Ford launched the Ford Fiesta Movement (FFM) marketing campaign in 2009 to reintroduce the Ford Fiesta small car into the US market. The campaign recruited 100 young social media influencers to test drive and create content promoting the Fiesta. The influencers generated over 600 videos and blog posts that received millions of views. The campaign was highly successful, driving a large increase in website traffic and test drives, significantly boosting brand awareness and familiarity with the Fiesta among its target demographic. Based on these positive results, Ford should consider expanding the influencer marketing strategy to other models and maintaining engagement with the new leads to convert them into sales.
3. Topics
01 Introduction & Overview
02 Company Background
03 Problem Definition
04 Market Research Competition
05 Industry Marketing Techniques
06 Ford Fiesta Movement
07 Analysis
08 Segmentation
09 Positioning
10 Conclusion
4. FORD FIESTA
Overview of the Presentation
In early 2009, Ford Motor Company began its new marketing
campaign to reposition themselves within the auto industry and
reintroduce their class B vehicle, the Ford Fiesta, into the US market.
This campaign was coined as the "Ford Fiesta Movement" (FFM) and
was not a typical marketing campaign for an automaker. This
presentation will analyze their marketing strategy & determine what
their next step should be.
Overview
5. The FORD Motor Company in 2009
The Ford Motor Company, based in Dearborn, Michigan (a suburb of
Detroit), was one of the world’s largest automotive manufacturers and
distributors. Ford was best known for its line of rugged trucks, such as the
F-series, and Sport Utility Vehicles such as the Explorer, as well as for its
classic sports car, the Mustang.
In the ten years leading up to 2009 sales of Ford vehicles were down by
over 50%.
Honda
Ford
Toyota
General Motors
10.2% 16.7% 17.5% 17.6%
6. Problem Definition
The target customers for the Fiesta
would be very different.
Introducing a new compact car in the
US market provided many challenges
for Ford.
01 02 04
03 05
Much more
ethnically diverse,
women & men, and
city dwellers
Target customers
Millenials under 30
years old.
Target customers
Ford had been
absent from B
Segment market in
the U.S. since 1981..
Competition in B
Segment
Ford was generally
not in the
consideration set of
young buyers looking
for small,
economical vehicles.
Competition in B
Segment
The stigma of U.S.
cars as a class
suffered.
Competition in B
Segment
7. Market Research until 2009
Exhibit 3 (Full age
distributions)
B segment cars tended to be
bought either as entry level
vehicles by young people upon
landing a first job, or by older
buyers who prized fuel efficiency
and compactness. About two
thirds of buyers were over age
40.
72.9%
Exhibit 4 (2009’s sales
figures in the B segment)
Ford was generally not in the
consideration set of young
buyers looking for small,
economical vehicles.
0%
80%
40%
55%
65%
8. Industry Marketing Techniques
The target customers for the Fiesta would
be very different than most Ford’s
customer base.
People in this demographic were heavy
users of social media, and had more faith
in what their friends said than what
advertisers said.
Hire 100 millennials with large online
followings, lend them the cars with an
invitation to create and share content
based on their adventures
TARGET
Targetted Millenials, much more
ethnically diverse, men, women
& would tend city dwellers
MARKETING CAMPAIGN
Put the marketing campaign
in the millennials’ hands &
test drive of the new car.
Influencer
Buzz Marketing
Official Ford Initiative
Ford Fiesta Movement
In order that influencer will tell
other consumers (their followers)
of their own favorable
experiences after use Ford
Fiesta.
9. Ford Fiesta Movement
Post
Content
Sending
Agents Out
on Missions
Monthly
Theme
Missions
Mission
Control
Recruiting
Agents
The Agents agreed to
produce one video per
mission. The content was
posted online on YouTube,
Facebook, Twitter, Flickr,
and blogs, as well as on
Ford’s official microsite at
fiestamovement.com.
Whittled down to 100,
and their names
were announced at
the New York Auto
Show in April 2009.
Each month a
central dispatch
office.
Agents using their talents
and social networks to
create interest and
excitement for the brand
For each month of
the movement, from
May to October
2009, there would
be a theme.
Before and during the
execution of a mission,
Agents were encouraged
to use sent alert to their
followers what upcoming
videos.
Mission Control would issue
theme-based missions for
completion. All flows of
information to and from the
Agents would go through
mission control.
Mission Control would
handled the logistics,
to be the central point
of contact for 100
agents, dispatched the
monthly missions the
Agents were to
complete, and also
provided 24/7
assistance to the
Agents.
Agents chose one mission
to tackle & incented to
select and complete
missions quickly.
Agents shot and edited
the video, sent it to Ford.
Once approved, Ford
posted the videos to a
central site. Then agents
free to post them to their
personal blogs or
websites.
10. SWOT Analysis
SWOT
STRENGTHS
Ford have a unique ability to
analyze their markets and create
a demand for their products. Led
an initiative to change their brand
image in order to incorporate the
small car class B segment and
have done so effectively.
OPPORTUNITIES
Ford have a room for
improvement, and/or expansion.
They can also work to change
their brand image (as stated
above) and also provide features
which are aligned with market
demands.
WEAKNESS
The Fiesta, Ford’s best known
subcompact, had been absent
from this market in the U.S. since
1981. And , the stigma of U.S.
cars as a class suffered.
THREATS
Using social networking to
market products requires that the
company give up control over
what is said about the products.
