7. Context
● Transport accounts for more than half of the world’s liquid fossil fuel consumption and nearly a quarter of the world’s energy-related CO2
emissions. (Dept. of Agriculture Ireland, 2012)
● Cost of Fossil Fuel increasing
● Currently import approximately €6 billion of fossil fuels per annum and transport accounts for around one third of this total.
● EU targets, by 2020, 10% of the energy used in Ireland’s transport sector must come from renewable sources
o We have set an ambitious initial target of 10% of the car fleet, or 230,000 cars, to be electrified by 2020.
● Opportunities for Ireland to be an early mover in the provision of supporting technologies for EVs.
16. Context - Why Ireland
•Climate is perfect for EV
•Journey times are short – only 5% of cars ever
leave the island
•Government support is growing
•Infrastructure and coverage is second to none –
900 AC and 100 DC
21. Company
•Innovation that excites
•Nissan Ireland is independently owned with one of the
highest market penetrations in Europe.
•Moving from the boring but reliable era into new and
exciting
•Existing customer base.
•Best performing European market
•Over 50,000 Almeras sold in Ireland through the years.
31. Product
•World’s Best-selling Electric vehicle
•150,000 Global Sales to date
•Top 3 best selling car in Norway
•European & World Car of the Year
•93% Customer Satisfaction
•EV sales expected to triple in the UK for 2015
•Ireland’s best selling electric vehicle - 90%+ segment share
•Key Brand Opinion Driver for Nissan
32. Product
Max engine power 80kW
Max Torque 254Nm
Transmision options Automatic
Fuel consumption combined 0* L/100km
Acceleration 0 - 100
Max speed 144
Fuel type Electricity
Towing capacity NA
33. Place/Channels
•Currently 11 identified expert dealerships
out of 38 based on targeted demographics
• Test drives imperative for success.
• Focussed on urban centres - aligned with
target market
•Focus for Garry Hobson, Windsor Chief
34. Place/Channels
•Experiential Marketing key
–Dealers giving 24 hr test drives
•Nissan has taken stands at the
ploughing championships and
ideal homes show to drive awareness
35. Place/Channels
- We would recommend test drive Fleets at key targetted
events eg Green-Schools events, Toys4bigboys show
- We would also suggest Staff Days and Affinity
programmes with large corporates with the right
demographics eg Pharma in Cork, Financial and Legal
firms in Dublin
- A partnership/relationship with Go-Car should be
explored.
36. Promotion - Nissan Level
•Innovation that excites!
•Extensive multimedia campaign ongoing supporting new
range
•Official Partner of the UEFA Champions League
•Automotive sponsor of the Rio Olympics
•Not forgetting sponsorship of Love/Hate
•Nismo range of high spec vehicles
39. Promotion - Leaf specific
•Target customers:
–Heavy consumers of digital content
–Use the internet several times per day
(sport/news)
–Read the broadsheets
–Listen to 2 hrs radio per day (news/current affairs)
–Comparatively light tv viewers (10-15hrs pw)
–
40. Promotion - Leaf specific
•To capture this market we would recommend:
–Strong investment in digital campaign ensuring social
media is fully blanketed
–Targeted radio and tv advertising to improve awareness
–Broadsheet inserts to give full information
–Feature based promotion around the likes of the
Government’s “Drive for Zero” in Cork
–Dedicated Leaf dealer marketing support fund for local
events
41. Promotion - Leaf specific
● Ticking all quadrants on the Brand Essence
wheel - both rational and emotional purchase
● Ensure the promotion plan is kept under
review as the target market evolves/expands
● Nissan Juke example of the “Irish issue”
42. •Tiered pricing depending on spec
•Prices quoted inclusive of €5k Govt grant
•Free charge point provided at house for early adopters
•Dealers specially trained on articulation of ongoing cost
savings (should be in excess of €1400 p.a.)
•AIB providing awe inspiring finance offerings!
•Current volumes not profitable
43.
44. ● BMW i3 – starting at €33,160
● Renault Zoe – starting at €22,490
45. ● Ford Focus - from €19,645
● Toyota Prius - from €30,465
● Volkswagen Golf - from €20,745
46. Articulating the compelling price
proposition
● The Leaf is priced reasonably attractively
against competitors
● The Leaf will deliver in excess of €1400 p.a.
of savings on running costs
● The finance offerings available on the Leaf
are by far the most competitive in the
marketplace
47.
48.
49.
50.
51. What should Nissan be aiming for?
The Stars! The Leaf is the third highest selling vehicle in
Norway
Government buy-in is key
● Oslo example
● Rotterdam example
90% of the EV market is a great starting point- there needs
to be a strategic focus on growing the market itself
52. Key messages/Takeaways
● Collaborators hugely important
● Experiential marketing vital
● Ongoing cost savings make this financially
smart
● The target market should be
reviewed/expanded as the product scales.
