Mercedes Benz India - Research Paper Sample

Introduction

Mercedes Benz (M.B.) is a world brand for cars, trucks, buses, and coaches from Germany's Daimler AG Company. The star's three points on the logo always stand for air, land, and water since most of Daimler's engines have been used by cars, airplanes, and motorboats. M.B. stands for the aspiration of delivering the best in terms of car manufacturing, technology, and services it offers to its clients. Mercedes Benz manufactures quality vehicles as it faces stiff competition from other brands like BMW, Audi, and Ford.

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Mercedes Benz India is a whole owned private limited company subsidiary company belonging to Daimler AG and was established in 1994 in India (Dörr, Lessi, Adolph, Marx, and Veik, 2020, p 89). Its headquarters are based in Pune, Maharashtra in India. The first M.B. in India was owned by Rakesh Kumar Agrawal, the founder of Convey printers, which was the largest printing press in India and entire Asia (Poonam, and Aneja, n.d, p 32). India is a profitable global location for the prestigious car market, which has attracted almost all the prominent brand names worldwide. It also reflects on the changing lifestyles of the more affluent class in the entire country. New car models are created considering the latest technology as they target the middle-aged and working-class generation.

Due to the increase in competition and customer expectations, Mercedes Benz has to transform collective marketing to ensure customers' satisfaction and the quality wanted are delivered appropriately. The competition has facilitated the company to come with other ways to continue being at the top position in the Asian continent (Holt, 2016, p 45). This paper will review Mercedes Benz's marketing strategies in the Indian market to ascertain what needs to be improved and make the brand dominate India and globally. The discussion is on marketing strategies (7P's and 4C's), competitive advantage, segmentation, branding, differentiation, experimental marketing, internet marketing, price and structure cost, and technology leadership.

Marketing Mix

A marketing mix is a set of marketing tools used by companies or organizations to achieve their marketing objectives in the targeted market. It also ensures that there is a product or brand promotion of the product. The seven Ps include product, price, placement, promotion, people, process, and the physical environment (Išoraite, 2016, p 27). The seven Ps align with other marketing strategies, called the four Cs, which include consumer needs and wants, cost, convenience, and communication (Ozturkoglu, 2016, p 35). The market's focus is to market and sell the entire products and facilitate communication with the targeted audience, constituting the process as a whole. The 7ps and 4cs correlate with each other to ensure that all the market options will ensure that customers get what they want anytime they need.

Product

Product is an article, commodity, or substance manufactured to sell (Dash and Sharma, 2019, p 260). In the marketing of Mercedes Benz, the products, which are cars, trucks, and coaches, are the most important in the seven Ps where Mercedes remains to be the leading brand. The product warranty, safety factors, after-sales services, brand name, road assistance, and company's image contribute a lot to Mercedes Benz. The above services are crucial and necessary, along with the physical appearance of India's cares by the Mercedes Benz Company. The product will ensure that the market gets responses from its users where possible interaction leads to it being independent.

Also, to ensure that it remains the leading car manufacturer in India and entire Asia, Mercedes Benz will always remain committed to manufacturing high-quality first-class cars. Since Mercedes Benz is known to be one of the most stylish vehicles on social media platforms, it will attract wealthy class customers. The group above appreciates and performs recognition as they portray wealthy people.

Promotion

Promotion refers to advertising a product to facilitate the marketing and selling techniques to improve (Išoraite, 2016, p 27). Mercedes Benz always focuses on providing luxury and safety that usually contributes to marketing strategies. With the stiff competition from other models like the BMW and Ford, there was a great need to convince more customers to change their attitudes towards the Mercedes Brand. There was a need to advertise Mercedes Benz using the latest forms of advertisement to make it known to the youths since they are the ones who are entering the market and energy that they should appear with the brand. The best promotion method is an advertisement online. Social media use has increased the target market and facilitated warranty extensions and more attentive customer service via sales and print media. The targeted market by promotion methods is the middle-aged population since they are the ones who are working and need to live a more luxurious and stylish lifestyle in India.

