Marketing plan for “HOLDEN COMMODORE” Executive Summary: The company which I have chosen is Holden and the product is Commodore. Holden is the Local Company of Australia. This company had successfully completed its 60 years last year in 2008. And at this occasion company had launched the limited edition of Holden Commodore SS V-Series 60th anniversary. The marketing planning is done on the basis of the information provided by the company on the websites, news articles, broachers and journals. This marketing plan covers all the information like mission statement of the company, the situation analysis of the company and the product.
The analysis is done both with the internal and the external environment taking into consideration the market, and various environments like the competitive, economic, socio-cultural, political, technological and demographic. Later in this marketing plan SWOT analysis of the company is done and the critical issues have been discussed. A study of marketing objectives and marketing strategies such as target markets, product strategy, pricing strategy, promotion strategy and distribution strategy of the company and the product is also done in the plan.
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And at last recommendations for any change in the company strategy and plan is given along with the implementation plan. The company has been the Australia’s top car selling company and Commodore has been the top selling car in Australia from 1996. As the company is the local company of Australia it has a good dominance over the market in the country and people also rely on the company very much. Holden basically comes under General Motors, and which ever car is exported outside Australia by this company is tagged under the brand name of Chevrolet and other brands of General Motors.
Now the company is deciding to enter the international market with its own brand name and also many researches are going on within the company to make hybrid cars for the future. TABLE OF CONTENTS S. NO TOPIC PAGE. NO 1 EXECUTIVE SUMMARY1 2 TABLE OF CONTENTS2 3 INTRODUCTION4 4 MISSION STATEMENT5 5 SITUATION ANALYSIS6 a. INTERNAL ENVIRONMENT6 i. PRODUCTS6 i. FINANCIAL & NONFINANCIAL SITUATION8 iii. CHANNELS8 b. EXTERNAL ENVIRONMENT9 i. MARKETS9 ii. COMPETITIVE ENVIRONMENT9 iii. ECONOMIC ENVIRONMENT10 iv. DEMOGRAPHIC ENVIRONMENT11 v. SOCIO-CULTURAL ENVIRONMENT11 vi. POLITICAL ENVIRONMENT11 vii. TECHNOLOGICAL ENVIRONMENT12 c. SWOT ANALYSIS13 d. CRITICAL ISSUES13 6 MARKETING OBJECTIVES14 7 MARKETING STRATEGIES14 a. TARGET MARKETS14 b. PRODUCT STRATEGIES14 c. PRICING STRATEGIES15 d. PROMOTION STRATEGIES15 e. DISTRIBUTION STRATEGIES 15 RECOMMENDATIONS FOR CHANGE 16 9 IMPLEMENTATION PLANS 16 10 REFERENCES 17 A APPENDICES 19 Introduction: The company which I have chosen for the marketing planning is the Holden, Australia. And the product is Holden Commodore. Holden is an Australian local automobile company which comes under General Motors, which is an American company.
The present Chairman and Managing Director of the company is Mr. Mark Reuss. The name “Holden” is much older than the car company. In 1856 a leather and saddlery business was established by “James Alexander Holden” in Adelaide. From then onwards this name become famous. The “Lion and Stone” logo was designed by “George Rayner Hoff in 1928. At present holden manufacturing plants, showrooms and service centers are located all over Australia, and have a good dominance over the market of Australia. The main business of this company is manufacturing and supply of cars, engines and automobile parts (holden, n. a. ).
Holden cars and engines are also exported outside Australia but under the brand name of Chevrolet or other brand names of general motors. At present more than 13,500 employees are working with Holden. Holden not only specializes in cars but also built engines. The other companies which are associated with Holden are: Holden Special Vehicles; Holden Leasing; Saab Australia (holden, n. a. ). This company has been Australia’s top selling car company and the product which I have chosen for the marketing research “Holden Commodore” is the top selling car of the country since 1996. Commodore comes in different variants and models.
