Launching the Bmw Z3 Roadster
LAUNCHING THE BMW Z3 ROADSTER
Management Report Section
This case report was jointly prepared by the following team members. All members of the team contributed equally to the project.
Danny Riley
Adil Kouch
Ron DiCillo
Executive Summary
BMW will be going through a crucial time period for their future success. During this time period it is imperative we concentrate on retaining and improving our brand image. Our company does not want to tarnish the image we have of the "Ultimate Driving Machine" which BMW has so diligently created, maintained, and upheld for so many years. There is a strong possibility that changing our slogan from "Made in Germany", to "Made by BMW" could have a dramatic impact on the perception on the BMW brand. The success of the new Z3 roadster will be the measuring stick for this change and the careful implementation of this vehicle will be immeasurable to the success of the company in the future. The current image of the "Ultimate Driving Machine" and the desired image of made by BMW displays our goal of being the "best in its class". BMW does not want to have our image tarnished by any mistakes in the roll out of the Z3 roadster at the Spartanburg plant. The future plans for us will include maintaining the interest in the Z3 roadster until it reaches the dealerships during March 1996. We will need to begin marketing our company as a global company and advertising the benefits of being a global company as opposed to a German company. Along with these relatively short-term goals, we will be looking towards the future and deciding where we want to take our company.
Problem Analysis
Stated Problem: The overwhelming success of the Phase 1 marketing provided BMW a great stepping-stone to a successful marketing campaign. The problem now is where BMW goes from here. The second phase is going to be extremely important because it will lead up to the actual roll out of the BMW Z3. The purpose for this phase will be to turn the interest developed during the first marketing phase into actual sales.
Problem Definition: This previously stated problem is also compounded with other short-term and long-term problems. For this reason we have analyzed what BMW was attempting to accomplish with their launching of the Z3 roadster, their position in the market as a brand, the framework of the activities that were also going on during the launch, the emerging horizon of competitors, and the effect of their dealerships on the company's success. An analysis of these factors provided issues that were being overlooked because of the energy and resources needed for the successful launch of the Z3.
BMW has stated in the case it wants to become a global company. This strategy while necessary at some point for a car company their size to compete in today's market will remove itself from its German roots. The branding of their product has caused BMW to be looked at as The German automobile in the same way Ferrari is thought of as The Italian automobile. BMW should seriously take into account the issues that may ensue from the production of BMW's in the United States. The production of the vehicle at the Spartanburg plant could pose quality perception problems with future consumers because BMW's current image of German engineering and the illusion of being built by "mythical little creatures in the Bavarian woods" that could be permanently damaged. For future success in the automobile market BMW will have to change from being built in Germany as the advantage to being built by BMW to set this company apart from the rest of the automobile market.
The Spartanburg factory will need to be managed by the top factory managers that BMW currently has. The Spartanburg plant will be immediately faced with a relatively high production capacity and a brand new vehicle that has so many expectations placed on its back. An experienced management team will help add some stability to an unstable project. A smooth roll out of the Z3 roadster will quell some of these fears by potential consumers and help in the transition to the, built by BMW from built in Germany. A rough start at the plant could be extremely damaging not only to the sales of the Z3 but also to the future of the company. The Spartanburg plant is going to be able to produce 300 vehicles a day or 109,500 a year. The factory will be able to handle the demand for the Z3, but for BMW's current lineup it will run into problems if demand increases. The current sales for BMW's current lineup in the United States are 94,500 vehicles. Add the sales of the Z3 roadster which has 9,000 orders pre-booked by December 1995, four months before the actual roll out of the vehicle. We predict with the pre-booked orders during phase one at 9,000 vehicles, the closer to the day the Z3 is rolled out on the showroom floor it will be more likely a customer will be interested in purchasing a vehicle.
With this analysis we believe BMW will sell an estimated 25,000 Z3's in the next year. 25,000 plus the 94,500 equals 119,500 vehicles which exceeds the current capacity of the Spartanburg plant. The demand for their vehicles if it keeps growing at the same pace (12.8% average per year from 1992 to 1995) will hinder BMW's ability to fully take advantage of the plant and the cost savings from moving to the United States.