54. ● 1832: First EV (Anderson, Scotland)
● 1859: First rechargeable battery
● 1897: First EV New York Taxi
● 1900: 38% of all cars in US (4,192) are EVs
● 1900: Porshe build an Electric Vehicle
● 1908: Henry Ford’s mass-produced, petrol-powered Model T car
● 1912: Starter motor replaces hand-crank starter - kiss of death for EVs
● 1920’s: EV cease to be produced because:
o desire for longer distance vehicles
o lack of horsepower
o the ready availability of petrol
● 1966: US Gov recommend EVs to reduce air pollution
● 1970’s: Rising oil prices & growing environmental movement sparks renewed interest in EVs
● 70’s, 80’s and 90’s - Attempts by major auto manufacturers but most are discontinued
● 1997: Toyota launch Prius, the first mass-produced Hybrid Vehicle
● 1997: Audi Duo III, a Hybrid vehicle
● 1998: Nissan launch Altra EV
● 2003: Tesla incorporated
● 2004: Elon Musk (Paypal, SpaceX & Hyperloop) joins Tesla
● 2006: Tesla Roadster launched
● 2008: Israeli government supports JV (Better Place + Renault/Nissan) - Fluence but uses replaceable batteries
● 2009: Gordon Brown announces £2k grant for EVs in UK
● 2009: US Government (Dept of Energy) awards $8b loans ($25b sanctioned) to Tesla, Nissan + Ford
● 2009: GM files for bankruptcy protection (US Gov gains 61% equity stake)
● 2009: BMW launch the Mini E
● 2010: Tesla + Toyota strategic partnership (ex NUMMI site - Toyota and GM partnership)
● 2010: Tesla partner with Panasonic to develop a nicklel-based lithium-ion battery for EVs
● 2010: BMW launch the ActiveE
● 2010: Nissan launch LEAF
● 2010: Mercedes-Benz collaborates with Tesla Motor Company to produce the A-Class E-Cell
● 2011: BMW launch BMW i - sold seperately from BMW and Mini.
● 2013: BMW launch i3 - their first zero-emission EV
● 2014: Toyota launch Mirai - world’s first mass-produced hydrogen fuel cell car
Editor's Notes
Objective: Develop a marketing strategy detailed in a marketing plan for a specific company
Approach:
Almera, etc = Cash Cows
Transport accounts for more than half of the world’s liquid fossil fuel consumption and nearly a quarter of the world’s energy-related CO2 emissions. (Dept. of Agriculture Ireland, 2012)
Cost of Fossil Fuel increasing
Currently import approximately €6 billion of fossil fuels per annum and transport accounts for around one third of this total.
EU targets, by 2020, 10% of the energy used in Ireland’s transport sector must come from renewable sources
We have set an ambitious initial target of 10% of the car fleet, or 230,000 cars, to be electrified by 2020.
Opportunities for Ireland to be an early mover in the provision of supporting technologies for EVs.
Green Energy
EVs only beneficial if the electricity is green
Ireland has exceptional renewable energy resources in its wind and oceans. the quality and reliability of these resources compared to other european countries gives us a distinct advantage in developing the potential of this sector.
Ireland has binding EU targets in place to deliver 16% of its overall energy from renewable sources by 2020. Within this overall target, 40% of our electricity will be met from renewables.
General Motors' Vice Chairman Robert Lutz said in 2007 that the Tesla Roadster inspired him to push GM to develop EVs.
In an August 2009 edition of The New Yorker, Lutz was quoted as saying:
Now for some context surrounding why Nissan leaf and Ireland are so well suited. Climate is perfect for EV’s with not too hot or too cold leading to low usage of battery wasting aircon and heating.
Small island with majority of journeys short in nature.
Government support for EV’ is growing with the development of a green economy a central message of the National Recovery Plan (2011-2014).
Our voltage suitability and electricity infrastructure is second to none.
Website traffic on LEAF page up 380% - Top viewed page after Qashqai
•Ploughing generated 92 “hot” leads with 30 test drives already confirmed
This leads nicely on to collaborators Firstly ESB with a charge point network that is quite extensive given the current low level of EV penetration.
Sustainable energy authority of Ireland collaborating in providing grants for qualifying EV’s whilst promoting there uses.
This leads nicely on to collaborators Firstly ESB with a charge point network that is quite extensive given the current low level of EV penetration.
Sustainable energy authority of Ireland collaborating in providing grants for qualifying EV’s whilst promoting there uses.
Most companies sell more than one product. A product mix can be classified according to width, length, depth, and consistency. These four dimensions are the tools for developing the company’s marketing strategy and deciding which product lines to grow, maintain, harvest, and divest. To analyze a product line and decide how many resources to invest in it, product line managers need to look at sales and profits and market profile.
A company can change the product component of its marketing mix by lengthening its product via line stretching (down-market, up-market, or both) or line filling, by modernizing its products, by featuring certain products, and by pruning its products to eliminate the least profitable.
1. “The value-added information exchange, however, is a more patient approach during which companies learn more about their customers as the relationship between the two deepens.”
2. “The underlying principle is that heterogeneity in preferences and buying behaviour can be effectively managed by grouping similar customers into segments, some of which become the focus for marketing effort.” – Implementation rules….
Product Levels: The Customer-Value Hierarchy- chpt 12
In planning its market offering, the marketer needs to address five product levels, with each level adding more customer value, and the five constituting a customer-value hierarchy.
1. Core benefit
2. Basic product
3. Expected Product
4. Augmented Product
5. Potential Product