segmenting the market is determining the segmentation variables. These variables can be categorized in Demographic‚ Psychographic‚ and Behavioristic. In segmenting the market for New Beetle‚ the results of the Arnolds Communication research on the Beetle consumers can be helpful. This research reveals the fact that VW Beetle consumers are young‚ slightly affluent‚ more educated and having different lifestyles and they enjoy more active driving style. So in terms of Demographic bases‚ Age‚ Gender‚ Income
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Case: The New Beetle 1) What are the Various Target Markets for the New Beetle available to Volkswagen? Describe each both demographically and psychographically. What are the pros and cons of each option? What are the appeals of the new Beetle to each group? a. Baby Boomers over 50‚ have nostalgia for the bug as this was most likely their first car and it will bring back fond memories of the past PRO’S: loyal following from their generation previously CONS: This demographic
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Volkswagen’s decision to switch advertising agenciesfrom DDB Needham to Arnold Communications (AC)was a critical step in the company’s comeback bid. After all‚ AC was the one who came up with the "Drivers Wanted" campaign. As stated in the case study‚ after AC won the Volkswagen account‚ they did some in-depth research on consumer and dealer perceptions of Volkswagen. They discovered thatVolkswagen consumers are younger‚ slightly more affluent‚ and more educated than the average car purchaser;
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meant something original? What is simplicity‚ honesty and reliability came back again? Imagine a new Volkswagen…. Mission Impossible: Launch of the New Beetle Introduction At a time when American’s were sceptical about the purchase of imported cars‚ due to lack of availability of spare partes and costly repairs‚ heightening Germany’s existing image problem in the market‚ Volkswagen introduced the Beetle in 1949 which turned out to be a phenomenal success and envisaged a cult-following by the 60s
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The New Beetle Volkswagen (VW) according to the case had a bumpy start in the US market. Initially‚ VW had a tough time penetrating the US market since the first two cars‚ Type 1 (Beetle) were sold in the US in 1949. Since this was right after WWII‚ most Americans were cautious about buying imported cars and Germany had other image problems (as stated in the case). Maintenance and parts of foreign cars were expensive that not a lot of the populace could afford‚ but despite this‚ VW sales grew. By
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Critical Issues / Background Data: Volkswagen’s challenge is to launch the “New Beetle” with a smaller than typical budget ‚ identify target market segments‚ and determine the unique value proposition and positioning of the “New Beetle” with effective pricing in the small car category to determine the most effective strategy for the market launch. VW & Beetle Brand Perceptions: The VW brand has had issues‚ including customer perception of poor quality and reliability‚ low brand awareness‚ and
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The New Beetle Question 1: Why was the current advertising campaign a success? In 1993 Volkswagen had record low sales but by the end of 1997 the VW brand had sold 137‚885 cars. That was an increase of 178% from it’s 1993 slump. It is safe to say that the the ’94 relaunch of VW on the American Market was a success. The “Drivers Wanted” campaign‚ developed by Arnold Communications‚ I believe was successful as a result of excellent market research and positioning. Arnold Communications undertook
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“The New Beetle” (HBS) Case Study Analysis This case study discusses the history of Volkswagen (VW) in America and in particular the launch and relaunch of one of the most successful VW models‚ the Beetle. 1. Why would positioning the New Beetle be considered Mission Impossible? Volkswagen (VW) started their business in the US in 1949 with the very successful Type 1 or as it was know‚ Beetle. In the 80’s‚ due to several reasons from legislation to Japanese competition‚ VW had to stop its production
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Why would positioning the New Beetle be considered Mission Impossible? Vanzura knows the importance of a good segmentation‚ targeting and positioning for a successful marketing strategy‚ that is the reason why she is concerned about the strategic triangle for the New Beetle and its consequences on the sales growth goal. Additionally‚ she feels the pressure for an amazing marketing campaign since the previous ones were so viral and spoken about. Positioning the New Beetle is a hard task for several
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The New Beetle Q1. What positioning alternatives were available to Liz Vanzura and her team? What were the advantages and disadvantages of each? Arnold group’s research reveals that the target market for the new Beetle encompassed both Baby Boomers and the younger 18 to 34 year olds (Gen X’ers). This includes a very diverse group of people‚ but their research also showed that potential drivers shared some common characteristics like confidence‚ individualism and a desire to be the center
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