Market analysis and Marketing mix proposals to launch the BMW "Clever" concept car in France

1. Clever Project - september 2012
Developing Marketing Strategy
• Héloïse Broutin
• Hannah Chan
• Jean de Basquiat
• François Fuzeau
• Rashmi Kalbalia
Target: Business man between 30 and 40 years old
Positioning: The comfort of a car and the flexibility of a
motorcycle
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2. Agenda
• Understand the trends in the market of Urban
Vehicles
Short introduction to BMW
Key Trends on the Market & Consumer
Competitors & Mapping
• Market Sensing
 Segmentation, Target & Positioning
• Marketing Mix Proposals
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3. BMW premium positioning stay away from the
automotive industry crisis
“Bayerische Motoren Werke”
Founded in 1917
Automobile, motorcycle and engine
manufacturing market Despite economical Crisis…
BMW has is historical highest growth of
turnover in 2011
Premium Image
Powerful
Innovative
High Quality Strong market position in the
motorcycle sector
Motorrad
http://en.wikipedia.org/wiki/BMW
http://alfredlargange.blogspot.fr/2007/10/etude-de-cas-la-bmw-z3_08.html
http://www.grin.com/en/e-book/35573/a-case-analysis-exploring-customer-attitudes-on-bmw HéloïseBroutin

4. Let’s focus on the compact
urban vehicle market
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5. Competitive, evolving and standardised
market
Improvements in
mobility technologies
electrical and hybrid
engines
Evolving consumer
behaviour : Safety and stability
Environmental Issues
Smaller Family
Pollution and
Smaller Car
urbanization
Preference for private
transportation
Political Pressure
Market of
Carbon Taxes Compact Mandatory technical and
security tests for all
Tolling to reduce
congestion in city center
Urban vehicles
Vehicle
Gmid – 2011
KPMG Global Automotive Executive survey for 2012 HéloïseBroutin

6. Who is the customer for
compact urban vehicle?
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7. Let’s meet
Living in the Upper middle
biggest French class and Upper
cities Class
Live single, in
28 medium age couple, or with
one child
Care about
Love new
environmental
technologies
issues
Enjoy busy city
lifestyle
http://www.insee.fr/fr/ HéloïseBroutin

8. Who are the main
competitors?
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9. The market offers various mobility solutions to
consumers …
The « classic »
The « classic » 2 wheels
4 wheels The inovative
4 wheels
The innovative
The self service car
3 wheels
rental
http://www.notre-planete.info/actualites/actu_3210_Autolib_Paris_environnement.php
http://rollinfree.blogspot.fr/2009/06/french-motorcyclescooter-market-may.html HéloïseBroutin

10. … and therefore is highly competitive on
traditional segments
High Comfort
Mini
Opportunities in
high quality
Autolib’
Standard way Maneuverability
of driving
Renault
Twizy
Opportunities in low
quality Piaggio
MP3
Usual
scooters
Low Comfort
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11. Who will be the customers
for this market segment?
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12. Considering the urban population in France…
Non Family
Middle
Family Lower class Upper class
class
18-30
30-40
40-55
+ 55
Premium positioning in order to be coherent with
BMW brand image
Exclude families due to the product features
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13. Going deeper in the segment’s car preferences…
FEATURES MEN FEATURES
PREFER WOMEN PREFER
 Dynamic & Round shapes
sportive shapes
Space for their
Futuristic look bags & shopping
Engine roaring Comfort
noise
Cute design
High technology
design
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14. So given the
CLEVER design
and features...
…we will narrow our target down to Men

15. The target will be
30 - 40 years • Commuting from home to work
old male
• With busy lifestyle
professional
• To cope with BMW premium
High Income brand image strategy
Innovators
• Attracted by high tech design
& Early and avant-garde products
Adopters
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16. To summarize our positioning:
« CLEVER brings together the comfort of the car and the flexibility of a
motorcycle , that enables young businessmen to travel to work
without worrying about the traffic disagreements»
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17. Our Marketing Plan
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18. Clever by BMW is a proper revolution for
businessmen…
• Compact dimensions of motorcycle
enable to drive through traffic
• Stability and safety of a car
- closed cockpit
- tilting system
- heating pilot seat
- foldable passenger seat
• Ecofriendly hybrid engine
• High connectivity system
- Bluetooth connection
- ultimate stereo sound
… but its advantages need to be explained to the target
and the general public
http://thekneeslider.com/archives/2006/04/27/carver-and-clever-tilting-3-wheelers/ HéloïseBroutin

19. How is Clever creating value for its customers?
Business
Maneuverable Safe &
Eco friendly friendly
in traffic Confortable
connectivity
Classic
scooter
Compact
Urban car
Twizy
MP3
Autolib’
CLEVER
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20. Exclusive channel distribution in France richest
major towns
We recommend a pull strategy to be coherent with the Brand
Image of BMW, and the niche market
http://www.journaldunet.com/economie/magazine/riche-ville/ HéloïseBroutin

21. High price policy to deliver the premium value
feeling
8 000€
15 000€
MP3 Piaggio BMW
motorcycle
we used reference pricing strategy to
determine our price points
http://www.asso-scooter.org/Trois-roues-Renault-et-Bmw
http://www.bmwblog.com/2009/10/09/bmw-unveils-clever-concept/ HéloïseBroutin

22. Recommended price according to reference price:
10 000 € – 12 000 €
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23. Promotional Campaign recommendations
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24. Objective 1: raise awareness of the general
public
Drive test in all BMW outlets in France
• Introduce the new vehicle to familiar BMW clients and new
comers
• Convince about its comfort and maneuverability
Sponsoring Paris Marathon 2014
• Famous urban event (30 000 participants)
• Allows great visibility
Press Relation to be on Turbo and Automoto
TV shows
• Popular TV shows great to introduce a new vehicle
Democratize this new concept of vehicle to
French people
www.parismarathon.com HéloïseBroutin

25. Objective 2: trigger the need of target
audience for Clever
Special Clever show on the BMW Paris Motor
Show stand
• Create the buzz
• Get in touch with the targeted audience
Clever Stand at the Monaco Grand Prix
• Link the product to high tech performance, premium lifestyle and
masculine universe of Formula One Grand Prix
Advertising in weekly magazines and their
websites
• Get in touch with target audience via specific channel
Challenge will be to create the desire for the
product and activate purchase
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26. Thank you for your attention
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27. References
• http://en.wikipedia.org/wiki/BMW
• http://alfredlargange.blogspot.fr/2007/10/etude-de-cas-la-bmw-
z3_08.html
• http://www.grin.com/en/e-book/35573/a-case-analysis-exploring-
customer-attitudes-on-bmw
• http://www.asso-scooter.org/Trois-roues-Renault-et-Bmw
• http://www.bmwblog.com/2009/10/09/bmw-unveils-clever-concept
• http://thekneeslider.com/archives/2006/04/27/carver-and-clever-
tilting-3-wheelers/
• http://www.journaldunet.com/economie/magazine/riche-ville/
• http://www.asso-scooter.org/Trois-roues-Renault-et-Bmw
• http://www.bmwblog.com/2009/10/09/bmw-unveils-clever-
concept/
• www.parismarathon.com
• http://www.kpmg.com/GE/en/IssuesAndInsights/ArticlesPublications/D
ocuments/Global-automotive-executive-survey-2012.pdf (p7)
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