BMW currently has no competitors in the roadster market, but Porsche and Mercedes will be providing this niche market two new entries very soon. The new offerings from these two companies will be positioned as more expensive higher end vehicles. BMW's lower pricing strategy may end up hurting itself in the future by allowing the Mercedes and Porsche roadsters to be viewed as higher quality and performance machines. BMW's position with its current lineup in the luxury-performance market is not one of middle market positioning, as the Z3 positioning would suggest. This could also have implementations with perception of quality coming from Spartanburg plant. Although the broad appeal of the Z3 roadster should allow it to cross over to a higher priced segment with upgraded product attributes when the time comes. To go along with the current BMW line, an M version could be released with significant performance and aesthetic upgrades.
The dealers will be an integral part of the entire marketing plan. BMW has asked each dealer to absorb substantial costs in renovating their facilities and training. These upgrades to the dealer experience will have a direct effect on the "Total Brand Experience" BMW is striving to achieve. With the introduction of increased competition in the near future BMW must continue to focus on dealership training and incentives to ensure success in the future.
Scope: The release of the BMW Z3 roadster accompanied by the opening of the Spartanburg plant will have a significant effect on the success of BMW as a company in the United States market. The introduction of this vehicle will also have a noteworthy effect on the industry because the success of the Z3 will impact the attractiveness of introducing a similar roadster by other automobile manufacturers.
Alternatives
Short term alternative 1:
Invite major television program and journalist from the major newspaper, like the Wall street journal, the New York Times and the USA today, to the new plant and offer them a guided visit that will take them inside the manufacturing plant and show all the different stage that BMW Z3 goes thru. Visit that will serve as an incentive to write on the Roadster and provide an overlook for the car to the overwhelmed customers that the first phase of the launch reached.
Shot term alternative 2:
In ...
This is a preview of the whole essay
Alternatives
Short term alternative 1:
Invite major television program and journalist from the major newspaper, like the Wall street journal, the New York Times and the USA today, to the new plant and offer them a guided visit that will take them inside the manufacturing plant and show all the different stage that BMW Z3 goes thru. Visit that will serve as an incentive to write on the Roadster and provide an overlook for the car to the overwhelmed customers that the first phase of the launch reached.
Shot term alternative 2:
In association with major TV program and car magazines, launch a diversified number of documentaries that will serve as a historical advertising overview. Showing the German brand made car history and the German knowledge that will be used in the American plant to produce an American made car with a German quality.
Short term alternative 3:
Associate the dealers with the opening of the plant and the launch of the first car, by organizing a large party for them in the new plan. Introducing the new location, where the BMW will be manufactured and showing them the commitment that BMW has on the American market, the dealers would understand the role that they have in the launching process so that they can get more involved and more enthusiastic in presenting the car to the customer which will help make the diffusion of the Z3 more effective and easy.
Long term alternative 1:
Create a BMW club that will start a Z3 roadster car series races all over the country and support members that want to take part into existing sport car races. The club will play a role in building a strong relationship between BMW and its clients and it will enforce the BMW image as the "the ultimate driving machine".
Long term alternative 2:
Launch a nation wide advertising campaign on televisions, radio station and big journals that present the different series of cars that BMW will launch in the near future. Cars from the 3 series to a new upgraded version of the roadster Z3, to keep the enthusiasm that customer had for the Z3 and use it for other product.
Long term alternative 3:
Start to prospect new technologies that would help differentiate BMW's product from the competition by developing strong competitive advantages that send an image of a highly sporty car having a strong horse power engine that preserve the environment. BMW need to seek and locate new strategic possible location, where it can build new manufacturing plant that will be needed to support the future expected demand and to help develop an idea of a global brand.
