1.What are the pros and cons to BMW’s selective target marketing? What has the firm done well over the years and where could it improve?
Answers
Answer:
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Explanation:
Pros of BMW's selective target marketing
:1. Opportunity to exploit untapped and neglected segments
2. Better focus on customer needs and develop customized products
3. Heavy engineering and robust models
4. Extremely responsive service support
Cons of BMW's selective target marketing
:1. Limited profit options
2 Limited opportunities to grow due to highly selective marketing
3. Unavailability of service centers at many locations where there can be consumers of its
Recession hit revenues of almost all brands and BMW was no exception. BMW’s segmentation strategy works perfectly in their favour because the loss in 2008-09 was due to a global economic crisis and not because of a loss in target market Under these circumstances, if BMW would have moved to production of automobiles for the masses, that might have backfired at them. BMW’s target market is the upper-class society of this world who would not hesitate buying a high-end car even in tough times. Hence, BMW staying put with their loyal customers was a wise decision.