10 step marketing plan for civic
DESCRIPTION
TRANSCRIPT
This 10 Step Marketing Plan is part of the mandatory requirements of Prof. Remigio Joseph De Ungria’s AGSB marketing management class.
The data included in this report are based on publicly available data such as those on internet websites, news, package declarations, public reports.
When appropriate, data are “masked” so as not to create unexpected conflicts.
The reports are posted and linked on slideshare, blogs and facebook so that there is easier sharing among students from different marketing classes.
Disclaimer
1. Civic’s PTM are young professionals/, businessmen/women
2. Who wants luxury and powerful engines
3. Other choices are Altis, Focus, Elantra, Cruze, and Mazda 3
4. Gap is on a car which exudes luxury and status
5. Market size is not less than Php41B
Steps 1 to 5
The Good Life with Civic
6. Civic – a compact sedan7. Price starts at Php908,000.008. Product is promoted by means of
advertising, events and experiences, person to person selling, and promotions
9. Dealership is strategically located all over Philippines
10. Makes use of DIFFERENTIATION as winning strategy
Steps 6 to 10
A taste of luxury
1. Honda Civic’s PTM wants a touch of luxury and powerful engines
30 to 50 years old, Male or Female, Social Class A,B, or C, Single, Married – with or without kids
Professionals and businessmen/women who can afford to buy expensive cars.
They replace cars every 3 to 5 years and are after the quality, prestige and status that goes with the brand.
Describe your PTM needs
6
Self-Actualization Needs(Self-
Development & Realization)
Esteem Needs (Recognition,
Status)
Social Needs (sense of belonging, love)
Safety Needs (security, protection)
Physiological needs (food, water, shelter)
Reference: Maslow’s Hierarcy of Needs Marketing Management, 11th ed, Philip Kotler
I feel confident becauseI own a Honda CIVIC
I am in the same circle asthose who have “class”
Safety is very important
I am Successful
2. PTM’s needs, wants & demands
Needs: high regard for safety, to belong to a chosen “class” of people, to be recognized, and achieve self-actualization.
Wants: brand promise that it will maintain high standards of quality, design, and prestige.
Demands: powerful engines, sleek design/elegance, fuel efficient, status – a car that is not being used as a Public Utility Vehicle, and luxury.
3a. The Honda Civic has many competitors in the market Direct: Toyota Altis, Chevrolet Cruze,
Ford Focus, Mazda 3, Hyundai Elantra Indirect: SUV’s of the same price
range – both brand new and second hand, cheaper cars (i.e. Honda City, Vios, etc.)
Variables: Age, design, color choices, efficiency, performance and promise of luxury or status.
Honda Civic is no. 1 in the category of sedans with prestigious personas
Design/ Status
Interior Exterior
High PrestigeLow Prestige
Cruze
Civic
Altis
Mazda 3
Design vs. Status as of 2011
Elantra
Ford Focus
Civic
Altis
Mazda 3Ford
Focus
Honda Civic’s Positioning to be a leader in “prestigious” Sedans
Benefit Positioning vs. Brand Matrix
as of 2011
Harder to stand out amidst the competitive clutter.
Functional Benefit Civic Altis Elantra Cruze FocusMazda
3
Double Airbags
Alert Sensors
Airconditioning
Eco-Assist
Key-less Entry
Front & Rear Disc Breaks
4. The Honda Civic Strongly Positions itself through Image and Reputation
Honda Civic is a brand which… Offers affordable luxury, elegance and
prestige Gives the owner that feeling of “class”
and confidence Has created a reputation of having
powerful engines.
Other brands are trying to be imbibe the prestigious persona of Honda Civic.
The unique selling proposition should focus on both performance and prestige.
4. The Honda Civic Strongly Positions itself through Image and Reputation
5a. Based on Competitor Press Releases, Total Sedan Market is not less than 156,000 units
From the No. 2 Post, Honda went down to No. 3 in the last 2 years
Honda Philippines’ Vows to Regain Market Share
1. Based on Company Data: Honda cars sold 12,653 units in 2012
2. Honda Philippines Sees a 9% increase in car sales for 2013
3. Total market size of passenger cars is 30.85% of the total sales of the entire industry
5c. The Number of New Vehicles Registered with the LTO Increased at the Rate of 6% Per Year
1. In 2011, a total of 61,743 new cars were registered with the LTO
Some banks receive a total of 50 to 70 car loan applications per month.
5. As of 2012, the Total Marketshare of Cars is not Less that Php41B
1. Competitor data= 13 Billion
2. Company data = 13 Billion
3. Customer Usage data = 41 Billion
6a. In High End Sedans, Civic has 5 Competitors
Honda CivicToyota Altis Hyundai Elantra
Ford Focus Mazda 3 Chevrolet Cruze
6b. The Honda Civic at a Glance
Colors White Orchid
Carnelian Red
Crystal Black
Urban Titanium
Frosty White
Taffeta White
Variant & Transmission
2.0 EL – 5AT; 1.8E – 5AT; 1.8S – 5AT and 5MT
Engine SOHC i-VTEC
Model Variant Price
Civic 1.8 S MT Php908,000.00
Civic 1.8 S AT Php948,000.00
Civic 1.8 E AT Php1,008,000.00
Civic 2.0 EL AT Php1,145,000.00
Civic 2.0 EL AT (White Orchid Pearl)
Php1,165,000.00
7. Price
Make Price Range
Civic Php908,000.00 – 1,165,000.00
Altis Php814,000.00 – 1,155,000.00
Focus Php859,000.00 – 1,218,000.00
Mazda 3 Php899,000.00 – 1,299,000.00
Elantra Php818,000.00 – 958,000.00
Cruze Php858,888.00 – 1,103,888.00
A Comparison of Prices
8.a. Modes Being Used to Market the Honda Civic
Mass
Sales Promotion – 1
Advertising - 3
Events and Experience - 4
Personal
Personal Selling - 2
Word of Mouth - 5
8a. Honda Civic Promotions
8b. Competitors promotions
9. 28 Dealer Locations All Over the Philippines
NCR 10 Dealers
Luzon 11 Dealers
Visayaz 4 Dealers
Mindanao 3 Dealers
10. What is the generic winning strategy?
Which of the 4 strategies are being used? (bold and underline to most dominant strategy) Low Cost Producer Supply and Distribution Leverage Differentiation - Civic
differentiates itself from the rest through reputation, price, and performance
Niche
1. Civic’s PTM are young professionals/, businessmen/women
2. Who wants luxury and powerful engines
3. Other choices are Altis, Focus, Elantra, Cruze, and Mazda 3
4. Gap is on a car which exudes luxury and status
5. Market size is not less than Php41B
Steps 1 to 5
The Good Life with Civic
6. Civic – a compact sedan7. Price starts at Php908,000.008. Product is promoted by means of
advertising, events and experiences, person to person selling, and promotions
9. Dealership is strategically located all over Philippines
10. Makes use of DIFFERENTIATION as a winning strategy
Steps 6 to 10
A taste of luxury
