Price and Channel Strategy Name: Thomas Marshall This assignment is designed to help students analyze and understand how price setting and go to market (distribution) are interrelated and affects the profitability and growth of the business. It has been designed to be a short overview on purpose: the concepts of pricing and distribution are complex and a general understanding is what should be absorbed in one week of study. Review your plan for setting price and a distribution model (place/distribution). This plan should address each element listed below. The answer should be no more than 200 words. Answer In the face of considerable competition in automotive industry, companies are taking on effective distribution strategies to achieve competitive advantage over the years. Distribution strategy involves planning to make a product available for its target customers via supply chain. The strategy outlines and plans how the product or service is availed right from taking inputs from marketing information to what to Distribution Strategies. deliver to the target customers. A company may choose to serve its product through its own channel or opt for distribution channels. The design of the strategy affects the overall operation of the company. Ford Motors is a household name in the automobile industry. In todays fast paced online environment, marketers are trying to fit in this ever changing world. Ford understands how the online community is effective in growing the customer base to reach more audiences, which in turn means more sales and profits. This is why the company employs a couple of distribution strategies to maximize on their sales. They sell their cars at Ford dealerships or online and have exclusive stores to sell the cars. Companies determine the appropriate level of distribution channel by taking into consideration a few factors, which include analyzing costs versus benefits associated. The channel represents availability of a product in international level. The three main levels of distribution coverage are: • Mass coverage: Ford Motors uses this strategy to avail its automobiles and automotive components through local distributors. Channels, Mass, • Selective coverage: Ford Motors is a brand which aims at Selective, Exclusive. protecting its image, and it is far more selective with where to sell its products. A customer would search out the outlets to purchase the cars. It is easy for the company to focus on selling on a few outlets rather than many. • Exclusive coverage: Companies here target to sell products through an exclusive group of resellers or select stores. Products are distributed exclusively. This is a strategy deployed by Ford with an aim to seek to protect its image and have control over credit inventory and intermediaries price. Positioning within channels relies on emphasizing on the meanings and associations regarding a product or brand to influence a consumer’s consciousness. It helps a buyer advance from basic information about the product to the actual purchase. With many competitors in the market, Ford Motors is keen on positioning itself successfully to stand out from the rest. Ford Motors works to target its customers to get valuable feedback. The information and insights received helps in improving their relationship. Positioning within From the channel, a company can understand consumers’ tastes. To channels. address the needs of their customers, Ford launched a campaign to challenge the perception of ‘Ford’. It is looking to change how people perceive the brand and building brand’s affinity. The company looks to develop electric cars, autonomous vehicles and services soon. Inspired by style, Ford launched new cars as part of their next generation Ford Fiesta range to offer customers with personalization options (Chahal, 2017). Dynamic pricing involves fluctuating prices depending on Dynamic/Static Pricing circumstances, which comes down to demand and supply. Other Strategies additional factors include the market conditions and the target market. Ford adjusts its prices depending on the market and business conditions. The conditions are dependent on a few variables, including demand, consumer competition and competition. This strategy can boost profit especially when there is market uncertainty. Maximum profit is realized when prices are reduced during low sales and hiked when the demand is high. This model brings higher revenue compared to static pricing. Ford also sells vehicle whose prices do not change. However, a company may not adopt static pricing because it lacks flexibility thus does not respond to the changing market conditions. A firm sets the price which does not change regardless of the market conditions. Choosing this pricing strategy helps to avoid antagonizing consumers. Some potential consumers may perceive price changes as unfair and aims to exploit them. Pricing is a crucial factor which directly influences the decision of a consumer to purchase any product. Ford Motors is about quality products and services. The pricing strategy changes over time to match the industry environment and market. Customers who understand the value of cars produced by Ford are willing to pay for these products Channel tactics (Pricing) because they believe “the higher prices are justified” (Kotler & Keller, 2007.) Ford deploys premium pricing strategy in selling their luxury model, Lincoln automobiles. This tactic is one way to support their efforts to securing different market segments. Ford reaches many consumers