- BMW was founded in 1913 and originally manufactured aircraft engines, later expanding into car production. - In 2006, BMW launched a new "Company of Ideas" ad campaign that de-emphasized performance and driving in an attempt to appeal to newer audiences, against the advice of marketing experts. - The ads featured screaming children and were heavily criticized by viewers for being irritating and damaging to the BMW brand. Many commented that the ads turned them away from wanting to buy a BMW.

1. Founded in 1913 by Karl Friedrich Rapp

2. Rechristened as BayerischeMotorenWerke GmbH and later as BMW AG by Franz Josef Pope in 1918

3. Got into car business in late 1920s but during world war it took a back seat as it started manufacturing air craft engines once again

4. Car production began again in 1952 and since then there was no looking backSummary of the CaseFrom past three decades BMW promoted itself with the tagline “The Ultimate Driving Machine” with all its ads focusing on its “Driving” and “Performance”In May 2006, BMW of North America came up with new ad campaign promoting itself as “Company of Ideas” which no longer stressed on its performance but on its “Innovative Capabilities”Many Marketing experts including Al Ries felt there was no need of such a deviation because 2005 had been a good year for the company and company could loose its soul by such a deviation, But few felt it was a “preventive measure”

5. Al Ries also felt that even after driven by three Ad agencies BMW retained its consistency of communication and logo over 25 years, which led to its successHowever Company’s vice president ‘Jack Pitney’ favoring the move said “75% of luxury car buyers in the US still don’t consider BMW as it is strongly associated with the yuppie phenomenon of 1980s, so company is trying to bank on this new ad campaign and expand its market”BMW’s market share in the US was less than 2%, which was viewed as major growth area by the Co.

6. A look at Previous Ad campaigns –“The Ultimate Driving Machine”

7. And now the New ad campaign – “Company of ideas”

8. Critics and Marketing experts were right in commenting that the company was loosing its soulFew of the viewers commentsCarol Raisfeld,December13, 2006 06:37 PMThe newest BMW ad for Christmas is the most irritating in history. To have out-of-control screaming come into my home is a horribe invasion and I try to avoid any programs that use it. It's nerve racking and children start screaming to emulate the little out of control animals that are on screen. It's beyond disturbing to think it appeals to anyone over 5 years old. Oh, I'll remember the commercial and I'll also remember NOT to buy a BMW. How can the car be well made if they can't even choose a well made, clever commercial. This one is brutal.Sm,December 26, 2006 08:23 PMIf bmw chooses to be affilated with spoiled, shelfish, self centered lifestyle, as shown in this disastrous ad, then bmw is not for me. I wil stick with acura. They have sinced changed the voiceover to mask most of the screaming,with the final fist pump remaining. not good enough. fire the ad execs. dont buy bmw.