Ford Marketing Strategy – Marketing Strategy of Ford: The company is involved in the manufacture of automobiles, trucks, cross-overs as well as utilities, which was founded by famous Henry Ford founded in 1903 and later incorporated, the company has become a leading contender in the majority of advanced nations in their respective sector of business.
With over 1,90,000 employees and 68 factories around the world, Ford is using these resources to design manufacture, and market vehicles as well as trucks, SUV Crossovers, and Lincoln luxury cars in various regions of the world.
Ford At A Glance – Marketing Strategy of Ford
Company : Ford
CEO: Jim Farley
Founder: Henry Ford
Year founded: June 16, 1903, Detroit, MI
Headquarters: Dearborn, Michigan, U.S.
Annual Revenue: US$127.144 billion
Profit | Net income: US$ 1.279 billion
Number of employees : 186,000
Products & Services: Automobiles – Luxury vehicles – Commercial vehicles – Automotive parts – Pickup trucks – SUVs
Competitors: Dodge | Fiat Chrysler Automobiles (FCA) | General Motors | Chevrolet | Nissan | Honda | Tesla | Toyota Motor Corporation | Ferrari | Volkswagen | Hyundai Motor | Suzuki | FCA US | Mercedes-Benz USA
Ford Fun Facts: In 1914 Ford offered its employees double the current market average, creating Henry Ford’s “$5-a-day.” The new salary, accompanied by a shorter working day and company profit sharing, minimized employee turnover, and was significant in growing the middle class and fair wages movement. Henry Ford was quoted saying he wanted to help his workers to a “life” not just a “living.”
Marketing Strategy of Ford
Ford’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 Ford? Let us discuss.
Ford Marketing Strategy – Segmentation, Targeting, Positioning
As with any other auto company, Ford uses a mix of demographic, psychographic, and geographical segmentation variables to respond to the evolving demands of its customers within the business.
Ford utilizes a differentiated targeted approach to offer specific products for the targeted segments of customers.
positioning is the place where the product or services appear in the minds of customers, and what image is created in their minds whenever they see that name of the brand name. Ford motors employ value-based positioning strategies to generate emotions and inspire clients.
Ford Mission Statement
“to make people’s lives better by making mobility accessible and affordable.”
Ford Vision Statement
“Working together in a global enterprise to make people’s lives better through leadership in automotive and mobility”
Ford Marketing Strategy – Competitive Advantage
Ford motors have approximately 38000 active patents which are helping the company in the conduct of its business and it keeps the company technologically ahead of peer companies in the industry.
Stronghold in the developed nations:
Ford has a large product portfolio in the developed nations which is helping the company in having deep knowledge of these markets.
It has 68+ plants worldwide which is helping the company in keeping the price of its offerings low as compared to the peer companies in the market.
Ford Marketing Strategy – BCG Matrix
The business segment i.e. crossovers, cars, SUVs, and SUVs are not included in BCG’s matrix. BCG’s model is because of the decrease in part of the market in the developed countries and the lack of a focus on emerging markets.
Lincoln Luxury cars are the stars on the BCG matrix, as they are available in chosen markets.
Ford Marketing Strategy – Distribution Strategy
Ford utilizes various channels of distribution like authorized dealerships/service centers, DSA ( direct selling agents) resellers, the online websites. Furthermore, the majority of the distribution warehouses and warehouses are lease-based which aids the business in reducing operational costs.
Ford Marketing Strategy – Brand equity
Ford motors enjoy positive word-of-mouth and have a high TOMA (top of mind awareness) in developed countries however the brand structure of Ford motors in developing nations has failed to draw customers from these markets.
Ford Marketing Strategy – Competitive Analysis
The market in the developed nations is already saturated, and businesses are consuming their market share, certain companies such as Fiat Chrysler Automobiles, Suzuki motor corporation, Honda motor company, and many more are focusing on developing nations and emerging economies as they are the markets that have a lot of growth potential.
A rising competition on prices and a declining demand are two major issues that businesses in this field are having to face.
The truck division of the company is performing very well in a few of the emerging nations that are modernizing their transportation systems.
Ford Marketing Strategy – Market Analysis
The market for automobiles is plagued by numerous obstacles, whether they are regulatory regulations from the government, market-related factors such as labor costs or infrastructure, the volatility in the prices of fuel and currency movements, or the competitiveness of the market. The auto industry is overcrowded with an abundance of MNCs with not one firm in the top position in the world.
Ford Marketing Strategy – Customer Analysis
The customers of Ford motors include the middle and upper-income classes and transportation firms, who are seeking modern and innovative solutions for automobiles.
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