Product and Target Market Description Book Report

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The adverts to be used must be tailored to the lifestyles of the target market.

The internet as a promotional tool must be treated with utmost importance. The manufacturer must realize the full potential of the internet as a promotional tool. Showrooms must also be used as tool or mediums of promoting Volkswagen CC. TV adverts too are also not to be forgotten. Hesterberg (2009) noted that the use of internet in the sales of automobiles is becoming commonplace. According to Hesterberg (2009) the use of traditional media in the marketing of automobiles is rapidly changing. Close to 90% of all new vehicle buyers are noted to use internet in their shopping process. Close to 95% of researchers are also noted to find vehicle reviews and ratings to be the most important aspects of internet based information in their process of shopping for vehicles online. This is then followed by reviews from dealers, enthusiast sites, online videos and blogs. Yet again 70% of car internet users are noted to view user generated content in their shopping process.

Close to 72% of all internet users are noted to use the internet search engines like Google and Yahoo! Search in finding their local dealerships.

The use of internet as a marketing tool is noted to allow offline dealers in accessing very savvy and equally serious car dealers. This is in contrast to the passive audience derived from radio and TV commercials. Volkswagen can therefore use online marketing in accessing core sectors of the motor vehicle dealership in order to build stronger relationships. The fact that online marketing is a more measurable alternative due to the existence of web analytics as opposed to the use of traditional media makes is a suitable alternative in the meeting of various performance goals as well as delivery of a Return on Investment.

A study by J.D Powers and Associates indicated that close to 63% of online shoppers are concerned about vehicle ratings while 38% are more concerned with accessing of dealer ratings. This has forced 75% of auto dealers to rely on search engine optimization. Volkswagen CC must therefore be aggressively marketed via the internet in order to exploit the rising trend of buyers to initiate their purchase intensions from online blogs, forums, websites etc. (Limbada,2006).

The company must also promote their products in line with sustainability and eco-friendly guidelines. Fuel efficiency is an important determinant of sales intention within the mid-sized luxury car segment. Environmental awareness messages and technologies must be included in the car's promotion strategy (Zettlemeyer et al., 2005).

An example of a promotional tool used by Volkswagen CC in engaging its target market is the internet. The can create several online advertisements and promotional gadgets such as digital badges to be used in the promotion of the car.

The advantages of the internet as a promotional tool

The use of internet s a promotional tool has several advantages. The most important one is that there is a possibility of reaching greater audience. The internet is also a noted to be a far more affordable and efficient promotional tool.

The disadvantages of the internet as a promotional tool

The disadvantage of this tool is that some individuals are never keen on using the internet in doing of their daily activities. The 'offline' people may never get a chance of seeing the promotions.

The suitability of internet as a promotional tool for Volkswagen CC's target market

The car targets the young and successful teenagers. This group forms the largest part of online internet users. The internet is therefore a suitable tool for promoting the product.

Pricing Strategy

The pricing strategy used by Volkswagen has seen several changes in the last couple of years. For instance in 2004, the company changed its pricing strategy. The pricing strategy used by Volkswagen is according to the geographical location, competition, engine size, sports versions etc. This is to say that the pricing strategy is customized to meet the demands of several variables with competition being put in mind.

Marketing Mix adjustment strategies

The integrated marketing communication is aimed at the provision of a consistent message as well as the achievement of complementarities in the use of media. The concepts to be used in the marketing of Volkswagen CC includes the use of online marketing channels programs/campaigns, SEO, affiliate marketing, e-mail, pay-per-click, banners, blogs, RSS, Internet radio, Podcasts as well as internet TV. The offline marketing channels would include the use of traditional print, mail order, industry relations, public relations, billboards, television as well as traditional radios. Volkswagen can also develop a special marketing mix using the product, place, price and promotion variables. The marketing mix elements such as product, price as well as promotion can be adjusted appropriately in order to ensure that the product at hand (Volkswagen CC) is marketed and successfully sold to the target market.

Adjustments to the product strategy

Volkswagen Passat can establish itself in the market by advertising itself with its unique slogan "Engineered in Germany, Born in the U.S.A." As a selling proposition of its engineering excellence and be cut slightly above the rest in terms of quality finish and affordability.They should do this by starting an aggressive campaign to source new customer segments as well as by referencing the heritage of their car quality while they introduce their new design.

Therefore, before formulating a product strategy, it is important to perform a thorough evaluation of the competing products in all possible dimensions in terms of price, distribution and promotion in order to determine the winning category. This would be used in the determination of the product's success. The information that is gathered should then be factored into Volkswagen CC's product strategy.

Adjustments to the promotion strategy

The promotion strategy should also involve the use of the internet. The internet as a promotional tool must be treated with utmost importance. The manufacturer must realize the full potential of the internet as a promotional tool. Showrooms must also be used as tool or mediums of promoting Volkswagen CC. TV adverts too are also not to be forgotten. Hesterberg (2009) noted that the use of internet in the sales of automobiles is becoming commonplace

Adjustments to the pricing strategy

The pricing strategy should be adjusted to reflect variations in geographical location, competition, engine size, sports versions etc. This is to say that the pricing strategy is customized to meet the demands of several variables with competition being put in mind.


The Company can focus on its key competencies and resources in gaining a competitive advantage in the marketing of its Volkswagen CC product line. This must be done while considering the brand loyalty and consumer trends across the globe.


The marketing mix must be tailored in way that allows for the tracking of its success. The pricing strategy on the other hand is an integral element of market-positioning decision. Volkswagen CC must therefore be marketed with pricing as one of its main attractive features. The pricing structure for the product must therefore be set in a manner that reflects the variations in the geographical costs, demand, purchase timing, market-segmentation, order levels, guarantees, delivery frequencies, service contracts as well as other equally important factors.


Brown, W 2008. Volkswagen CC, a sedan that looks like a coupe.

Carter, M 2008. VW Expects the U.S. To be the Biggest Market for the 2009 VW CC

Clow, Kenneth E.; Baack, Donald 2007. Integrated Advertising, Promotion, and Marketing Communications 3rd edition. Pearson Education. pp. 9 -- 10. ISBN 9780131866225

Hesterberg, EJ 2009.The Impact of Online Marketing in Automotive Retailing. Available online at

J.D Powers and Associates 2008.Stats and Facts

Lamb, CW 2010.Marketing. South-Western College/West; 11 edition

Limbada, S 2006.How the internet supports the consumer decision process: The case study of McCarthy-Call-a-Car.

Available online at

Lavrinc, D 2008. Volkswagen drops "Passat" sticks with "CC" for new sedan.

Montgomery, a 2004.Designing a better Shopbot. Management Science, 50 (2):189-206

Zettlemeyer et al. 2005.How the internet lowers prices: Evidence from matched survey and auto transaction data. Journal of Marketing Research.NBER Working Paper No.W11515[continue]

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