This company has completed its 60 years in 2008 and on this occasion the company had launched the limited edition of Commodore which is Commodore SS V-Series 60th anniversary (drive, n. a. ). Mission Statement: “Our vision is to be Australia’s most successful automobile company with a passion for excellence and absolute commitment to the customer. ” (holden, n. a. ). Situation Analysis: a. Internal Environment: ??? Products: Holden’s main products are: Passenger Vehicles: Holden Commodore range Holden Caprice Holden Statesman Holden Calais Holden Berlina Holden Sports wagon range Holden Astra range Holden Viva Holden Barina Holden Epica
Sports Utility Vehicles: Holden Captiva Light Commercial Vehicles: Holden Ute Holden Crewman Holden Colorado Holden Combo Engines: Global V6 Gen 4 V8 Family II four cylinders. Holden Commodore also has a wide range of cars. These are Commodore Omega, Commodore SV6, Commodore SS, and Commodore SS V-Series. Commodore SS V-Series is the latest and the limited edition car of Holden which was launched in 2008 when Holden completed its 60 years. This car consists of the latest technology which is provided by Holden in the present stage. Holden Commodore SS V-Series Specifications: Standard Features: ??? 270kW 6. 0 lit. Generation 4 Alloy V8 engine. 6-speed manual transmission or optional. ??? 6-speed automatic with Active select. ??? Electronic Stability Program incorporating. ??? Anti-lock braking system (ABS). ??? Electronic Brake Assist (EBA). ??? Traction Control System (TCS). ??? 6 Safety Airbags. ??? 230 watt 6-dics MP3 compatible CD system with auxiliary input jack. ??? Front and Rear power windows. ??? Embroidered SS leather sports seat inserts. ??? Sports profile leather wrap steering wheel with illuminated controls. ??? Alloy faced pedals. ??? 6. 5″ color centre LCD screen. ??? Dual zone electronic climate control. ??? Projector Headlamps. ??? Sports body kit with fog lamps. ??? Sports Suspension. Quad exhaust outlets. ??? Bluetooth for compatible mobile phones. Additional Features: ??? 20″ ten spoke HSVi alloys. ??? Electric tilt and slide sunroof. ??? Rear park assist. ??? Distinctive chrome surrounds exterior door handles. ??? High mount rear spoiler. ??? Commemorative 60th anniversary floor mats and decklid badge. The car is basically designed for the sports segment and it is an ideal ride for the youngsters and the speed lovers. This cars recommended retail price is $54,290. (Note: All the information which is given above for this vehicle is taken from the latest broachers from the company). ??? Financial and non financial situation:
Holden, though this company is Australia’s local and largest car producing company still it is not in the profitable situation, because of the parent company General motors is facing a tough time and going through losses. Holden at present have 5 manufacturing plants all over Australia, it has 310 authorized stores and 12 authorized service centers all over Australia. The company has more than 13,500 employees working under this brand. And it is planning to enter the international market with its own brand name; this will be helpful in leading the company to profits and also to improve its financial situation (conceptcarz, n. . ). ??? Channel: For a successful marketing channel it’s very necessary that a collective decision making of the members of the organization should be there. A healthy understanding among the workers of the organization is also necessary for a successful marketing channel. It was observed that different types of customers, enthusiasm, awareness about the product and their aptitude towards the product have a great impact in the channel influence and it makes them very important to be added in the further research (Ravi and Louis, 1988).
Holden, Australia’s number one car company has an effective and successful marketing channel and to make it more effective and customer friendly the employees of the organization should work hard to make more and more customers satisfied or else the company’s position and situation can be misbalanced. b. External Environment: ??? Markets: Holden is the Australian local market company. Its supply of the cars is only for the local market of Australia. The cars which are exported outside Australia, comes under the brand Chevrolet and many other brands of General Motors.
Today, both the variants of Commodore, Statesman, Caprice and Ute are exported to every continent except Antarctica, under the brand name of Chevrolet. Only the engines made by Holden are exported outside Australia. The main countries which import the engines made by Holden are: Germany, Sweden, South Korea, Thailand (import Global V6 engine) and South Korea, China, Thailand, South Africa (import Family II four cylinder engine). According to the latest information the total numbers of engines which are exported outside Australia to these countries in the year 2008 are 211,000 (holden, n. a. ).
Holden is Australia’s number one automobile company, and it is seen that the customers also rely on this brand. ??? Competitive Environment: As we all know Holden is Australia’s local car manufacturing company. And it has its own production units all over Australia. Because of this, the company gives a tough competition to the other car companies in Australia. The company’s manufacturing units are in Fishermans Bend, Dandeong and Lang Lang (in Victoria), in Elizabeth (in South Australia) and in Adelaide. The company’s sales offices are located at Victoria, NSW, South Australia, Queensland and Western Australia.
In Australia Holden has 310 authorized stores and 12 authorized service centers. Being a local Australian company now the company is moving forward to launch in the international market, till now the company cars which were exported outside Australia were branded under the name of Chevrolet but now it is planning to launch under its own name (conceptcarz, n. a. ). Holden Commodore is one of the top selling cars in the country since 1996. It also has a wide range of models under this name. This car is made for the customers for all ages, and it is seen that it is accepted in the market very well.