Strategic Recommendation
SHORT-TERM:
Incorporate mass media into the opening of the Spartanburg plant. Invite television stations, magazines, newspaper reporters, etc. to the grand opening of the plant. Have a huge array of BMW Z3's at the plant at the their disposal. Make the grand opening a weekend event. On Friday, invite bonified investors to the plant where they are able to test drive and "play" with the car. On Saturday, present a press conference to the media about the vehicle and televise the event. On Sunday, give tours of the plant, assembly line, etc., to get everyone familiar with the new plant and the Z3. This strategy works as a double-sided coin. Not only do you promote the Spartanburg plant, but you promote the emergence of the Z3.
LONG-TERM:
The success of a modern enterprise extends far beyond the purely economic aspects. Even more important is finding a balance between economic, environmental, and social goals. This triple bottom line of sustainability serves as the foundation for the long-term success of a company. Sustainability provides the basis for future viability. This applies to the economy and society as much as it does to political decision-makers. It applies even more to an enterprise that is interested in actively positioning itself as a corporate citizen in society and gaining competitive strength. In order to remain profitable and viable for the future, companies have to offer solutions for the economic, social, and environmental challenges of today and tomorrow. Future viability creates value and principles. A premium manufacturer must offer these as well. This is why sustainability management must be important for BMW.
BMW must create and innovate new technology to protect the environment and improve fuel consumption. This will set the Z3 apart from all other vehicles alike. Even though the Z3 has no competition at this time, environmental protection will be a huge advantage to BMW's advertising and marketing campaigns for their future 3,5, and 7 series BMW's. This strategy is consistent with their long-term objective of globalization. As a company active in the international arena, BMW upholds a social, political and ecological commitment around the world, beyond the context of its products and production. By working together to achieve shared goals, industry and government have the power to create a uniquely effective alliance.
BMW needs to follows two key objectives: Reducing average fuel consumption and developing competitive, sustainable products. For BMW, the prospects do not lie in developing vehicles that do not offer clear customer benefits, for example a car that gets nearly 80 miles to the gallon or a super-thrifty vehicle that can travel more than 200 miles on one gallon of gasoline. Electrically powered vehicles based on fuel cell technology do not offer a long-term alternative for BMW due to the disadvantages in the technical concept.
A world without mobility is barely conceivable. Besides being essential to life and evolution, mobility is also a key prerequisite of economic growth and prosperity. Mobility is a basic human need - now more than ever. In this century, BMW must redefine mobility, bringing new levels of personal independence.
However, in doing so, it has severely depleted the Earth's finite reserves of oil, and increased the long-term burden on the environment through the large-scale release of carbon dioxide (CO2). That is why it is imperative that alternatives for tomorrow are researched today, and BMW must develop a technology that represents the future of motor fuel.
This long-term strategic recommendation will help not only the Spartanburg plant, but BMW as a whole. If BMW can prove to their consumers that they have reduced the threat of environmental concerns, they will be able to use this sustainable advantage for future marketing and advertising campaigns. We can imagine it now ... "BMW - The economic and social leader of the past ... The environmental leader of the future."
Launching the BMW Z3 Roadster
Case Analysis
CONTEXT
Environmental Analysis - The environment during this time was heavily influenced by the decline in the motorcycle industry. Because of this BMW's Special Project Group set out to produce a vehicle that would envelope the same emotions and experience as a motorcycle provides to its owner. BMW set out to develop a vehicle for the driver those that wanted to express their individuality. When BMW decided to develop the roadster there were no cars currently positioned for this niche in the market. There were rumors though that Porsche and Mercedes were both developing similar models which would compete with BMW's Z3. Before the production of the Z3 there was only one model that was considered in the roadster class and that was the Mazda Miata. The Miata was a lower priced model and was not be a direct competitor for BMW.
Negatives:
* This was a new market that did not guarantee success for the Z3 project.
* This model strays from BMW's current line of more conservative vehicles. The lower price may cause a negative impact on their current line of luxury/performance vehicles offered by the company.
Positives:
* BMW has produced successful roadsters in the past. This is part of the company's heritage and may invoke emotions in consumers that previously owned or wanted one of those roadsters.