by producing different models with varying prices to suit the various needs of customers. Geographical pricing is where the company decides to price products according to their geographical location. It will incur more costs to a ship Ford Model car to other continents, which in turn leads to an increased selling price on the automobile. Ford Motors Company has a highly varied target market which stretches across the globe. Therefore, it is vital to adopt a more comprehensive approach in their pricing strategy, aimed to promote its automobiles in its target population worldwide (Patrina, 2014). Their goods and services are promoted through all the conventional strategies. Ford markets itself through advertisements. Their main platform is the visual media: online and television, which sells the brand to a vast audience. They have also had a huge success in Daily pricing, promotion promoting through print media. Also, they make use of sales personnel pricing, List pricing and agents to influence buyers to purchase their products at various outlets. In addition, they sponsor sports events and social responsibilities to market their products and businesses to potential buyers and build a positive image for the brand. Prices fluctuate depending on the social, economic and political factors. Another tactic is sales promotion through discounts, special offers and trade-ins. The company also provides leasing services to some corporate clients. . References Chahal, M. (2017, September 20). Ford is launching ‘cars with personality’ to change perceptions. Retrieved from https://www.marketingweek.com/2016/12/14/ford-changingperceptions/ Keller, K. L., &Kotler, P. (n.d.). Branding in B2B Firms. Handbook of References: Business-to-Business Marketing. doi:10.4337/9781781002445.00021 Patrina, E. (2014). Managing the organizational development through global expansion: case study of Ford Motor Company. NEW UNIVERSITY: ECONOMICS & LAW, (5-6), 52-56. doi:10.15350/2221-7347.2014.5-6.00056 Promotion and the Product Life Cycle Name: Thomas Marshall All products/services go through a life cycle of NPI (new product introduction), growth, maturity and decline. These various stages affect the marketing strategy and promotional efforts. In Week 3, you will incorporate a product strategy that addresses at least 3 areas of the product life cycle. The primary objective of this assignment is to demonstrate an understanding of the factors that can affect the launch of a product or service. The answer should be no more than 200 words. Answer Companies are aware improved features of existing products are effective marketing strategies. The introduction stage for Ford Motors was characterized by low sales. It was expensive due the research and development critical to Review and explain the introduce features which meet the tastes and preferences of the target three areas of the product market. The introduction stage was characterized by extremely high life cycle. expenses as the company had to spend a lot to market its products to the already competitive automobile market. The growth stage was characterized by an increase in profitability due to the economies of scale in the manufacturing process. The company maximized its potential in this stage by capitalizing on its strengths and opportunities. This is how Ford Motors transitioned into the Maturity stage. Stabilization characterized the maturity stage. Ford Motors Company had to seek strategies to ensure they retained the market share despite the fact it was becoming saturated (Armstrong, Kotler, Harker, Brennan, 2015). This time was challenging as the company had to seek improvement formulas to maintain competitive advantage. This included the introduction of exciting features which appealed to diverse demographics. The company therefore established itself at the growth and maturity stages of the product life cycle. The metrics which will identify the success or failure of the marketing How you will measure activities include financial metrics. The effectiveness of marketing (what metrics will be strategies adopted includes the marketing contribution which can be used to determine traced from the revenue achieved. For instance, Ford Motors measures success or failure) the the success of marketing initiatives about how it translates into marketing activities. Use monetary gain. To demonstrate marketing success, Ford Motors numbers to Identify why monitors its growth in traffic in its websites or through walk ins. This the problem growing. can be evidenced by the number of visitors to the company’s website. The key performance indicators are shown by sales revenue increases which is attained by summing up client expenditure and deducting the expenditure including marketing from the figure. Customer retention and acquisition rate is a marketing performance indicator as it shows the number of repeat customers. It is crucial for Ford Motors to calculate the probability of being recommended as opposed to its competition. A net promoter score enables a company to know marketing strategies which drive sales through customer retention and satisfaction. This is measured by conducting customer research through surveys and interviews. Besides, qualified leads per month metric measures whether the marketing department is reaching the targeted demographic and whether it is attracting more clientele (Edgecomb, 2016). Create at least two Advertisers are spoilt for choice in selecting advertisement options. different types of media With the