Marketing Excellence: BMW Essay

? 1. What are the pros and cons to BMWs selective target marketing? What has the firm done well over the years and where could it improve? When I see someone riding in a BMW, I know that they must be devising good money. The stereotype for people who drive BMWs is that they are rich, and these are the people that the people over at BMW target. The pros to targeting the higher income population is that they will be targeting people who are more likely to procure their product.Since BMW is kn consume as a luxury car, people who have lower incomes are less likely to purchase from them. The cons to the selective marketing are that by not advertising to lower income people, they have nothing to be motivated for. Someone could see a BMW ad, and be motivated to one day own one. Since the market is specifically the wealthier incomes, the lower income population may not be as aware of BMW. I see commercials for Mercedes all of the time now, and I know that I cant afford one yet.As soon as Im able too, I plan on making it a priority to purchase a Mercedes. The firm has done a great job of improving its vehicles over the years. They have added so many electronic features to its cars to stay up to date with technology. BMW also has come out with high-performance SUVs for people with larger families and who are more active. To improve, I would suggest that they by chance create a model for the lower income population. Considering the majority of the population is middle-class or lower, there is a whole untapped market for BMW to reach. 2.BMWs gross sales slipped during the worldwide recession in 2008 and 2009. Is its segmentation schema too selective? Why or why not? I would say that their strategy is not too selective. During the recession, everybody struggled. So to blame BMW for their strategy that had made them so successful in the first place would not be fair. I believe that their strategy couldve actually helped them during that time. Since BMW is so selective, they are only targeting people that have money anyways. So money that they spend on advertising wasnt necessarily universe wasted.