Free Price Strategy for Ford Mustang Essay Sample
Ford Mustang fifth generation is the latest version of the car model manufactured by the Ford Motor Company. Due to the high invention and competition rates within the motor industry a company needs to make and maintain a significant market percentage in order to make itself a force of recon. The Ford Company is already a renowned market brand. The Ford Mustang is a high end machine thus the company should focus its marketing to the high end customers and strive to sell the maximum number of units possible. . This vehicle is an epitome of power, looks, performance, class, efficiency, comfort, all what high end clients in the modern world are looking for. This is the features that will sell the car.
Initial client targets should be of the high end markets, clients who stop at nothing to get a powerful car that will make a statement. During the introduction stage, the primary goal is to establish a market and build primary demand for the product. This is done in order to demonstrate the unique aspects of a firm's product and create a sense of value. The term unique selling proposition refers to advertising to communicate a product's differentiation. Initial marketing should therefore focus on the new and added unique features of the new Ford Mustang to introduce to the clients what benefits they would get in the car that's in no other on the market today. The company should offer limited numbers of the car model to the market to entice serious and competitive buyers. The price of the car should factor in all the production costs and a fair profit margin for the company. It would not be necessary to offer a lower introductory price in this case since a sizable market share is held by the company. The car should be introduced in select markets e.g. America and Europe only with later availability in other markets.
The car's product life cycle will not necessarily affect the number of units sold or how long it remains in the market. The initial marketing strategy focuses mainly on initial high sales of the available limited car units, customers will be eagerly waiting to grab the car once markets open. Buyers' loyalty will also be a plus for the company since Ford already has a client base and some of these customers are eagerly waiting for the new models from the company. A differentiation strategy is appropriate where the target customer segment is not price-sensitive, the market is competitive or saturated, customers have very specific needs which are possibly under-served, and the firm has unique resources and capabilities which the company will be able to satisfy in ways that are difficult to copy. All these points will be properly covered by the new Ford Mustang thus ensuring that all the needs of the market are available in the car.
After the initial introduction of the product and a quality level established, the growth phase commences. Product quality is maintained and additional features and support services may be added. Pricing is maintained as the company enjoys increasing demand with limited competition. Extra markets are opened to cover extra demand as more customers accept the product. Promotions on the car are not necessary to have yet as sales still are at an acceptable high. At the maturity stage competition may appear with similar products but by then the Ford Mustangs will have either sold out or the company may opt to release the same model of the mustang but with a few extra features to make it stand out of the rivals competing brands.
Proper and initial marketing of the Ford Mustang will ensure that its entry into the market will be awaited expectantly by potential buyers and once markets open then its sales volume will be maintained for as long as units are available. Marketing should be focused mainly on the new features of the car that are new to the motor market and that no other company has yet. This will ensure initial high sales volumes and maintained loyal clientele whilst ensuring the company remains and upholds its brand in innovation and performance vehicle market.