advent of digitization, advertising has drastically evolved. methods for the products. Ford Motors can capitalize on the ever-rising use of social media to One media method must market its products. Individuals in the current generation prefer the use be a print method and of the internet to carry out all their transactions. The company should one must be non-print. take advantage of this by placing its advertisements on social media sites like Facebook, Instagram and Twitter. It is a faster and cheaper way to reach potential customers across the globe. Online advertisements ensure which the company interacts with its target users and receives positive ratings from its target users. The second media method the company can incorporate is the use of newspapers and magazines. Newspapers and Magazines are a viable option as they are easily accessible and affordable mediums (Andrews, Shimp, 2017). Newspapers and magazines effectively package the content about the company. This medium will ensure the details about Ford effectively reach the targeted audience. 1. Address three elements Advertising Strategy/Objectives of the Product and It is crucial for Ford Motors to determine its advertising objectives to Promotion List (see determine whether the performance aligns with set marketing below). strategies. The main objective of advertising strategies is to expose the Product and Promotion product and product efficacy to the target market. The goal is to build List: a brand image which positions the company as the best automobile • Integrated Marketing Communication • Advertising Strategy/Objectives maker. Ford Motors uses advertisements to change perceptions about other brands therefore making them to switch loyalty. Advertising strategies create a changed perception in the public. The strategies will enable Ford to create a positive reputation and subsequently make the • Push and Pull target audience to switch loyalty (Belch, George, Belch M., Kerr, and • Media Strategy Powell, 2014). The strategies enable a company to gain feedback • Advertising Execution about the risks and trends inherent in the market. The result is the • Direct Marketing development of a steady brand. It positions the company in a manner • Public which ensures it gains competitive advantage. Relations/Strategies • Positioning 2. Direct Marketing Execution Direct marketing involves a company pitching itself, so the potential customers can reach the company. Ford Motors uses direct marketing to convert itself from just potential prospects to eventual customers. To achieve this, it formulates a well-conceived plan to ensure it defines the expected objectives. This is achieved by ensuring the company adopts campaigns which include promotional strategies to help the company reach its potential buyers. This involves creating strategies like free trials, incentives and affordable premiums to attract a wide array of customers. The only way to do so is to position itself to reach as many customers as possible. The promotional strategies offered by Ford ensure the company maintains existing relationships with its customers. 3. Positioning Market positioning refers to market analysis to determine the company’s strengths and weaknesses in comparison to its competitors. Ford is very keen on how its customers perceive its automobiles as compared to what other manufacturers offer. Market positioning enables a company to know its quality and how to seek ways to ensure it is the consumer’s top most priority (Tomczak, Reinecke, Kuss, 2018). Ford Motors is constantly working on how to improve consumer perception to retain its exposure. With the advent of social media, Ford Motor’s objective is to ensure their product cuts through competition to reach the target market. Ford Motors seeks to expose its unique attributes to stand out from what competition offers. It carries out a thorough assessment of clientele tastes and preferences to know the areas require adjustment. It carries out competitor analysis to seek ways on how to strengthen the brand. References: Andrews, J. C., & Shimp, T. A. (2017). Advertising, promotion, and other aspects of integrated marketing communications. Nelson Education. Armstrong, G., Kotler, P., Harker, M., & Brennan, R. (2015). Marketing: an introduction. Pearson Education. Belch, George E., Michael A. Belch, Gayle F. Kerr, and Irene Powell. Advertising: An integrated marketing communication perspective. McGraw-Hill Education, 2014. Edgecomb, C. (2016). The 10 marketing KPIs you should be tracking. Impactbnd.[online]. Dostupno na: https://www. impactbnd. com/the-10-marketing-kpis-youshould-be-tracking (28. travnja 2017.). Tomczak, T., Reinecke, S., & Kuss, A. (2018). Introduction. In Strategic Marketing (pp. 1-18). Springer Gabler, Wiesbaden. Understanding Target Markets Name: Thomas Marshall To develop effective relationship marketing, a company must first understand its targeted consumers' buying influences and behaviors. This week's assignment is the first part of the development of a marketing plan. It provides the foundation of the marketing plan and introduces the student to a variety of diagrammatic tools for understanding a business. To develop effective relationship marketing, a company must first understand its targeted consumers' buying influences and behaviors. Create the research section of your plan. The answer should be no more than 200-300 words. Answer In the process of implementing a market plan, organizations use the marketing mix. In the case of Ford