits them best.

• After purchasing, they only think that what decision they had made is fulfilling their desires.

Q#2: Contrast the traditional PORSCHE customer decision process to the decision process for a Cayenne or a Panamera customer.

ANS: oTraditional PORSCHE model: Having usually two doors and slow in speed.

oCayenne: five doors mid sized luxury car but SUV(sports utility vehicles).

oPanamera: five doors full size luxury car with fastback.

The customer decision process of Cayenne or Panamera are quite different from traditional PORSCHE customers because:

Cayenne and Panamera are two new cars for them and they had never experience these two models of PORSCHE before so they have to follow:

DECISION MAKING PROCES ADOPTION PROCESS

NEED RECOGNITION DEVELOP INTEREST INFORMATION SEARCH AWARENESEVALUATION OF ALTERNATIVES EVALUATE INFORMATIONPURCHASE DECISION TRIAL

ADOPT

Q#3: Which concept from the chapter explains why PORSCHE sold so many lower-priced models in 1970’s

and 1980’s?

ANS: PORSCHE lowered the price as well as change the design of it models during 1970’s and 1980’s because:

Director of PORSCHE analyzed that there was need to serve large amount of people(micro environment to macro

environment) for economic security.PORSCHE senior management was feeling insecure about there long term survival and business promotion.Loyal customers of PORSCHE were not enough to

increase the growth of company.In future, if PORSCHE carry the same strategy then

PORSCHE would have face failures because its competitors would go far ahead of PORSCHE.

Q#4: Explain positive and negative attitude towards a brand like PORSCHE develop. How might PORSCHE change consumer attitude toward the brand?

ANS:“SOCIAL FACTORS” plays a very important role in creating positive and neegative attitude in people towards PORSCHE.

POSITIVE ATTITUDE:Elite class people were buying luxurious PORSCHE models which seperates them from lower and middle class people and provide them elegant and honourable status among others and they were happy that PORSCHE is distinguishing them from others.

• When PORSCHE expanded its targeting strategy, then premium class and loyal customers started to feel less reputative and degraded because they saw common people purchasing the same brand and this was the time when negative impression of PORSCHE was created.

• People who cannot afford PORSCHE cars claimed that PORSCHE is dividing people in to different groups in terms of money.

• PORSCHE change customers attitude towards its brand by retaining and launching exclusive and expensive cars, which cleared that PORSCHE cars were only for wealthiest segments and that was for regaining the trust of loyal customers.

NEGATIVE ATTITUDE:

Changing The Attitude Towards PORSCHE

Q#5: What role does PORSCHE brand play in the self-concept of its buyers?

ANS: The brand PORSCHE plays a vital role in the self concept and self image of its buyers by:

•Producing the unique and stylish vehicles.

•Creating special group of customers.

•Focusing more on appearance and performance.

•Maintaining the highest level of exclusiveness.

•Creating a high social status.

•Reinforce the feeling of success and pride.

LEARNING AS A MARKETING MANAGER:• Using marketing concepts to its fullest mean to achieve

good results.• Realize that brand image is very important thing.• Give importance(value and satisfaction) to customers to

float for long term. Customers are most profitable assests.• Using the 4p’s of marketing to get benefits as well as

increase growth rate.• Dividing and targeting the best segment according to our

product to achieve maximum profit.• Expand targeting strategy by attractively positioning and

differentiating product.• Never give a break to business when face failures but try to

come up with more potential to regain the trust of customers.