Background
The success of any business depends on how the marketers popularise its goods or services to attract customers. Most investors believe that it is necessary to invest in a robust, reliable and efficient marketing strategy regardless of how it will cost their businesses. The automobile industry has gained popularity in the last three decades due to the massive population seeking to own vehicles (Coyle, 2010).
Companies like Toyota, Nissan, Peugeot, Mitsubishi, and Isuzu, have enjoyed an undisturbed supply of their products to the market. However, there is a unique market of sophisticated vehicles manufactured for leisure and are commonly used by wealthy people in the society. Maserati and Porsche are very expensive cars that cost owners a lot of money yet they cannot be used to generate income (Flichy, 2009). This discussion examines how Maserati and Porsche employ different marketing strategies to attract customers and control markets.
Business Orientation
Maserati has a unique business orientation marketing strategy that focuses on market orientation. The company does not have plans to influence all car lovers to buy its products. Its marketing strategy aims at ensuring only those who can afford this automobile buy it. This means that the company knows it has a limited market and the majority of the population cannot afford it (Goolsbee, 2013). The price of its vehicles is high, and only the lucky and richest in the society can afford them. On the other hand, Porsche is a luxury car but not as expensive as Maserati. This company knows that not all people can afford expensive luxury vehicles, and that is why its business orientation strategy is sales oriented.
Utilisation of the Environment
Porsche has taken advantage of the high demand for luxury vehicles by the middle class. Therefore, its automobiles are cheaper and affordable, even though, this does not mean that every person can afford them (Thompson, 2014). On the other hand, Maserati has not paid attention to the existing environment. Most people cannot afford Maseratis unless they are super-rich like celebrities or politicians. The marketing strategy used by this company does not consider the market environment.
Customer and Consumer Awareness
The marketing strategy employed by Maserati does not address the needs of consumers. This company targets the rich people in the society. However, these are very few and isolated, and this means that this company spends a lot of money in manufacturing expensive vehicles that reach a small niche. On the other hand, Porsche has a friendly and affordable marketing strategy that targets a higher number of customers compared to Maserati.
Market and Marketing Research
Economists argue that Maserati did not conduct an effective market and marketing research to identify effective ways of promoting its products. This company operates on the assumption that its automobiles are high class and thus must attract people. However, Porsche does not waste any opportunity of reaching out to the market and promoting the popularity of its products. It has the most expensive vehicles, but the average income earners can also get a good car at a cheaper price.
STP Practices and Marketing Mix
The marketing practices of Maserati show there was a weak segmentation, targeting and positioning model. Most of its products are durable and not replaced easily. In addition, they attract the richest population in the world, and this means that these cars are rarely replaced (Mackey, 2011). On the other hand, Porsche identified a market segment that had money but not enough to buy the most expensive vehicles. Therefore, it designed cheaper Porsches to enable the middle class to enjoy the fun of high-class vehicles at a cheaper price.
Product Strategy, Pricing, Promotion, and Distribution
Maserati targeted the wealthy population that is located in developed countries, especially those living in the United States, United Kingdom, and UAE regions. In addition, the marketing strategy employed targeted a small population that cannot be influenced to buy a product. Most rich people are conservertists and prefer traditional practices to new ones. The pricing of Maseratis discourages ordinary people from buying or planning to own one in the future. These vehicles are distributed mostly in developed nations with a few pockets in other regions. Porsche is a car meant for all people that earn good salaries and want a cheaper luxury vehicle (Frank, 2008). This marketing strategy employed by Porsche ensures its products are evenly distributed in most regions.
Service Performance
The services offered by these two vehicle companies are similar. Both are luxury cars that cost people a fortune to own them. Their manufacturers wanted to introduce luxury vehicles that can be used away from the busy daily activities of the office and urban centres. The marketing strategies employed by these companies ensure their clients get maximum satisfaction, safety and happiness (Chomka, 2012). Most owners of high-end vehicles prefer those that offer comfort, security and happiness as they relax and tour other parts away from their businesses and normal environment.
Penetration into International Markets
It is not easy to penetrate into an international market that is already saturated with similar products. Porsche and Maserati use different marketing strategies to attract international clients. For instance, Porsche focuses on offering luxury vehicles that are cheaper compared to others that cannot be afforded by most people (Falcone, 2013). On the other hand, Maserati offers durable and uniquely designed luxury vehicles. Therefore, individuals who prefer stylish and classy vehicles will buy Maseratis while those who want cheaper yet high class will go for Porsche. However, these two companies use celebrity endorsement marketing strategies to promote the popularity of their products in international markets.
Implications
The marketing strategy employed by Maserati limits its abilities to explore new markets and attract middle-income earners (Levitt, 2005). In addition, these approaches deny this company the opportunities to explore other models that are cheaper and which will attract more customers. Therefore, Maserati may experience resistance when expanding its market into new regions like Asia and Africa. On the other hand, Porsche’s marketing strategy was a success because it focused on the middle-income earners (Spyker, 2013). However, its vehicles are still expensive, and only a handful of people can afford them.
Recommendations
Maserati should stop focusing only on the wealthy population and start manufacturing cheaper vehicles. In addition, it should focus on other regions apart from the United Kingdom and United States. On the other hand, Porsche should expand its market by manufacturing cheaper vehicles that ordinary people can afford. These companies should conduct market research to identify the needs of the population. In addition, they have poor market segmentation strategies that limit their focus. Maserati should invest in publicity campaigns to promote its products and dispel fears that it concentrates on making the rich happy and ignoring other people. Porsche should intensify its marketing efforts to maintain its existing markets and create new ones.
References
Chomka, S 2012, Business Profile: Understanding the Automobile World, McGraw-Hill, New York.
Coyle, D 2010, The Soulful Science: What Economists Really Do and Why It Matters, Princeton University Press, New Jersey.
Falcone, P 2013, The Performance Appraisal Tool Kit: Redesigning Your Performance Review Template to Drive Individual and Organizational Change, Prentice Hall, New Jersey.
Flichy, P 2009, Dynamics of Modern Marketing: The Shaping and Impact of New Communication Technologies, Sage Publishing, New York.
Frank, R 2008, The Economic Naturalist: Why Economics Explains Almost Everything, Virgin Books, New York.
Goolsbee, C 2013, Microeconomics, Worth/Macmillan, New York.
Levitt, S 2005, Freakonomics: A Rogue Economist Explores the Hidden Side of Everything, Allen Lane, London.
Mackey, K 2011, Technology in Automobiles: The Impact of Science on Technological Development and Modern Battle, Simon and Schuster, New York.
Spyker, S 2013, Technology and Marketing: How the Information Revolution Affects Our Lives, Skylight Paths Publishing, New York.
Thompson, R 2014, Crafting and Executing Strategy: The Quest for Competitive Advantage: Concepts and Cases, McGraw-Hill, New York.