Motors, the target market spans Research of Topic the global economy thus making it highly varied which leads to the adoption of a comprehensive marketing mix by the organization. Primary Research The organization deals with manufacture of trucks, buses, automotive components, automobiles and vehicle leasing services. The firm is one of the largest automakers in the world and thus in attempting to maintain its high performances, it employs this comprehensive marketing mix. Ford Motor’s competitiveness in reaching its target markets around the world is also influenced by the marketing mix and other strategies it is likely to adopt. Ford Motors uses differentiated strategies in their operations as they target a number of segments. Behavioral segmentation, geographic segmentation are some of the segmentation variables used by FORD Motor Company. The other segmentation variables are demographic segmentation as well as psychographic segmentation. All these segmentations are meant to address the needs of the different types Secondary Research of consumers and ensure their needs are satisfied (Weinstein, 2000). For instance, the latest model of FORD knowns as FORD FIESTA appeals to the demographic variable of age and gender. The model is equipped with features which attracts the young and female consumers. The behavioral segmentation has also been addressed by the FORD FIESTA due to its fuel efficiency. The buyer behavior of FORD Motors’ consumers are influenced by the social, cultural, personal as well as psychological factors. The Consumer Analysis company must understand all these factors so they can guide them when coming up with marketing mix strategies. If the organization is able to understand these consumer preferences and the factors bringing these preferences, then it is able to design marketing mix which appeal to the target markets (Goi, 2009). A consumer is usually influenced by a number of people in the buying decision process and the company should strive to identify these people before designing marketing strategies. The psychological, personal, social and cultural characteristics of a consumer influences the consumer’s buying behavior as well as the resulting purchase decision (Weinstein, 2000). Ford Motors customer profile include the people of the upper & middle-income groups. Other customers include those from the transportation enterprises who are on the lookout for technologically advanced automotive solutions. The company also manufactures automobiles for all age groups of people in the society. The young generation as well as the old generation’s needs have been taken care Customer Profile of through the launch of vehicles with their preferred features. Both genders too have been taken care of as can be seen from the launch of vehicles which are preferred by both ladies and men. The customer population which is most affiliated to the FORD FIESTA model are ladies, young people and those of the middle class with average income. Ford Motors has a strong brand image at the market place which Continuous Consumer helps it to maintain its customers who are loyal to its products as well as attract new ones when launching new automobiles. The company must understand all the factors which determine its consumer’s buying behavior so the company can guide them when coming up with marketing mix strategies. If the organization is able to understand these consumer preferences and the factors bringing these preferences, then it is able to design marketing mix strategies which appeal to these loyal consumers. Frequent review of the pricing strategies, addressing the consumer concerns as well as improving the quality of the automobiles will ensure the company’s loyal customers purchase their products often. Ford Motors needs to frequently review its pricing strategies, distribution, product and promotion strategies. Constant reviewing of the strategies will ensure Ford Motors target market spans the global economy adopts a comprehensive marketing mix. The adoption of differentiated strategies together with a comprehensive mix enables Ford Motors to target more than one segments (Goi, Monitoring & Research 2009). All these enables the organization to keep abreast of the changes in trends in the society as well as ensuring the changing needs of the targeted population are satisfied. Keeping abreast of the changing buyer behavior as well as the factors leading to the change is important for the organization in coming up with a marketing mix which targets all the intended populations. Ford Motors Company is committed to ensuring it abides to the laws and regulations of environmental scanning. In 2007, the company received an award from the Environment Protection Agency based on its measures of ensuring it conserves the environment in its operations (Nehmer, 2013). The organization has been committed to ensuring it reduces greenhouse gas emissions as well as increase Environmental Scanning energy efficiency in all its plants in the community. In the manufacture of vehicles, Ford Motors follows the laid down procedure to the latter so as to avoid the pollution of the environment. The company is a great advocate for environmental scanning policies as well as the use of energy efficient sources and responsible use of resources. The market forces in the automobile industry is the competition brought about by rival industries to the Ford Motors. The company having the stronger brand image is likely to creative a competitive advantage over the rest. The demand