* The niche market they were entering fit BMW's corporate goal of being the best not the biggest.
* Will have the first mover advantage. Mercedes and Porsche are the only companies to be rumored to be working on vehicles to compete with BMW.
COMPETITION
Using Porter's "five forces" model, we can most efficiently analyze the competitive environment of the higher priced roadster market, and BMW's position in it, during the creation period of the Z3 roadster.
Rivalry Determinants - The decline in the motorcycle industry and other vehicles that produce the same emotion and feelings has created a market for the roadster. At the time the only roadster was the Mazda Miata. BMW was looking to create their own niche in the roadster market by producing a high-end roadster with BMW's quality. This segment of the market should provide the most amount of opportunity coupled with the least amount of competition. This portion of the market is new, and as with any newer product, the competition is not yet heavy.
The Z3 roadster has the "marquis" name of BMW attached; a name that has a reputation of luxury and driving excitement. With the first mover advantage and no direct competition the roadster has no real rivals at this point in time.
Entry Barriers - The auto industry is incredibly competitive and demonstrates extraordinarily high barriers to entry. Their strategy of being the best, not the biggest could have a disadvantage in the future. BMW is not as large of an automotive company, such as GM, that produces economies of scale. Although BMW produces more expensive, higher end vehicles, it will have to overcome economies of scale in production and manufacturing exhibited by other automakers. The capital requirements are not a problem for BMW who while not as big as a GM is still a significant player in the auto industry. BMW is a company whose customers are very brand loyal. BMW was smart to have the dealers target their best customers for the opportunity to buy their new Z3 roadster first.
Buyers - Buyers in the roadster market will have tremendous power because of the wide array of vehicles from which to choose. However the Z3 will be faced with even tougher buyer power because its customers will have more disposable income than average. Most of the sources of buyer power can be attributed to consumers as well as industrial and commercial buyers; however, the customers BMW ranged from "Generation Xers interested in unique image statements, men and women in their 40's who expressed a desire "to have the roadster I have been dreaming of all my life," and nostalgic late-Baby Boomers yearning for the roadsters of yesteryear." Common across this diverse segment was the "love of life" mindset and the propensity to seek unique expressions of individuality." This made BMW target a psycho graphic target market instead of the usual demographic target market.
Substitutes - BMW's new Z-3 has several substitutes. In its market there are no competitors yet but Mercedes and Porsche will be producing their new roadsters soon and they will be future competitors. The key for BMW will be to focus in on marketing their brand and take advantage of their first mover advantage. Few companies have as strongly recognized brand as BMW does. The BMW Z3 roadster will have the heritage of the roadsters that were produced before it along with the recognized "Ultimate Driving Machine" tag attached to it. This roadster only seemed fit to reflect the spirit of the company and capture the essence of the brand. The Z3's price range will include entry-level luxury vehicles such as the Acura CL and Mercedes C-class. The current sport utility vehicle segment includes substitutes such as the Ford Explorer, Land Rover Freelander, and Chevy Trail Blazer.
Suppliers - Automotive companies deal with many different suppliers to fulfill their needs. For the Z3, BMW is going to move its operations to Spartanburg, SC in the USA. This may cause them to change its current suppliers that are not located or cannot provide service to BMW in the United States. BMW's current relationship with many suppliers will carry over to the US. The size of BMW makes them very attractive to new suppliers if they are needed.
During the 1990's automobile manufacturers were attracted to the benefits of becoming global. Many different vehicle manufacturing companies proceeded to build and set up plants in the United States. One reason for this was the negative feelings had to vehicles not built in the US. One of BMW's goals was to become a global player in the automotive industry. They wanted to change the built in Germany marquee with built by BMW. This will be the first time they manufacture vehicles in the United States and they may encounter potential problems with the competitive advantage they currently have as excelling in "German Engineering". There is the probability that the demand in the US market may exceed the production capacity from the new plant. These strategies will help energize the dealerships and have them become more dedicated to the brand.
