Critical Comparison of Marketing Mix Bmw 520 and Audi A3 in Germany

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As such, the Audi A3 has ensured that the features expected by the market are in place and are further revised according the customers’ needs. Notably, the market is dominated by customers while they have different needs and preferences. The Germany based Audi Company has greatly improved from the early 90’s when it experienced extreme technological challenges that gradually led to electronic defaults that facilitated poor reputation in the market. However, the gradual improvement of technology especially in the car industry has led to much improvement in the Audi Company (Porter, 1998). In fact, the Company has a wide range variety of cars due to its vigorous engagement in the 4*4 market which is directly associated to Q5 and Q7 quality. For instance, as a result of the release of Audi A, the Company illustrated a profit of 1.85 Billion in 2009, a trend it has maintained with a minimum of 10% increase for the past 5 years. Moreover, the Company has ensured the availability of its vehicles in the market constantly and has further made it easier for customers to access Audi garages at different locations for the repair and maintenance of their vehicles (Richter, 2012).

Conversely, the BMW has been in existence since the early 1900’s where it began with aeroplane engines before narrowing down to vehicles years later. It has also been involved in numerous sport events and promotions with the key interest being it range of cars. Differ form the Audi A3, the BMW cars are arguably more appealing to different classes of people. In fact, it has current been listed as one of few cars that belong to the ‘Want segment for both lower and upper classes in societies. At the same time, the Company has taken the initiative of reviewing the car on the social media platform and giving testimonials on how it feels to drive them. BMW boosts of powerful engines, extra ordinary pickups, has fantastic speed and more so is keen on safety and reliability (Keller & Price, 2011). Essentially, the BMW operates freely on its own unlike Audi A3 which is mostly attached to Volkswagens, which means requiring different parts from other companies in order to maximize on its profits. Hence, the BMW products stand out above the Audi A3 since it is capable of using designed parts of its own brand to do the precise job required although the product is at times seen as expensive.

Place

Gallagher (2006) articulates that place is another important segment in the marketing mix that must be utilized by companies that need to remain relevant in the market. Basically, place as a segment revolves around ensuring that products are in the right place at the right time hence creating availability. Place factor could be influenced by exclusive distribution theory which articulates that there should be a limited distribution of products to a single outlet where potential customers can access and shop at their convenience. Through this, customers are easily attracted to products and the company can enjoy a best competitive advantage.

In terms of the Audi A3, the availability is highly dependent on the country mentioned. Thus, the availability of Audi A3 cars in Germany is convenient since this is the mother country of the brand and customers within the region are capable of purchasing the product at their convenience which gives the company an advantage in the market arena. Similarly, the Company has taken the initiative of establishing and maintaining exclusive dealership and after-sales services, which has widened its main market and rapidly increased the production on yearly basis (Lamb, Hair & McDaniel, 2012).

On the other hand, BMW 520 has a more organized and effective place for its products. In Germany, the company has taken preference in employing a team of skilled professionals who have continuously assisted customers in all areas especially mechanics and customer querying. Moreover, the company has created dealers network of sales which strictly revolve around selling the cars directly from its showrooms rather those distributors since it considers the showrooms idea more attractive to customers and less wanting in terms of investment. However, the BMW has designated distribution points for selling spare parts across German for customers who are not in a position to access the main plant (In D'heur, 2015).

Promotion

Promotion in relation to market mix could be denoted as one of the most important way of communicating to existing and potential customers. It serves as a determining factor for customers especially when they are about to make decisions pertaining to purchase of products and services. As such, promotion of products increases the sales and further tames down any existing competition in the market. Additionally, promotion enables companies to develop and build strong brand awareness which create satisfaction on the part of customers at minimal cost. In conformity with the perspective of Hill & Jones (2012), the best method to utilize the promotion segment in the marketing is through the use of the pull theory. The pull theory revolves around using extra finances to advertise and promote a given product in the market for the purpose of attracting more customers thus increasing the sales. For instance, the BMW 520 and the Audi A3 should be more vigorous on their advertisements in order to entice the customer to purchase the products directly.

Through its years of existence, the Audi in Germany has continuously participated in numerous sports and sponsorship ventures such as football teams and maintaining a permanent feature in the Sony’s PlayStation Home. At the same time, Audi has managed to remain in the public domain with becoming monotonous. Moreover, the consistent adventerisment on different media platforms has kept its famous slogan “Vorsprung durch Technik” which translates to process through technology. Besides, Audi is reliant on the quality of its vehicles as a facilitator for increased figures in growth and production (Cranswick, 2010). However, the Company has limited itself from massive marketing, but has instead worked on advertisement based on specific platforms that are meant to pull its target market towards the brand.

As opposed to Audi A3, BMW has already been ranked as the world’s most reputable company courtesy of Forbes.com in 2012. During the ranking process, it was argued that the company was rated due to peoples’ willingness to buy, recommend and work in the company. Furthermore, the company has continuously promoted itself with amazing commercials on electronic media, print advertisement and currently online advertising. The company is clear on what it targets audience expects from them in relation to quality despite