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Volkswagen India Promotion & Distribution Marketing

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Volkswagen India Promotion & Distribution Marketing

  1. 1. +  Volkswagen - Promotion
  2. 2. + Promotional strategy of Volkswagen Volkswagen have the same core brand values across the globe, which is innovative, valuable and responsible which reflects in their promotions. When VW started in 2007, low brand awareness was one of their concerns. VW came out with 13 advertisements in various newspapers. It told the readers about how the name Volkswagen came about and its product line. By the time the campaign ended VW had used 18000 television spots, 144 insertions in broadsheet dailies , 50 insertions in magazines, 280 out of home sites and 23 digital portals.
  3. 3. + A move that captured india  Majority of Indians did not know anything about Volkswagen , not even the pronunciation.  Brand Awareness was 4% as compared to 70% which competition enjoyed.  To make Volkswagen a household name , for the first time ever in India TOI had a single advertiser across all 26 pages and in all 16 editions of TOI.  This is known as a Roadblock.
  4. 4. +  This ensured 100% mindspace and attention of the consumer.  The Result ?  Hottest searched word on Google.  Recall increased to 50% from 4%.  169% increase in Sales.
  5. 5. + Promotion using TRADITIONAL MARKETING To improve brand recall , the next campaign showed all Volkswagen cars: The Beetle, Passat, Jetta and Touareg. Volkswagen has successfully focused on both the superior product attributes and the imagery associated with owning and driving it. Most of VW communication takes place through print media in magazines and newspapers. They have also focussed on communication through TV advertisements and point of sales promotion.
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  7. 7. + Promotion using virtual marketing Now they have a state of the art web portals which are highly interactive and informative. Car buyers can get any amount of detailed information regarding prices, features, retailers and support services. Usage of social media networking sites to connect with the target market. VW was the first company to use Linkedin recommended advertisements and the campaign was a huge success. In less than 30 days over 2700 VW fans had stepped forward to recommend their favourite cars and shared these recommendations with their professional networks.
  8. 8. +How VW uses social media Volkswagen India mainly has a presence across four social media platforms: Facebook, Twitter, Youtube & LinkedIn. Apartfrom that they have dedicated sites for their ‘Innovations for Everyone’ and ‘Think Blue campaign’ campaigns. They are engaging with their fans on Facebook(1.1 million) in a responsible manner by replying to their queries, appreciating feedback, posting offers and updates, running contests etc. They have identified the owners of VW vehicles on Twitter & have added them to the respective lists of different vehicles.
  9. 9. + How VW uses social media They use these lists to keep a track of their customers & occasionally inform them about any new initiatives or offers. Efforts are made to cross promote the videos of their dedicated channel on other online platforms and they are planning to provide some incentives for people to subscribe to their channel. Linkedin company page of VW has been a huge success due to a large number of recommendations.
  10. 10. + SPECIAL CAMPAIGNS Volkswagen also started two campaigns at different times in India. ‘Innovations for Everyone’was launched in 2010 while another campaign ‘Think Blue’ was launched in 2011. Both these campaigns were launched with much fanfare as an integrated marketing campaign across all the online & offline channels which created a lot of buzz for them. People submitted their ideas on the dedicated sites of these campaigns & they got voted for their innovation by other participants. Some of these ideas are passed on to the product team to study their feasibility of being introduced among the upcoming vehicles.
  11. 11. +LATEST CAMPAIGN  VW’s latest campaign was ‘Post it’ .  The campaign consisted of print, digital, out-of-home and on-ground, and which ran for a duration of three and a half weeks.  The campaign unveiled a contest through which customers booking the new Polo and Vento during the month of November 2012 would be eligible for winning a free Polo or Vento.  Through newspaper advertisements in metros VW invited readers to test drive its Polo and Vento range of passenger cars, along with the contest to win one of the two models.  Volkswagen took a 360 degree turn in its marketing strategy this time with emphasis on on-ground activities with its dealer network.
  12. 12. + Innovative advertising  VW India sent a shiver down a newspaper reader’s spine with their new print ad in the leading newspapers.  VW India created a path breaking campaign by launching the world’s first ‘speaking newspaper’.
  13. 13. + Advertising VW launched print campaigns in glossy paper with metallic finish. These campaigns also managed to garner attention for the VW brand. Sending customised emails and newsletters with various offers to various prospective customers based on CRM data. According to the marketing and communications teams of VW the digital medium is increasingly becoming an important medium for the brand. They are planning to market themselves using PPC advertisements , paid keywords and affiliate marketing.
