2. • Set up Rapp-motorean werke for manufacturing aircraft engines.
Karl Rapp
• Financial backing of Camillo Castiglionni took over Rapp
Motorean Werks
Max Friz and • Renamed it Baverische Motorean Werks
Franz Joseph
Popp
• Inspired from the rotating propeller of the aeroplane engine
LOGO

4. BMW
BMW Aircraft Engine first
sports
car 503
BMW
First
Motor-
cycle
BMW, The
Dixi 3/15
BMW first 507 sports car

5. BMW: BRAND ESSENCE
 ”The BMW brands stand for a promise of fascinating individual
automobiles – a promise we do and will keep”. Part of this pledge
and key to the brand inside the company is: “Never build a boring
BMW”.
 Twenty years ago, BMW expressed its core identity in the US and
UK in the slogan „BMW – the ultimate driving machine‟.
 Globally, the brand now positions itself with the pay-off: „The Joy
of Driving„.

6. BMW: BRAND IDENTITY
 In 1928, BMW licensed the Austin Seven from the British car
manufacturer, which it renamed BMW 3/15. In 1933, the
blue, white and black BMW spinning propeller roundel logo
appeared on the grille and a six-cylinder model with the twin-
kidney front grill was introduced – a feature and point of
recognition for every BMW car on the road today.

7. BMW: BRAND EXPERIENCE
 BMW believes strongly in the importance of product consistency.
 A considerable part of BMW‟s success is attributable to its focus
on the design of both its products and its corporate and brand
design. Chris Bangle, Design Director, oversees 220 artists at
BMW: “We don‟t make automobiles as utilitarian machines that
you use to get from point A to point B. We make „cars‟, moving
works of art that express the drivers‟ love of quality”.
 The brand styling is carefully incorporated in the entire spectrum
of dealer and customer materials - collateral, showroom interior
and exterior, design tradeshow environments and manufacturing
facilities.

8. BMW: BRAND VALUES
 Quality, technology, performance and exclusivity are the BMW
brand‟s core values.
 Research and development are ascribed high priority within the
company.
 For BMW, performance is more than just the ability to accelerate
quickly and take corners at speed – it is a balanced harmony
between beautifully designed and crafted working parts.

15. THE COMMUNICATIONS PROCESS

16. THE MARKETING
COMMUNICATIONS MIX
 Advertising:  Personal selling:
 Any paid form of non-  Personal presentation by the
personal presentation and firm‟s sales force for the
promotion of ideas, goods, or purpose of making sales and
services by an identified building customer
sponsor relationships
 Sales promotion:  Direct marketing:
 Short-term incentives to  Direct communications with
encourage purchase or sale of targeted individuals to obtain
a product or service an immediate response and
 Public relations: lasting customer relationships
 Building good relations and
corporate image with the
company‟s publics using
publicity, and handling
unfavorable events

17. ELEMENTS IN THE
COMMUNICATION PROCESS

18. Target audience
A new ad campaign from the carmaker de-emphasizes the brand's
performance to attract a wider, affluent audience.

19. The BMW Customer
Average BMW Customer Profile:
 Approx. 46 years old
 Median income = $150K
 Well-educated
 Married and no children
 2/3 were male
 Technology is important
 Very loyal to the BMW brand
 Driving is a form of personal expression
 Work hard and play hard!

20. STEPS IN DEVELOPING
EFFECTIVE COMMUNICATION
Designing a Message
 AIDA framework guides message design
 Message content contains appeals or themes designed to
produce desired results
 Rational appeals: relate to the audience‟s self-interest
 Emotional appeals: stir up negative or positive feelings using humor,
fear, pride, joy, or even disgust
 Moral appeals: related the audience‟s sense of right versus wrong

21. BMW ADVERTISING PARTNER
http://www.kbsp.com/
KBS+P
kirshenbaum bond senecal + partners
WE DO
THINGS
THAT
MATTER.
FOR BRANDS. FOR COMPANIES. FOR
OURSELVES. FOR YOU.

22. Bill-Board Ad

25. APRIL FOOL’S ADS ;)

26. CONCEPT OF APRIL FOOL‟S ADS
 Each year WCRS (BMW's advertising agency) produces a tactical April Fool's day
advert which appears in the broadsheet press on April 1st only.
 Designed to teeter on the verge of credibility, therefore taking in scores of slightly
less vigilant readers.
 The concepts tend to focus on a new and revolutionary piece of technology from
BMW, yet push the idea just beyond the plausible.(probable; feasible; logical;
conceivable)
 The same format as all non-spoof BMW adverts, hence it is down to the reader to
notice the difference between the plausible and the non-plausible.
 April Fool's day adverts have become a BMW tradition primarily aimed at BMW
drivers as a once-a-year opportunity for them to drop their guard and have a laugh
at themselves.

27. For Example:
 The 'Toot and Calm Horn' (T.C.H.) system, which creates a noise that
manages to calm, rather than aggravate the other driver so reducing the risk
of road rage.
 Other ideas have included remote control gadgets worthy of James
Bond, with windscreen wipers on the esteemed BMW badge and insect-
repellent windscreens!

28. The first & primary object of BMW ad is to create
awareness of its brand.
One of the goal of BMW advertisement is to make
BMW look, not only cool, but likeable, which the
brand needs.

