Ford Motors Marketing Mix – Product, Place, Price and Promotion
Ford is among the most well known and biggest automotive brands of the world. The brand is dedicated to a better future for the planet while also working for more safety of the passengers. It is a global brand selling in nearly all corners of the world. Known as a technologically innovative brand, Ford makes SUVs trucks and cars. Apart from its innovative technology and a modern production, supply and distribution chain, one important strength of the brand is the trust it has built over the years. In the recent years, it has focused more on environment friendly vehicles and 2017 proved to be an important year of transition when it took important steps in the direction of producing electrical vehicles. For this purpose, ford created Team Edison whose job is o speed up the design and development of its battery electric vehicles. This team brings together technology, product manufacturing and advanced manufacturing to create leading edge battery electrical vehicles for its customers globally.
21st century is an era of intense competition and almost all the vehicle brands are quite aggressive in terms of technological innovation and marketing of their brand and products. This is an analysis of the marketing mix of Ford motors that analyses the four P’s in its marketing mix including Product, place, price and promotion.
Incorporated in Delaware in 1919.
Acquired Henry Ford’s Ford Motor company founded in 1903.
A global company headquartered in Dearborn, Michigan.
Number of employees globally- 202,000
Name of President and CEO: Jim Hackett
Owns automotive brands Ford and Lincoln.
The company has a large product portfolio made up of automotive and financial services. In the automotive line, the company designs, manufactures, markets and services an entire range of Ford cars, trucks, SUVs, electrical vehicles and Lincoln luxury vehicles. the brand also provides financial services through the Ford Motor credit company LLC. the brand is working to create a leadership position for itself in the area of electrification, autonomous vehicles and mobility solutions. Some of the mobility products by Ford include Ford Mustang, Ecosport, Ford Endeavour, Ford 150 and Ford Expedition. The brand is working to expand its full range of electric vehicles by adding more of EVs to its product range, In this regard, it formed a joint venture with Chinese maker of fully electrical vehicles Zotye. the goal of this joint venture is to expand its line up of fully electric vehicles globally to 40. Out of these 16 are intended to be full battery electric vehicles by 2020. Apart from these things Ford remained the best selling brand in US for the eighth straight year. Its F Series franchise also marked its 41st year as America’s best selling pick up. In 2017, the brand launched 11 more vehicles globally including a new F-150, Ecosport, Focus Electric, all new Fiesta, an all new Expedition as well as an all new Lincoln Navigator. Moreover, Ford credit offers its customers leasing plans through Ford and Lincoln dealerships.
Ford is present globally. In 2017, it sold approximately 6,607,000 at wholesale globally. Nearly, all of its products and accessories are sold through its distributors and dealerships. Majority of these dealerships are independently owned. In 2017, its approximate number of dealerships was at 11,428. the number of Ford dealerships was at 10345 while that of Lincoln dealerships was 263 and that of Ford Lincoln combined was 820. Its wholesales represent the products sold to the dealerships mainly. The retail sales of the brand represent the products sold by the wholesalers and dealers to the customers. Its Ford and Lincoln stores are designed to deliver a complete customer experience to its customers. Its stores provide one stop solution for all the maintenance and repair needs of its customers.
Ford uses a varied pricing strategy that is aimed to remain competitive in the market as well as to cater to different customer segments. Ford has a very large customer base globally. It provides both fuel efficient and average priced vehicles as well as luxury vehicles that cater to the higher end consumers. The Lincoln vehicles are especially designed for the customers who want luxury and technologically efficient vehicles. Its Ford brand sells a large range of fuel efficient vehicles that are priced competitively. It is also extending its presence on the electric vehicles market to include more of competitively priced electric vehicles.
Ford spends heavily on the marketing and promotion of its brands and products. In 2017, it spent 4.1 Billion dollars on advertising which was 200 million less than its previous year’s spending on advertising. Apart from its marketing campaigns the brand also uses auto shows to showcase its products and brand. Ford has been using several channels for the promotion of its brand including both digital and traditional channels. It utilizes television advertising, print advertising as well as other traditional and innovative channels including online advertising and social media. Its promotion campaigns have helped it maintain its extensive market presence and engage customers better. The 21st century automotive industry is marked by high competition and therefore the brands invest heavily in both technological innovation as well as marketing. Despite a string product mix, the brands cannot remain competitive without investing heavily in marketing which does not just create demand and increase sales but also aids the growth of brand in other ways, helping its attract as well as retain its customers.
Ford has made a major comeback since the recession. It reversed its image and structure as well as organizational culture under Alan Mulally’s leadership and now it is geared for faster growth by investing more in technological innovation, autonomous driving as well as electric vehicles. It has also struck new partnerships globally to improve its market presence and to grow its sales. Above all is its focus on trust and customer satisfaction which it is continuously working to maximize through its extensive sales and distribution network.