for vehicles plays a key role in Identify Market, Economic, determining the sale of vehicles at the market. During economic Technological, Regulatory, prosperity, people have enough money to purchase luxuries such as Legal, Social, and vehicles but during recession, vehicle sales are usually low. Vehicle Ecological Forces manufacturers need to adopt the latest technology so as to improve on their designs and features and beat the competitors. The regulatory and legal forces are the rules and regulations which govern the conduct of business in specific locations. High tariffs on automobile firms is likely to discourage them against opening new branches. The car one drives determines his social status in the society and the ecological factors are the factors which govern the operations of business so they can conserve the environment and minimize population (Hitt., Ireland, & Hoskisson, 2013). From the fact Ford Motors generate about 70% of their income from the North America, it is evident the firm has not yet realized optimum income outside North America. The current opportunity for the Ford Motors is to expand its distribution network outside America thereby increasing its customer base. A country like China Current Opportunities which is the biggest automobile market in the globe is a perfect destination for the Ford Motors to set up shop. Bearing in mind which China has a lower number of cars in a ratio of 100 cars on the road for 1000 people. Ford Motors can gain ground in China before its market gets saturated like in the United States or Europe. The potential future of Ford Motors is the employing of latest technology in the manufacture of high quality automobiles which are cost effective and fuel efficient. This will create a competitive Potential Future advantage of the Ford Motors over other automakers in the industry. The use of technology to invent new automobiles is another strategy which the firm can employ to gain a competitive advantage (Hitt., Ireland, & Hoskisson, 2013). Ford Motors strong brand image enables the firm to be able to attract new customers when they manufacture new automobiles and this helps the company to maintain its customers who are loyal to its products as well as increasing the customer base. One opportunity of the Ford Motors Company is to diversify its business so as to limit its vulnerability to risks. The Ford Motors can diversify its operations by acquiring another complementary firm which is not affiliated to the automobile industry. Reducing the prices of its vehicles or spare parts will also increase the demand for Opportunities the company’s goods (Hitt., Ireland, & Hoskisson, 2013). Once the demand for the products goes up, it means the sales of the automobiles are also likely to go up hence resulting to increased profits. Ford Motors can also increase its market presence and share by entering into alliances with other automobile industries. The current threats of the Ford Motors are the aggressive competition in the market place where other bigger multinational corporations such as Toyota Motors, General Motors and Fiat Chrysler have a big market presence. The other corporations have a Current Threats wider distribution, branding and advertising networks across the globe as well as a relatively stronger brand name. The other threat is the prices of other automobiles such as the Toyota Motors are generally cheaper than the Ford Motors. Another threat is the automobile plants of Ford Motors usually pollute the environment when they discharge into the air, water or soils. A potential future threat facing the Ford Motors is imitation by trade rivals, which might confuse the consumers hence the need to come up with ways which will ensure it remains unique in its production. Another potential future threat facing the Ford Motors is the labor costs. These labor costs are a threat to the Ford Motors because they Potential Future Threat are increasing every year. This is a threat because it increases the cost of production which results to lower profits. A longer term threat is the Chinese automobile industries might be selected in the future to manufacture and export vehicles to the United States (Nehmer, 2013). The buyer behavior is usually determined by demographic factors. The preference of FORD automobiles is likely to be differentiated by age, income, and generations. The company therefore manufactures automobiles for all the age groups of people in the Target Markets Provide an overview of the society. The young generation as well as the old generation’s needs demographics (age, income, have been taken care of through the launch of vehicles with their family members, and preferred features. The customer populations most affiliated to the birthdays) FORD FIESTA model are the young people and those of the middle class with average incomes. Family members also determine the buyer behavior of people. A consumer is usually influenced by a number of people close to him in the buying decision process and the company should strive to identify these people before designing marketing strategies. Psychographic factors determine the buyer behavior of people in the society. The interests of people determine what kind of products they consume. If a person is interested in automobiles and keeps on updating his knowledge about the latest models in the market, during Provide an overview of times of economic prosperity he is more likely to spend on luxury psychographics (activities, such as a Ford automobile. If a