COMPANY
BMW is the world's only multiple-brand automobile manufacturer pursuing a premium brand strategy. Increasing profitability in all business divisions and promoting sustainable growth are essential aspects of the company's intelligent approach to the "premium" concept. Following this strategy, the BMW Group defines corporate targets in the areas of environmental, economic, and social sustainability.
The roadster has always been the purest expression of motoring passion, never failing to set the pulse racing. So it's no surprise that the open two-seater has a long tradition at BMW. In the 1930s, the BMW 328 Roadster was one of the most beautiful and successful sports cars of its day. In later decades, the BMW 507 and the Z1 built on its heritage. Now the revamped Z3 opens a new chapter in BMW roadster history. Combining seat-of-the-pants excitement and state-of-the-art technology, it takes the traditional roadster into the 21st century.
The process of market globalization has lead to many changes. Corporate responsibility now extends to encompass not only the needs of employees, but also the environment and society as a whole. As industry grows in strength and importance, it is also is being called upon to share the benefits of its growth with members of society. The global economic system needs to show a more human face.
In this respect, BMW must ensure that their traditional focus on corporate profits and shareholder value is accompanied by equal concern for the needs of society and the environment. The safeguarding and creation of jobs and commitment to the environment are just as important as innovative, problem-solving expertise and open dialogue. The principle of sustainable business development is synonymous with this philosophy. It is based on the fundamental belief that no generation should live at the expense of successive generations. In recent years this economic principle has evolved into a key factor determining entrepreneurial management. Companies that are committed to sustainability place equal importance on economic, ecological and social concerns in the formulation of their business strategies.
BMW strives to achieve a validation of their long-term, value-oriented corporate philosophy. As a leader of industry, they have firmly committed themselves to applying principles of sustainability in all efforts devoted to the increase of company value. BMW will continue to make real contributions to the search for solutions to tomorrow's problems. BMW's aim is to develop local and global perspectives of the future, and to meet the expectations placed on the corporation. In its fulfillment of environmental, social and political responsibility, at every location around the world, BMW seeks to set an example of corporate responsible commitment.
CUSTOMERS
Fundamental changes are taking place in the relationship between politics and business. Industry is called upon to contribute its know-how, innovative drive and problem-solving expertise towards improving the future prospects of its locations around the world. With this in mind, BMW supports the aim of extending partnerships between national governments, globally active companies and society. The objective is clear: to achieve a high level of social security and environmental protection, hand-in-hand with economic growth and competitiveness in the international marketplace.
Based on BMW's motto "We take on responsibility," these core factors contribute to their mission, vision, goals and enterprise strategy:
* Enhance safety on the road,
* Deepen intercultural understanding worldwide and combat violence, with programs on intercultural learning,
* Provide equality of opportunity for highly gifted children
* Achieve understanding and mutual trust within the local communities of their production locations
We have selected these focus points for its social involvement because they are in keeping with corporate culture and goals. They apply at all locations where BMW is represented: after all, corporate culture can only take effect on the outside if it is a reality within the company.
The people that make up BMW act as the guarantor of their business' global success. Employee focus is a prerequisite of employee value. Employee value in turn is an important component part of their growth strategy. Which is why BMW has developed a diverse array of tools to ensure their employees become better qualified, more motivated, and can benefit from a greater share in the success of the business.
BMW remains faithful to the ultimate driving machine philosophy. This is an integral aspect of the sustainable mobility concept. An environmentally compatible automobile must comply with today's standards of comfort, performance, utilization, and safety while paying close attention to consumer needs and preferences. This is the key to market success. Even when gas prices are relatively high, low fuel consumption alone does not provide a sufficient incentive to buy a new car.
What makes a company successful? The people who work there make all the difference. Through their skills and performance, their employees contribute directly to the success of BMW. This philosophy forms the core of their company's value-oriented personnel policy, something that has a long tradition at BMW. Working as a member of BMW means meeting the high standards of a premium automobile manufacturer and sharing a spirit of enthusiasm for the brand name and the products. It also means high quality work, a willingness to learn, and versatility on the job. Most importantly, it means contributing to the continued success of BMW in keeping with the company's approach to sustainability.