Price

Price is the value at which a commodity or item costs (Thabit and Raewf, 2018, p 35). The pricing strategy of Mercedes Benz varies depending on the location and the model type in the market for sale. Some of the models cost from thirty thousand dollars up to over one hundred thousand dollars. Mercedes Benz has been pushed into the Indian market in the segment as the company and its products protrude fully to dominate the entire country in providing luxurious cars with the value of the cost they are sold. The Mercedes Benz India focuses on producing quality cars to ensure that it remains top in the market. The pricing will go hand in hand with the quality made since its cost is always higher. The pricing of vehicles targets the rich class people since the Mercedes Benz are expensive by default. Price is essential in any marketing strategy. The analysis helps the formulation of different prices depending on the model released and its features.

Place

A place is a process of moving some of the products from producers or manufacturers to the specified user (Abril and Rodriguez-Cánovas, 2016 p 70). The movement can take place through a combination of intermediaries like distributors, wholesalers, and retailers. Mercedes Benz considerably places the positioning of selling, distributing, and offering some technical support facilities. It is an important issue for customers since they know where they can purchase Mercedes Benz brand vehicles. The company has established manufacturing, selling, and servicing centers globally. Since India is a growing market, the largest dealership is established in all the major cities in the country like Mumbai, Kolkata, Delhi, Bangalore, Hyderabad, and major towns to ensure they reach out to the most people. The company is trying its best to get retailers and dealers to ensure that Mercedes vehicles are availed to the customers.

People

People are the employees who work in a company or a firm to ensure that services are offered in selling, designing, and manufacturing its products (Amofah, Gyamfi, and Tutu, 2016, p 109). The employees interact freely with all customers, and also they present the brand to the market and facilitate easy networking in selling the products. The employees are trained to gain skills and knowledge, be well-motivated, and possess the right attitude to achieve their objectives. The company needs to offer some specified training programs to ensure the development of qualified staff who can manufacture the products, provide quality services to the clients, and present the company by defining its values (Pogorelova, Yakhneeva, Agafonova, and Prokubovskaya, 2016, p 6750). The Mercedes Benz India will have to major in contracting local employees in the entire Indian market who can communicate well with the customers in the language they can understand and satisfy their needs. The employees can also participate in testing and verification of the Mercedes Benz India vehicles that are fit to be released to market after meeting the specified standards.

Process

A process is the series of steps taken to deliver the product from the company to the final consumer or customer (Khatab, Esmaeel, and Othman, 2019, p 4848). The behavior and methods of offering services to the clients will determine the customer’s satisfaction. Mercedes Benz India will have to major in consolidating sales and service activities that ensure superior customer services in the vehicle's entire lifespan. “My Mercedes, My Service” always aims to provide the enhancement of customer's vehicle experience in ownership. The process will ensure that the mission of the company is accomplished. The Mercedes Bens India will always inspire and facilitate creating an exceptional place to perform business: one employee, one customer, one vehicle at a specified time. Additionally, there will be a luxurious shopping experience that all the esteemed customers deserve through a transparent atmosphere.

Physical Evidence

Physical evidence refers to anything the customers see when they are interacting with the company or business. It may include the physical environment where the provision of the product and services take place (Batraga, Škiltere, Šalkovska, Bormane and Legzdina, 2019, p 56). Examples of evidence that attract customers are the products' image, customer service, outlets, staff appearance, and the showrooms' general appearance. Mercedes Benz always provides customers with brand and marvelous experiences with test drives, displays, and off-roading all the exclusive products. The physical evidence linked to M.B. is that their mind is luxurious when one thinks of a brand car. The recent updates to the Mercedes Benz India is pop-up stores located in major streets of metropolitan areas in India. It includes roadshows and showrooms that attract a reasonable number of customers to Mercedes Benz.

Conclusion

A thorough analysis of the marketing mix theoretical aspects is done where the discussion is the main objective of the marketing mix strategy elements. They automatically depend on the company's activities and on the competition and time. Questions arise in the article about how to analyze the market mix strategies. The 7P's are discussed in detail as they operate well when they are combined.