Fiat Marketing Strategy – Marketing Strategy of Fiat: Fiat Automobiles is an Italian automobile maker. It is part of Fiat Chrysler Automobiles, which was created in 2014 by a merger between Fiat and Chrysler.
The 16 brands that make up the Fiat Group include Chrysler, Ram, and Jeep, Fiat. Dodge, Alfa Romeo, Maserati, Fiat, Dodge, and Fiat. The Fiat Group sold more than a 4.5million vehicles in FY 2016 and generated revenue of approximately 111 billion euros.
Fiat At A Glance – Marketing Strategy of Fiat
Company : Fiat
CEO: Olivier François
Founder: Giovanni Agnelli
Year founded: July 11, 1899, Turin, Italy
Headquarters: Lingotto, Turin, Piedmont, Italy
Annual Revenue: 108 billion EUR
Profit | Net income: 6.6 billion EUR
Products & Services: Car Manufacturing
Fiat Fun Fact: The name of Fiat, the Italian car company, is an acronym, not only a nod to this powerful word. Its name originally stood for Fabbrica Italiana Automobili Torino, meaning loosely “Italian automobile factory of Turin,” the region in which the country was founded.
Marketing Strategy of Fiat
Fiat’s Marketing Strategy covers various aspects of the business right from segmentation and targeting to the overall mission and vision of the company and the various parameters which the company executes to become the top brand that it has in the market. So what is the Marketing Strategy of Fiat? Let us discuss.
Fiat Marketing Strategy – Segmentation, Targeting, Positioning
To align its strategy with customers’ tastes and preferences, the company determines the characteristics of the population. The automotive brand employs a mix of Psychographic, Demographic, and Geographic segmentation strategies.
Fiat has different brands in its portfolio, some of which use selective targeting strategies while others use differentiated targeting strategies.
To create a proud image that is enriched by the experience, the company uses a value-based and usage positioning strategy.
Fiat Mission Statement
To provide products, services, and solutions of the highest quality and deliver more value to our customers that earns their respect and loyalty.
Fiat Vision Statement
To create mobility that has a truly human dimension Mission:
Fiat Marketing Strategy – Competitive Advantage
- Strategic focus on re-strengthening the brand- Fiat Automobiles which is the part of Fiat Chrysler automobiles since the company has reorganized its automobiles business has been trying to optimize its resources by exiting the loss market, decreasing employee headcounts, and several other steps which are helping the company in controlling its operational cost.
- Broad Portfolio: Having such a large number of brands in its product portfolio is proving beneficial for the company as far as competition, penetration to the emerging market, and economies of scale are concerned.
Fiat Marketing Strategy – BCG Matrix
The group has business segments that include automobiles, production systems, and iron & casting, as well as retail & dealer financing, leasing, and rental services.
While the BCG matrix stars the automotive business, Iron & casting, and Dealer finance by automobile business, other businesses in the group are the question marks.
Fiat Marketing Strategy – Distribution Strategy
The company manufactures, designs, engineers, and sells vehicles and related accessories/ parts through its 162+ manufacturing plants, 88 R & D centers, and distributors in over 160 countries.
The company has dealers in over 150 countries. They distribute brands like Jeep, Lancia and Ram, Maserati and Chrysler, Dodge, Abarth, and Alfa Romeo.
Fiat Marketing Strategy – Brand equity
Fiat is the most well-known brand in the automobile industry. It was ranked as the 224 most popular on the Forbes Global 2000 List (May 2017), and its market capitalization value is $15.5 billion. As of May 2017, the brand’s total revenue was $ 122.81 trillion.
The company has been associated with many racing events and sponsored sporting events from time to time, which has helped the brand increase its visibility in the market as well as high TOMA (top-of-mind awareness).
Fiat Marketing Strategy – Competitive Analysis
The design, technological advancements, and offerings of a brand in various segments are what make them stand out in the automotive market. Sedan, Hatchback, and SUVs (sports-utility vehicles).
Fiat is competing with companies such as Volkswagen and Suzuki. Fiat Chrysler is known for its distinctive design and elegant, affordable luxury cars.
The company is present across all segments that are crucial in keeping it ahead in the market.
Fiat Marketing Strategy – Market Analysis
The automotive market is sensitive to many economic-financial conditions, such as fuel and crude oil prices, disposable income, consumer confidence, and currency fluctuations or market competition.
Many automobile companies do forward, vertical, and reverse integrations to meet the changing needs of customers. Fiat is no exception. Fiat’s business depends heavily on leasing, financing, and renting infrastructure to distributors and suppliers.
Fiat Marketing Strategy – Customer Analysis
Fiat serves customers in a variety of customer segments, including B2B businesses, dealers & distributors, and retail customers.
Some of the brands are targeted at the middle and upper-middle-income classes aged between 30 and 45, but Ferrari has offerings that are specifically for celebrities/ super-rich customers worldwide.
You May Also Like:
- Marketing Strategy of Starwood
- Marketing Strategy of Uniqlo
- Marketing strategy of Cadbury
- Marketing strategy of Adidas
- Marketing Strategy of Amul
This is the Marketing Strategy of Fiat. Please let us know if you have additional suggestions to add.
Let us know What do you think? Did you find the article interesting?
Write about your experiences and thoughts in the comments below.