person’s opinions border well with a interests, and opinions) company’s products, he or she is likely to be affiliated to the brand analysis. image of the company. Being affiliated to a brand image of a company makes one a loyal customer and when faced with a decision before purchasing a product in the market, such a person is likely to choose the company’s products over those of its rivals. Goi, C. (2009). A Review of Marketing Mix: 4Ps or More?. International Journal Of Marketing Studies, 1(1). http://dx.doi.org/10.5539/ijms.v1n1p2 Hitt, M., Ireland, R., & Hoskisson, R. (2013). Strategic References: management (1st ed.). Mason, OH: South-Western Cengage Learning. Nehmer, S. (2013). Ford, General Motors and the Nazis (1st ed.). Bloomington: Authorhouse. Weinstein, A. (2000). Segmentation and Relationship Marketing. Journal Of Segmentation In Marketing, 3(2), 1-3. http://dx.doi.org/10.1300/j142v03n02_01 Marketing Communication and Brand Strategy Name: Thomas Marshall This assignment is designed to help understand the interrelationships between brand strategy and the communication message to the target audience. It is a continuation of the marketing plan and students should review the Week 3 Learning Team Assignment for assistance in product brand strategies the team has developed. This document should address the elements of the Situational Analysis and the Product, Place/Distribution, Promotion, and Price Strategies (modified below) sections of the marketing plan (from the Situational Analysis and the Product, Place/Distribution, Promotion, and Price Strategies lists below). You must include a measurement of customer loyalty and retention in your strategy document. The answer should be 200-300 words. Answer Ford Motor’s vision statement reads “People working together as a lean, global enterprise to make people’s lives better through automotive and mobility leadership” (Ford Motor, n.d.) Ford Motor’s mission statement, on the other hand, highlights how Situational Analysis the company “goes further to make our cars better, our employees Vision and Mission happier, and our planet a better place to be” (Ford Motor, n.d.). The key features of both the company’s vision and mission statements are the company pursues the improvement of people’s lives through their leadership in the automotive industry. For this purpose, the company increases the quality of its cars, develops a health work environment and promotes environmental protection. The company has established a series of strategic objectives, through Strategic objectives which it expects to improve the global mobility, the relationship between its customers and products, the environmental protection, the protection of the human rights, and the promotion of a healthy and safe lifestyle (Ford Motor, n.d.). Some of these objectives include: • The revision of the company’s vision for the City of Tomorrow, and the development of emerging opportunities in mobility • The improvement in the fuel economy in all of its products to reduce the consumption of fuel required by Ford vehicles • The research of alternative, less polluting fuels such as biodiesel • The decrease in the emissions of carbon dioxide into the atmosphere by 30% in 2025 • The decrease in the energy consumed by the vehicles by 25% • The decrease in the consumption of water by 30% in 2020 • The decrease in the volume of waste produced during the manufacturing of the cars by 40% • To assist the company’s suppliers in the improvement of their management system in an attempt to increase their operational efficient • The engagement of the company’s suppliers in the evaluation of their water and carbon dioxide footprints as part of the approach to decrease water consumption and the emissions of carbon dioxide Taking the company’s mission and vision statements into account, the core values at Ford Motor are: • The people, to which Ford Motor wants to increase their quality of life • The employees, which should have a pleasant, healthy and safe work environment Values • The environmental protection, through the decrease in emissions of possible pollutants and the optimal water and energy resource allocation • The society, which benefits from the multiple sustainability and social projects Strengths: Strengths/Weaknesses • Global presence • Outstanding financial performance • High sales volume • High brand recognition worldwide Weaknesses: • Slow innovation process • High costs on R&D • Limited number of production facilities compared to the company’s main competitors (e.g., Mercedes-Benz, Ferrari, Renault…) Competitor's Strengths/Weaknesses Strengths of competitors: • Global presence • Acceptable financial performance • Higher number of production facilities • High sales volume Weaknesses of competitors: • Little to no innovation • High operational costs The main segmentation process focuses on the demographics and, most importantly, on the size of the family. In this sense, the key market segments of Ford Motor are: Market Segments • Single adults • Married adults without children • Families with 1-3 children • Families with more than 3 children Other key variables which affect the segmentation processes are the income of the family, which will determine whether it is willing to buy a more expensive car, and the environmental concern of the target customers. In this regard, and similarly to other main companies in the automobile manufacturing industry, Ford Motor has developed less polluting vehicle lines such as the electric or hybrid vehicles. The