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Evaluation of Kia’s Current Marketing Strategy and Marketing Mix

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Introduction
Kia Motors Corporation (KMC), founded in 1944 is Korea's oldest manufacturer of motor vehicles. Today, the Corporation is part of the 4th largest automotive group in the world, having exported over 5 million cars to more than 155 countries around the world. Kia’ goal is to become a top 5 volume car brand. In order to achieve this status they must increase their market share, both fleet and retail, break through into the corporate fleet sector and sell over 100,000 cars a year.
KIA has four key focus areas. Firstly, to deliver quality cars and services so that they are recognised by the media and their customers. Secondly, to become a challenger brand through building a compelling and differentiated, yet fun and dynamic image …show more content…

People tend to change their car every 3.5 years and the average product life cycle of a Kia Motor is 3 years. At this point the company launches a full new product, which may also include limited edition models. This is an effective technique because customers are ready to change their cars and Kia is providing them with new options, which helps to build customer brand loyalty.
During the decline stage Kia Motor’s products’ sales and profits are likely to decrease. Since it has a variety of cars and models, it needs to be aware of the sales and profits generated by each one of its products, so that if one product is generating a loss it is not hurting the profits being generated by the other products. At this point, they could take various measures to maintain a balanced product mix by either maintaining or withdrawing the product generating the greatest losses.
Price

In terms of price, Kia motors range from £6,995 for the Picanto up to £23,005 for the Sorento, with all their other models ranging between these two values. Therefore potential customers have the choice to select the Kia model that best suits their age and life cycle stage.
As an extension strategy to this, some Kia models are classified in a number of grades and are therefore given different prices. For example, the Picanto has three different grades, grade 1 being the entry level price with the standard specification features and grade 3 being the highest with the most advanced specification

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