It has both options the luxury (Omega) and the sports model (SV6, SS, SS V-Series), because of this wide variety it is very famous in the Australian market, and gives a big competition to all other cars of this range (holden, n. a. ). Holden Commodore SS V-Series main competitor is Ford Falcon XR8 and XR6 Turbo, both costing around $51,330 and $46,405 respectively. But as the Holden is a local company, customers rely much on Holden, which makes Holden Commodore the top selling car of Australia (drive, n. a. ). [pic] (Holden Commodore) (Ford Falcon) Economic Environment: The economic environment deals with the sectors like purchasing and spending power of the customer. The purchasing and the spending power of the customer fully dominate the market, and one should launch its product according to this factor. The income factor divides the market into different segments, according to the customers will to spend. Marketers should always check the latest trend in income and the pattern of spending of the consumer (Kotler. P, 1998). Here in Holden, it provides many products of different ranges according to the customer demand in the market.
Alone Commodore only has different variants in the market having different ranges. A Holden Commodore ranges from AUD 41,790. 00 to AUD 54,290. 00. It is done according to the customer demand in the market (holden, n. a. ). And as the Australian Economy is the fast growing economy and the competitors are very few in the market against Holden, it will be easy for Holden to expand and make more business within the country in future. ??? Demographic Environment: Under the demographic environment the sectors which are generally taken are geographic distribution, population, gender, age (Kotler.
P, 1998). Under these factors the age factor mainly influences the market. The age factor divides the market according to the taste and the liking. E. g. A boy or a girl of age 20- 35yrs, will definitely like the sports model of the commodore, where as the people above this age group will go for the luxury model. Hence, due to this demographic environment the market is segmented into different categories (Kotler. P, 1998). It is observed that Commodore is majorly famous among the youngsters. The percentage ratio of different age groups is: ??? 18yrs. – 35yrs. = 45% ??? 35yrs. – 50yrs. = 35% 50yrs. and more. = 20% (Refer appendix ??? 1. 0) ??? Social and cultural Environment: The social and cultural environment generally deals with the people values perception and behavior (Kotler. P, 1998). In the selection of a car this environment doesn’t have much of an importance. Because while selecting a car nobody is bounded by his traditions or cultures, anybody can choose any type of car depending on his personal interest and power to spend. ??? Political and legal Environment: Political and legal environment deals with the government, laws and the influential groups of a country (Kotler.
P, 1998). And as Australia is a single local market company, Holden has a great political government support. This company is not only Australia’s number one car manufacturing company, but it also had employed more than 13,500 people in Australia. This is the main reason that Australian government supports Holden. Former Prime Minister Mr. Kevin Rudd had declared that the Australian Government would sponsor $150 million to Holden Adelaide plant for the creation of a new fuel-efficient car (abc. net, 2009). ??? Technological Environment:
In this technological environment the main things with which we deal are the daily inventions that are taking place around the world. Only because of the technology, today we have cars, computers, TVs, refrigerators, etc. It is always seen that every time the old technology is replaced by the new ones (Kotler. P, 1998). Today it is very much common in the field of computers and automobiles. Each company has to update itself time to time so that it can compete with its competitors. In the case of Holden, it also has the latest technology and its R department is regularly working on the future technology.
Holden’s second carline will be launched in 2010 and Australian Federal and South Australian Government are helping the company in this case. Holden is also researching on the start-stop hybrid technology and hybrid cars which can run on E85, and CNG. Holden had already launched Commodore in the LPG variant; the model which is available in the market is Commodore Omega. Mr. Reuss, Chairman of Holden said that this project will be very helpful to the economy and it will generate around $70 million to $80 million in wages and salaries and around $30 million in R&D (holdencampaign, 2008). c. SWOT Analysis: STRENGTHS Australian Local Company. ??? Exclusive brand name. ??? Competitive cost. ??? Variety of products. ??? Available to all age groups. (18+) WEAKNESSES ??? Research consumes more time. ??? The cars produced are only for the Australian Market (under this brand name). OPPORTUNITIES ??? Local Market. ??? Researches carried out continuously. ??? The product differentiation in the market. ??? Products updated time to time. THREATS ??? Entrance of foreign car companies in the market. ??? More Companies, More Competition. ??? The market is limited. d. Critical Issues: Critical issues if we talk about Holden are the product differentiation and cost differentiation.
In these two issues the product differentiation matters a lot, because now a day’s competition is so high that every company has launched a type of car in every segment and with comparable cost with other cars. The only thing that distinguishes your product is its specialty (Sidney. S, 1986). Marketing Objectives: ??? To successfully launch the product in the international market as it is in Australia. ??? To have a dominance over the market. ??? To deal with the latest technology. ??? Product differentiation strategy. ??? Meet all sectors of people. ??? Awareness about the product. ??? Increase in turn over. Marketing Strategies: . Target markets: Holden Commodore target market is all over Australia. It targets people of all age groups. Holden Commodore is also used by the Police Department of Australia. Now its future planning is to capture whole world. In present also the Holden Commodore is exported to many parts of the world but under the brand name of Chevrolet. But in future the company is deciding to export Commodore under its own brand name (holden, n. a. ). b. Product strategies: The product for the marketing planning is Holden Commodore. It is a car with the latest technology, which is provided in the very few other cars around the world.