creation of Ford’s brand image, as of any other company, was accompanied by the design of an advertising campaign, by placing Creating a Brand Image different ads on newspapers, televisions or on the road, increased the customer’s awareness about the brand. Since 2007, Ford Motor’s chief executive officer has dramatically Product, Place/Distribution, Promotion, and Price Strategies changed the company’s strategy to create and maintain its brand image. In this regard, he decided all the company’s resources on the Ford brand, and hence sold out other brands like Volvo, Land Rover, Jaguar, or Aston Martin. Maintaining Brand Image By concentrating the company’s resources in rebuilding of the Ford brand, the company has been able to keep its strong leadership position in the automotive industry and increase the quality of the manufactured cars. This strategy has resulted in a significant competitive advantage for the company, as the above-average quality cars have helped it build a wide loyal customer base (Ritson, 2010). The company has recently refocused its branding strategy by selling Branding Concerns the rest of brands acquired in the past, and concentrating all the efforts in building a strong, solid Ford brand. The company uses multiple promotions to increase the appeal of its cars for the potential customers. These promotions include the Promotion/Integrated Marketing introduction of free additional features such as the air conditioning or the GPS in most of Ford’s cars, or the payment of a small sum of money to the customer for his old car. All the communication done by the company is managed by the public Communication relationships department (see below for further detail) Ford uses all the possible ways of advertising campaigns to reach the highest number of potential customers. In this regard, Ford places advertisements online, on TV shows, newspapers and specialized Advertising motor journals, or through panels on the road. Additionally, the company supports multiple sports clubs which help in the promotion of Ford’s logo. Whenever possible, Ford Motor uses SMART objectives, characterized by being specific, measurable, achievable, relevant, and time-based. For instance, a sample SMART objective established at the company Strategy/Objectives is the decrease in the emissions of carbon dioxide into the atmosphere by 30%. If everything goes as planned, this objective should be reached by 2025. The objective is attainable considering the company has so far met all the intermediate milestones. Other examples of the SMART strategic objectives are outlined previously. The company has implemented a Push and Pull strategy, in which it seeks for the continuous improvement of the production system, the Push and Pull increase in the quality of the manufactured products, and the enhancement of the customer satisfaction through a more efficient customers relationship (Corniani, 2008). Ford has implemented one of the most efficient media strategy among Media Strategy the companies operating in the automotive industry. Indeed, the company’s social media strategy provide it with one of the most relevant competitive advantages, as it helps the company reach a higher number of customers and increase their loyalty on Ford’s brand (Schutte, 2016). The keys to success of Ford’s social media strategy, according to the former social media head Scotty Monty, are: • To speak always for himself, and only provide an official, corporate, answer when necessary • To ensure the privacy of offline communication is maintained in the online publications • To remember the Internet is a public space and, most importantly, whatever is said on the Internet will remain for decades • To note even while the social media representatives of the company speak for themselves, their actions represent those of the company. As such, they must be nice, friendly, and cooperative Whenever Ford launches a new product, it designs a specific advertising campaign, will be maintained overtime. Additionally, to the higher reach of the newly targeted designed advertising campaigns Advertising Execution during the first months of the new car, advertising campaigns are repeated periodically in time, to remind potential customers about Ford’s products. The company has developed a strong publics relationships department. The main roles of the department are: Public Relations/Strategies • To manage the advertising campaigns • To prepare any press releases, in which Ford announces key facts about the company or the new products • To provide customers support Corniani, M. (2008). Push and Pull Policy in Market-Driven Management. Symphonya. Emerging Issues in Management, 1, 45-64. doi:10.4468/2008.1.05corniani Ritson, M. (2010, August 13). What Marketers Can Learn from Ford. Retrieved April 03, 2018, from https://www.brandingstrategyinsider.com/2010/08/whatmarketers-can-learn-from-ford.html#.WsPxrohuZPY Schutte, S. (2016, August 26). How Ford's social media policy and References: strategy helped it become a digital pioneer. Retrieved April 03, 2018, from https://realbusiness.co.uk/hr-andmanagement/2015/05/01/how-fords-social-media-policy-andstrategy-helped-it-become-a-digital-pioneer/ Ford Motor. (n.d.). Company. Retrieved April 03, 2018, from https://corporate.ford.com/company.html Ford Motor. (n.d.). Goals and Progress. Retrieved April 03, 2018, from https://corporate.ford.com/microsites/sustainabilityreport-2016-17/performance/goals-progress.html
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