  14. 14. + special promotion  After the success of the Vento IPL Edition in Season 4 of the Indian Premier League (IPL),Volkswagen India capitalised on Season 5 of the IPL with their Polo and Vento IPL Edition II.  The IPL Edition II versions of the Volkswagen Polo and Vento hit showrooms on March 15, 2012. The new models sported additional equipment but were offered at the same price as the regular variants.  Promoted by using Pro Batter which was inaugurated by Chris Gayle in Mumbai which allows the participant to face the swinging yorkers of Lasith Malinga. Launched in many cities in public places like malls.
  15. 15. +
  16. 16. +Additional gizmos and goodies that both cars will get in IPL Edition II include : Multimedia entertainment system featuring navigation and social networking options Interactive car pad for rear seat passengers to operate the multimedia system. Dual tone leatherette seat covers, Special floor mats, IPL door sill designs IPL branding on the boot.
  17. 17. OUTDOOR ADVERTISING+
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  20. 20. + DISTRIBUTION
  21. 21. + Volkswagen India- Pune  Assembles, manufactures and distributes Volkswagen vehicles in India.  Established in 2007.  One of the most modern in the Volkswagen Group.  Large share of local suppliers.  Only production plant operated by a German automaker in India that covers the entire production process from press shop through body shop and paint shop to final assembly.
  22. 22. + Manufacturing Facilities Manufactured/Assembled Locally Imported Volkswagen Passat Volkswagen Jetta Volkswagen Touareg Volkswagen Polo Volkswagen New Beetle Volkswagen Phaeton
  23. 23. + Sales and Service Network  Sales Performance Year 2010 :  Recorded sales of 32,627 vehicles against 3,039 vehicles sold during the year 2009 and registered a sales growth of over 1,000%.  Currently has more than 70 dealerships in 56 cities across 18 states and 2 union territories of India.
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  25. 25. + Sales and Service Contd…  Recognizing the importance of an extensive dealer network towards scripting a long-term success story  The brands of the Volkswagen Group are setting up dealerships spanning the entire country with Volkswagen, Skoda and Audi having in total around 120 dealerships across the country today.  Groundwork for offering a first-class all-round service, taking customer satisfaction to the highest level.  Keeping this in mind they launched their first Group Logistics Service facility recently that would help make their dealer network become more efficient and smoothen the entire process of service.
  26. 26. + DEALER OPERATIONS
  27. 27. + Dealer Operations…  Every dealer with Volkswagen has signed a three-year bond as the fluctuation rate in India is relatively high.  Very evenly distributed across the country but now is the time to go rural.  As per study, a consumer is willing to drive only for an hour to an automobile dealership for service, after-sales .  To complement this, a strong CRM system is in place where they have information about the customer.  Keeping in mind that the rural parts are still largely untapped, companies are pressing the accelerator.
  28. 28. + Volkswagens B2B Market place set up Nearly all of procurement volume managed via the Internet Applications bundle for suppliers on platform "VW Group Supply.com" The most important components; Online-Catalogue-Purchasing, Online-Negotiations (auctions), Capacity management (eCap) have been set up for Audi and Volkswagen and have been introduced in the other brands and regions of the Group
  29. 29. + Inventory Management  Wireless Stock Management System  Fully transparent stock management system  Complete integration with SAP® R/3® WMS  Reduced overall operating costs  Increased accuracy  Greater all-roud speed and efficiency of operation
  30. 30. Group Sales India Pvt. Ltd. Group Sales India Pvt. Ltd. India Pvt. Ltd. Offer in Manufacturin Excise Invoice NADCON g Printed Parking Table update & duty Order in Vehicle calculation NADCON Daily s to Stock Yard Vehicles Order despatched Purchase Order allocation to dealer TOMCAD Inbound Delivery FI JV passed in & Goods Receipt VWIPL to book Vehicle flagged Credit Sales Check in TOMCAD while Invoice despatch Verification Allocation to Billing in ATLAS FI JV passed in Transporters VWGSIPL to book Sale to Dealer Billing in Nadiv to Material Movement book Sale to 201 to hit COGS in dealer VWGSIPL Distribution Process SAPPage 31 Domestic Vehicle Sales from NSC to Page. 31
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