This is risky. This threat however
can be offset by continuously
monitoring and being prepared to
respond to a crisis
S
O
W
T
11. Ford Fiesta Market Segmentation
Ford should identifying their market segmentation to reach
the target of their sales. An 9% share of unit sales in the B
segment for Fiesta.
Market Segmentation
Milenials (people under 30 years old), men, women,
ethnically diverse & city dwellers
Demographic Segmentation
B Segment cars can gives the customers a fuel
consumption efficiency to drive in a long distance.
And city Lovers,Urbanites ,who are moved to make
the city buzz.
Geographic Segmentation
Reasonable price. In 2009 cars in the B segment
were priced just below $10,000 and tended to be
bought either as entry level vehicles .
Psychographic Segmentation
City lovers get excited about Fiesta from an
engaging drive to engaging features to engaging
styling, Fiesta draws you in.
Behaviour Segmentation
12. Ford Fiesta Market Positioning
Low Price
High Quality
Fuel
Economy
Attractive
Low Price
Priced just below $10,000 at the stripped down, economy end of the
scale and around $18,000 at the fully featured, high end of the scale.
Attractive
Where it’s headed in traffic – it moves with purpose. Does its best
work with jackrabbit starts, quick stops, lightning fast gear changes
and taking the corners a smidge too fast thanks to dual-clutch
technology and an obsessively precise wheel
High Quality
Fiesta being a small city car that does more than check the box on
economy – from an engaging drive to engaging features to
engaging styling.
Fuel Economy
Fiesta have 40 mpg consumption.
Based on Ford Fiesta’s market segmenting & positioning, Fiesta was positioned as
Middle Class vehicle, that can reached by all class, both High Class & Low Class.
13. Result of Ford Fiesta Movement
RESULT
Ford Fiesta
Movement
Monthly Website Visits
The Fiesta website recorded 289,000 unique
visitors in the two months to May. of whom
19% completed an exercise in which they
configured the options on a Fiesta to reflect
their preferences, and 14% gave their email
addresses to get updates.
Content Creation
Ford’s goal = 600 videos for the six months
of the program, yet two months into the
program the Agents had already posted 655.
Each of the videos had been viewed about
1,600 times on average. The most popular
video had been viewed 200,000 times. The
Agents had blogged 632 times about the
Fiesta, posted 5,535 photographs to their
blogs and Flickr, and tweeted 7,787 times.
Familiarity & Share
The proportion of people intending to buy
Ford Fiesta is 42%. The Fiesta beat the
benchmark comfortably, which is 23%.
In press mentions of B segment cars during
February and March, Fiesta led with a 33%
share of voice, ahead of the Honda Fit at
28%, the Toyota Yaris at 24% and the
Nissan Versa at 15%.
Test Drives
6,000 test drives (1,000 provided by Agents)
and 30,000 walk-arounds. The
demographic profile of the drivers was 65%
male, 55% under age 34, and 81% non-
Ford owners.
14. Conclusion
So far, it seems that the FFM has created some buzz and has been successful in their
efforts. They passed the benchmark of familiarity comfortably, social media
engagement increase. huge amount of test drives participants, passed the goal of
social media content, led the share of segment B cars and the most impressive part of
this marketing strategy outcome was the fact that 81% of test drive consumers were
new consumers who had never owned a Ford vehicle previously. Therefore, their
efforts to enhance their brand image within the class B car segment were successful.
Branding
Huge engagement on
social media generated
brand awareness prior to
launch, influenced the
minds of a difficult-to-reach
audience, build the value of
the brand and helped push
car sales up after launch.
Relationship
These relationships created
within their target market
allowed Ford to market
themselves as “real people”
just like their “friends”. Ford
was able to create a brand
by creating a conversation
with “friends”.
Budget Efficiency
A viral component was built in
so these Agents through their
social networks would reach
out to a larger proportion of
the target audience without
incurring cost of promotion by
the company. Most of the
budget was spent on the cars
and infrastructure rather than
on advertising
15. Recommendation
Campaign
Social Networking Campaign
Ford can consider this campaign, or
something similar, for other models if the
target market utilizes social networking at
an acceptable usage rate. From study
(Pingdom, 2010), these statistics suggest
that older generations are active on social
networking sites and that Ford could target
these individuals with different car models
aimed at different demographics.
Implemented to Different Segmentation
& Product
Sales
Turning These Leads into Sales
Ford should actively engage these leads
to maintain interest and convert them to
sales. Ford could publish a Ford Fiesta
newsletter providing information on the
Ford Fiesta movement and updates on
when the car will become available.
Extend the Ford Fiesta movement with
new agents and have those agents
complete missions and hold events in the
various locations the leads are located
with smaller scale. Additionally, Ford can
offer its leads the opportunity to pre-order
the car with a guaranteed delivery date to
provide an incentive for pre-ordering.
Maintain & Developing the Marketing
Strategy
Consumer Driven
Consumer Driven vs Product
Driven
This will allow Ford to communicate
with consumers and determine what
they need to do to meet consumer
needs. In an ever changing
environment, marketing strategies
must transform accordingly and this
kind of virtual concept marketing are
accomplishing just that.
Considering & Sensing External
Environment
16. Marketing is no longer about
the stuff that you make, but
about the stories, you tell..
THANK YOU
FARID SR & IKSAN ADITYO MULYO