COLLABORATIONS
After the pre-launch campaign of the new BMW Z3 Roadster, The BMW North America, Inc., team must design a Phase II communication strategies for its launch. The program follows a pre-launch campaign that used traditional and non-traditional marketing element. For its first phase BMW focused on different non-standard ways to introduce a product that need to be seen as unique. For that the marketing team focused on a movie placement effect for their Z3. In the year of 1995 a final deal was sealed with the MGM studios which would allows BMW to introduce the new roadster, using the new Goldeneye movie to a segment of the BMW targeted Market: The viewers of the James Bond films.
After the deal with MGM, BMW launched a promotion in the Neiman Marcus catalog that offers a limited edition, James Bond Roadster. An offer, that had a big success and which created a long waiting list of potential customers.
In fact the collaboration between MGM and BMW for the Goldeneye movie served as a key that open the door to a multitude of sources to present the roadster to the public. Using the big hit movie, The Z3 BMW find itself invited to the Jay Leno Tonight show with the opportunity of reaching the big audiences that the program has.
In addition, a conjunction with a Radio DJ program and a video production company, offered BMW the use of a radio program and a video clip:" Go an American Road Story", to advertise its Z3 roadster.
With all these different channels, and the success that Goldeneye had in the box office, BMW was able to motivate its dealers and get them started on the task for which they were not enthusiastic: Promoting the Roadster. The dealers were presented with a challenge that was not easy for most of them, but the success of the first phase of the launch helped the company to create a better environment that made the dealers objective of attracting the customer easier.
In fact the dealers represent the point from where BMW can get to the customer, which makes them an important key partner in the marketing process. For its second phase BMW inc. has to rely on a dealer partnership for a better campaign that would create a need for the Roadster category. For that, the success of phase I in the launch helped to gather a strong marketing data that helped better define the target market. The information collected on the first customer, who ordered the BMW Z3 Roadster, offered a source of information to be used to develop the phase two of the marketing campaign.
The success of using collaboration channels helped BMW to well manage it's advertising cost and allows the company to have one of the lowest cost on advertising per unit sold (See Exhibit 1). This success was to provide the dealers with a list of orders stating the customer specification and addition they want in their future cars. For that the firm was able to use its new Spartanburg plant in South Carolina, to reduce the waiting time at the dealers and offer a quicker access to the product for the dealers. Accesses that offered the opportunity to increase the performance of its distribution channel and offer a quick response to the customer requirements.
ALTERNATIVES
* BMW must get involved in social programs wherever they are happening in the world. They must make them their own concern. Financial support is not the key here, since it would only bring about a short-lived relief of the problems, but active personal commitment using all the resources at BMW's disposal.
* Reduce vehicle exhaust emissions
* The collaboration between workforce and management in BMW rests on mutual trust and a mature partnership. Their culture of trust demands individual responsibility, self-organization and flexibility - with a maximum amount of continuity. Their associate and leadership model is a cornerstone of this, both setting out requirements and providing direction. This model supports team and process-oriented co-operation. It encourages personal responsibility, self-reliance, and approaches change as a form of opportunity. BMW must adopt these criteria, and set the goal of increasing collaboration with the trust and approval of both sides. This is an ambitious goal that will provide a springboard for the success of the whole company.
* Flexible working hours and modern workplace management increase both employee value and, as a result, the competitive advantages enjoyed by BMW. In total BMW can offer up to 300 different working hour arrangements. This way, workers can enjoy the luxury of a four-day week - without any attendant loss of earnings.
* Obtain maximum benefit from each carrier
* Conserve natural resources
* A clear turning point in the evolution of knowledge exchange and staff development is the emergence of the online learning market. The key here is the intranet, the "electronic marketplace" for learning services that is attracting an ever growing number of users.
* The success of a modern enterprise extends far beyond the purely economic aspects. Even more important is finding a balance between economic, environmental, and social goals. This triple bottom line of sustainability serves as the foundation for the long-term success of a company.
