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3.5 - Marketing Plan: Checkpoint
3.5 - Marketing Plan: “Checkpoint”
Oscar E. Murillo
31 OCT 2021
Embry-Riddle Aeronautical University
MKTG 311
1 | P a g e
3.5 - Marketing Plan: Checkpoint
Marketing Plan Components
Service of Choice: TESLA’s Electric Vehicles
I.
Executive Summary
II.
Current Marketing Situation
Tesla is well known for not investing, researching, or spending resources on any sort of marketing strategy. It highly depends on word of mouth and social media to gain popularity and potential customers. When it came to segmenting the market, the firm didn't ask which part of the market was the most fuel-conscious; instead, it questioned
which segment would enable the company to create long-term and innovative model vehicles. If you're looking for high-performance vehicles, the preferred area is the smaller volume, cost-independent market that allows you to develop a brand identity while setting premium pricing and generating large unit gross margins by targeting the wealthy and affluent who are willing to spend more on their automobiles.
Tesla has been selling entirely electric luxury SUVs for the last several years, and the vehicle has done well in the market, with the company delivering a record-breaking number of vehicles in 2017. One of Tesla's most important benefits is the company's unique position in the car manufacturing sector. Tesla does not just sell cars, but it also offers technology, according to the company. 'The only beautiful car that can accelerate from 0 to 100 miles per hour in three seconds without using a drop of oil,' according to the company's marketing materials. (Hitesh, 2019)
2 | P a g e
3.5 - Marketing Plan: Checkpoint
a.
Market Needs
b.
The Market
i.
Market Demographics
Tesla owners are often older. According to available data, the median age of a Tesla Model S or Model X owner is little less than 54 years old, compared to 38 for the overall US population. Model X owners on average are 52 years old, whereas Model S owners on average are 54 years
old. These conclusions corroborate those of the Teslarati survey. This study's error margin is +/-2.5 percent. (Hedges, 2021)
ii.
Market Growth Trends
c.
The Company
i.
Mission
According to Tesla’s website, their mission is creating a sports car that seemed to have the greatest potential of being competitive with its gasoline counterparts and to expedite the introduction of sustainable transportation by bringing appealing mass market electric vehicles to market as soon as feasible. (Tesla, 2021)
ii.
Product Offering
iii.
Positioning
d.
Competition
i.
Direct Competition
ii.
Indirect Competition
3 | P a g e
3.5 - Marketing Plan: Checkpoint
III.
Threats and Opportunities Analysis
a.
Strengths
i.
Leading innovation
A high level of craftsmanship has gone into the design of Tesla's vehicle. When engineers build electric vehicles, they take into consideration a broad range of variables in order to provide their customers with a high level of comfort.
ii.
Best in-class Electric Cars
Tesla has left behind every other brand in the race of the finest electric cars. When compared by their range, Tesla’s electric cars have proven to be the best covering maximum distances. The recent comparison shows that Tesla occupies the top three places in terms of range. The Tesla Model S can travel up to 600 kilometers on a single battery charge; leading over the Opel Ampera, with a range of 520 kilometers.
b.
Weaknesses
c.
Opportunities
d.
Threats
IV.
Objectives and Issues
a.
Increase Sales
While Tesla’s main marketing efforts highly rely on customer satisfaction and word-of-mouth, a comprehensive marketing plan could prove to be of benefit to 4 | P a g e
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