The car is made for all type of age group. It is car which fulfils all your demand of luxury, comfort, and latest technology. Being the local company of Australia, the car is much more reliable than other cars present in the Australian market. c. Pricing Strategies: The price range of Commodore starts from $38,290 up to $54,290. It comes in four models with a wide range of accessories and additional options, which makes it competitive in the market against the other car model of other companies in the same range (holden, n. a. ). d. Promotion Strategies:
For the promotion of Holden Commodore, company had done quite a lot of things, like placing hoardings and banners in the public places and sides of the roads, use of media like advertising on televisions, use of internet launching their own websites with full information about the products so that it can easily reach to the customers. A customer can ask for a test drive of any of the models of Commodore, before purchasing it. He can call in the showroom or place his request via e-mail, and in within few hrs. the sales representative along with the car will visit your place for the test drive (holden, n. . ). One of the most successful strategies is giving discounts or having some offer on the purchase for a particular period of time. These types of strategies attract customers towards the products. e. Distribution Strategies: As the Holden is a local company and its manufacturing plants are situated within Australia, it becomes very easy to for the company to distribute the cars easily within Australia. It has around 310 authorized stores all over Australia, which helps it to distribute its products (Cars) easily in whole Australia (conceptcarz, n. a. )
Recommendations for change: As per the changes, there is no such change required, but the company has to work very hard to maintain its position in the market. The company has to update its products time to time and should also check the demand of the customer, only then it can secure its position and be Australia’s number one car manufacturing company. Implementation plan: ??? Company should start its new carline as soon as possible. ??? Regular researches should be made to launch new products. ??? Company should enter the international market as soon as possible. Company should develop new strategies to enter the international market. ??? Company should introduce new attractive offers for the customers to increase the sales of the product. References: ??? ABC News. (2009). Global Financial Crisis. Available: http://www. abc. net. au/news/stories/2009/02/19/2495704. htm. Last accessed 28 Feb 2009. ??? Company Profile Overview. Available: http://www. holden. com. au/www-holden/jsp/corporateinfo/companyprofile/companyprofile. jsp. Last accessed 23 Feb 2009. ??? Environment and Community Overview. Available: http://www. holden. om. au/www-holden/jsp/environmentcommunity/environmentcommunity. jsp. Last accessed 24 Feb 2009. ??? GM Holden. (2008). GM Holden to build small carline alongside best-selling Commodore. Available: http://www. holdencampaign. com. au/greatnews/ Last accessed 26 Feb 2009. ??? Holden Commodore Sedan. Available: http://www. holden. com. au/www-holden/action/vehicleentry? vehicleid=4. Last accessed 27 Feb 2009. ??? Holden History. Available: http://www. uniquecarsandparts. com. au/history_holden. htm. Last accessed 23 Feb 2009. ??? Holden History. Available: http://www. onceptcarz. com/view/makehistory/62,0/Holden-History. aspx. Last accessed 27 Feb 2009. ??? Kotler, P (1998). Marketing. 4th ed. Sydney: Prentice Hall Australia Pty Ltd. ??? McKinnon, B. (2006). New Car Road Test. Available: http://www. drive. com. au/Editorial/ArticleDetail. aspx? ArticleID=11205&vf=1. Last accessed 27 Feb 2009. ??? Ravi. S, Stern. L. W. (1988). “Environmental Determinants of Decision Making Uncertainty in Marketing Channels. ” JMR, Journal of Marketing Research. 25 (1), 36. ??? Sidney. S, 1956, “Barriers to New Competition”, Journal of Marketing, 21, pg. 88 A. Appendices: 1. 0Percentage of Buyers according to Age Group. [pic] (holden, n. a. ) 1. 1Population Growth in Australia. [pic] http://www. abs. gov. au/ausstats/[email protected] nsf/mf/3101. 0 Figure 01: Holden Logo. [pic] Figure 02: Holden Commodore. [pic] Pictures: ??? Holden Commodore. http://www. autospectator. com/uploads/Holden/2007/VE_SS_V/Holden_VESSV. jpg ??? Holden Logo. http://www. jch. com. au/Holden%20Logo%202. jpg ??? Ford Falcon XR. http://p. webwombat. com. au/motoring/images/ford-falcon-xr-update-2007-2-big. jpg