* Eliminate/reduce waste
* Reducing average fuel consumption and developing competitive, sustainable products.
* Reduce transportation costs and the space required for vehicles
* Long-term preservation of quality of life and economical use of personal transportation
* Instead of following the trend of packing knowledge into electronic databases, BMW must pursue a long-term strategy focusing on the promotion of a knowledge culture. This approach should be based on the principle that a knowledge culture creates the basic conditions to support BMW employees have to make better use of internal and external information.
* Another focus of attention is on the preparation and organization of communication platforms to ensure that experiential knowledge can flow beyond the limitations of departments and company plants.
* Start a BMW Z3 club
* Invite all current BMW owners to a huge gathering and celebrate the Spartanburg plant opening
* Enroll the Z3 in touring car series races to enforce the "ultimate driving machine image"
* BMW newsletter to current customers showing updates on all products including the Z3
* Prime time TV event showing the first Z3 coming out of the Spartanburg plant and being delivered to the first customer.
* Giveaways of Z3's at golf tournaments for hole in ones and at other sporting events.
* Coming soon billboards on the side of major interstates in metropolitan areas
* Print ads in the Wall Street Journal, USA Today, and NY times.
* Direct mail campaign targeted at current BMW owners and target demographics.
* Use the Z3 in a popular TV show. Similar to the Ferrari in Magnum PI, Firebird in Knight Rider, and Dodge Challenger in Dukes of Hazard.
* Make the grand opening of the plant a huge party event with celebrities, sports stars, etc.
* Drive a Z3 across country for charity.
* Develop an advertising campaign similar to Icehouse beer to have the consumer develop an advertising slogan.
* Create a BMW documentary to help gain interest in the company. Play this on Speedvision and TLC.
* Start a roadster challenge driving series, similar to what dodge did with its neon.
* Traditional TV and Radio ads depicting the Z3 as the ultimate driving machine and enforce its goal of globalization.
* Put BMW Z3's in malls across the country.
* Run advertisements on the benefits of their Spartanburg plant.
* Let Car and Driver and Motor Trend magazines keep the Z3 for a long-term test in their magazine.
* Use interactive commercials with different endings, answers to questions, or opportunities to win BMW gifts if you go to their website with a password found during the commercial.
* Come out with a special edition Z3 and offer only one of them in a contest. To enter the contest you have to get a certificate for test-driving the Z3. This will get potential customers into the dealerships.
* Show off the Z3 along with future vehicles in the major car shows.
* Make the grand opening of the plant a big party, inviting journalists TV program producers, dealers and even actors like Pierce Bronson and the actor who played Dr. Q role.( which would helps to views the new plant as the Q's laboratory were the Z3 was developed).
* Organize a nationwide race for old roadsters from the 70's, with BMW as the organizer and the sponsor.
* Invite journalist and TV program producer to the new plant in North Carolina and offer them assistance and incentives to make programs on the new plant.
* Launch a competition between different advertising agencies to create a nationwide advertising plan that will come out with a slogan for the BMW's cars.
* Launch a strong advertising plan on television, radios and sport program to support the launching of the car.
* Invest on some new technologies to create new version of the Z3, versions that will be less fuel consuming and more environment protecting.
* Emphasize on traditional ways of advertising and marketing the car, since the first phase was using no-traditional tools.
Year
US Unit Sales (thousands)
Worldwide Unit Sales (thousands)
US % Sales
984
70.9
434.0
6.34%
985
87.9
440.7
9.95%
986
96.8
446.1
21.70%
987
87.8
461.3
9.03%
988
73.3
484.1
5.14%
989
64.9
523.0
2.41%
990
63.6
525.9
2.09%
991
53.3
552.7
9.64%
992
66.0
588.7
1.21%
993
78.0
534.4
4.60%
994
83.8
573.9
4.60%
995
94.5
590.1
6.01%
Total
920.8
6,154.9
4.96%
996 Projected
05.2
N/A
N/A
Launch By Support Dollar
Launch By Quarter
2
