What comes your to your mind the first when you hear of Mercedes Benz? Or how would you describe it? Perfection, elegant, sophistication, wealth and may be royal. But how about youthful? You must be thinking well may be not youthful because Mercedes finds its interest more in the older consumers. If this is what you think then you might want to reconsider that thought because this popular car brand has decided to target the younger consumer section by refurbishing its marketing strategy.
According to the marketing framework Mercedes has decided to concentrate on customers out of the five C’s (Customer, Company, Context, Collaborators and Competitors) to improve their business.
The Mercedes target market usually comprises of the upper class customer an age group of 40 and up those who prioritize luxury and high end feel over everything.
So what did Mercedes Benz do?
Using their SWOT analysis they have decided to capitalize on their opportunity that is to create such designed cars with exceptional features that will attract the younger minds.
The more interesting part is that the method they have used to accomplish this strategic goal. Mercedes is interacting with the younger audience through social media including Facebook, Instagram and YouTube. This approach of their marketing strategy focuses more on exhibiting an active, fun loving and welcoming side of the company.
For the younger people it is particularly important for their brands to possess a unique quality that is authenticity, as they look forward for the brands they support to display their values and perceptions.
It has been seen that young people make a treasured set of customers because their decisions influence the decisions of their friends and families. In addition to being consumers themselves the products or the brands that are popular among the young gains and image of being “cool”. Such type of marketing is called Youth Marketing and Mercedes seems to have chosen the right path if we are to see their sales after implementing this strategy.
Mercedes started this marketing strategy by planning and creating a so – called “Generation Benz”. Well you might be thing what exactly is this plan. This was a plan to create an online community of a people in the age group of 20 to 39 that could provide the necessary information about the buyer habits and their different preferences in this group to the Mercedes Benz marketing team.
So how exactly did this iconic German car brand approach people on social media?
Much to our surprise Mercedes Benz started stealing a lot of attention and managed to get more than 20 million followers on Facebook. This car brand has become highly popular among the youth and has growing followers throughout the world.
This Facebook page promotes the brands latest models and their recent activities like their Formula One preparation activities. The brand has also sponsored the famous Formula One current Champion Lewis Hamilton who is a idol for many young drivers all over the world. Thus creating more awareness and liking for the brand in the young hearts.
For Mercedes Instagram has been the second most important platform to connect with its customers socially.
The content on Instagram is a very well planned and accurately implemented strategy. Looking at what attracts the young minds more the car company has taken photographs of very high quality and with iconic models that appeal the consumers globally.
With YouTube Benz decided to include a well-known filmmaker Case Neistat to launch a partnership where the company provided the filmmaker a new car in exchange where he made several videos talking about his experience driving this car.
How Has This Worked for Benz
It certainly has. By implementing the strategic plans to target the younger minds buy connecting socially and also dropping the average car price the Mercedes Benz CLA sales have a conquest rate of eighty percent in the United States. This shows an incredible increase in the younger customers that have shown interest in the new Mercedes models. Records showed that the average age of a CLA buyer was now 46, which is 11 years younger than a usual Mercedes buyer.
You must be thinking that’s really impressive, well it certainly is but how did this iconic car brand achieve this goal. The answer to this question is that they had an effective market plan that included
- Market Research
- Target Market
- Marketing Strategies
- Pricing, Positioning and Branding
- Marketing Goals
- Monitoring the goals.
Mercedes has maintained their classes by achieving this market plan effectively and in a commendable time.
This German brand one of the leading car brands has improved its strengths by getting the most unique designs and machines with high performance and features. It has always shown dedication to overcome its weaknesses but this time has capitalised its opportunities and minimised its threats.
Results of the marketing strategy taken by Mercedes prove that social listening and social media can be a dominant marketing tool.
By Pranit Kishor Jadhav
Student Id: 215358474
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