31. AD BUDGET:
Medium Quantity & duration Cost (approx./estimated)
Hoardings 60 in existing 20 locations, for 96 lakhs
4 months.
TV adverts 2 months package 12 crores
Ad making 2-3 9 crores
Newspaper Ads 5 ads/month for 3 months 12 lakh
Internet Marketing 50 top visited websites 20 lakhs (can fluctuate as cost
through google ads. is calculated on pay-per-click
basis)
Malls 20 malls at 20 locations, twice 40 lakhs
a month for 2 months.
Total 226800000

32. SETTING THE OVERALL
COMMUNICATION MIX
 Advertising  Reaches large, geographically
 Personal Selling dispersed audiences, often with
 Sales Promotion high frequency
 Public Relations  Low cost per exposure, though
overall costs are high
 Direct Marketing
 Consumers perceive advertised
goods as more legitimate
 Dramatizes company/brand
 Builds brand image; may stimulate
short-term sales
Video Snippet
 Impersonal; one-way
DD advertising communication
reaches a broad
audience

33. SETTING THE OVERALL
COMMUNICATION MIX
 Advertising  Most effective tool for building
 Personal Selling buyers‟ preferences, convictions,
 Sales Promotion and actions
 Public Relations  Personal interaction allows for
feedback and adjustments
 Direct Marketing
 Relationship-oriented
 Buyers are more attentive
 Sales force represents a long-term
commitment
 Most expensive of the promotional
tools

34. SETTING THE OVERALL
COMMUNICATION MIX
 Advertising  Makes use of a variety of formats:
 Personal Selling premiums, coupons, contests, etc.
 Sales Promotion  Attracts attention, offers strong
 Public Relations purchase incentives, dramatizes
offers, boosts sagging sales
 Direct Marketing
 Stimulates quick response
 Short-lived
 Not effective at building long-term
brand preferences

35. SETTING THE OVERALL
COMMUNICATION MIX
 Advertising  Highly credible
 Personal Selling  Many forms: news stories, news
 Sales Promotion features, events and sponsorships,
 Public Relations etc.
 Direct Marketing  Reaches many prospects missed via
other forms of promotion
 Dramatizes company or benefits
 Often the most underused element
in the promotional mix

36. SETTING THE OVERALL
COMMUNICATION MIX
 Advertising  Many forms: Telephone marketing,
 Personal Selling direct mail, online marketing, etc.
 Sales Promotion  Four distinctive characteristics:
 Public Relations  Nonpublic
 Direct Marketing  Immediate
 Customized
 Interactive
 Well-suited to highly targeted
marketing efforts

37. PUSH VS. PULL PROMOTION STRATEGY

42. Recommendations
To focus on long-term strategic objectives rather than push a
particular model or series:
To avoid a future sales dip in a trend/fashion-driven sales cycle. This
involves achieving aspirational mindshare among the elusive young
driver segment, even if only in the market short-term for a luxury car.
To avoid alienating or offending older luxury customers while
engaged in this campaign to aggressively pursue the youth target
market.
To reinforce BMW‟s prestige/performance brand cache in the context
of a product line that is rapidly expanding.
To expand and develop the marketing competencies necessary to
compete effectively against players with bigger marketing budgets.

43. Annual Production
Rolls- Motorc
Year BMW MINI
Royce ycle
1,122,3 200,11
2005 692 92,012
08 9
1,179,3 186,67 103,75
2006 847
17 4 9
1,302,7 237,70 104,39
2007 1,029
74 0 6
1,203,4 235,01 118,45
2008 1,417
82 9 2
1,043,8 213,67
2009 918 93,243
29 0
1,236,9 241,04 112,27
2010 3,221
89 3 1

44. Production by country
Country Make 2006 2008 Models
Germany BMW 905,057 901,898 Others
BMW X3,
Mexico BMW 1,500 100,000 X5, 3, 5, 7-
series BMW also has local assembly
operation using complete
BMW X5, knock down components in
Russia BMW 1,500 2,000
X6, 5-series
Thailand, Russia, Egypt,
United Indonesia, Malaysia, and
Mini 187,454 235,019 All Minis Chennai, India for 3, 5, 7
Kingdom
series and X3
All Rolls-
Rolls-Royce 67 1,417
Royce
Austria BMW 114,306 82,863 BMW X3
BMW X3,
USA BMW 105,172 170,741
X5, X6
BMW 3-
South Africa BMW 54,782 47,980
Series
Total 1,366,838 1,439,918

45. BMW nomenclature
BMW vehicles follow a certain nomenclature; usually a 3 digit number is followed by 1 or 2 letters. The first
number represents the series number. The next two numbers traditionally represent the engine displacement
in cubic centimetres divided by 100. However, more recent cars use those two numbers as a performance
index, as e.g. the 116i, 118i and 120i (all 2,0L gas-powered), just like the 325d and 330d (both 3,0L diesel)
share the same motor block while adjusting engine power through setup and turbo charging. A similar
nomenclature is used by BMW Motored for their motorcycles.
The system of letters can be used in combination, and is as follows:
A = automatic transmission
C = coupé, last used on the BMW E46 and the BMW E63 (dropped after 2005 model year)
c = cabriolet
d = diesel†
e = eta (efficient economy, from the Greek letter 'η')
g = compressed natural gas/CNG
h = hydrogen
i = fuel-injected
L = long wheelbase
s = sport, also means "2 dr" on E36 model††
sDrive = rear wheel drive
T = touring (wagon/estate)
Ti = hatchback for the BMW 3 Series hatchback
x / xDrive = BMW xDrive all wheel drive
† historic nomenclature indicating "td" refers to "Turbo Diesel", not a diesel hatchback or touring model
(524td, 525td)
†† typically includes sport seats, spoiler, aerodynamic body kit, upgraded wheels and Limit Slip Differential
on pre-95 model etc.