Ford Motor Company’s marketing mix (4Ps) supports the firm’s ability to connect with its target customers. The marketing mix refers to approaches used to implement a marketing plan. In Ford’s case, the target market is highly varied and spans the global economy. As such, the company’s marketing mix is also comprehensive. The firm is the second largest U.S.-based automaker and the fifth in the world. With this position, a comprehensive marketing mix is critical to maintaining its performance. This marketing mix and related strategies also evolve through time to ensure Ford’s competitiveness in reaching its target markets around the world.
Ford Motor Company’s marketing mix enables the firm to reach its target customers worldwide. This marketing mix and associated strategic actions change over time to match the firm’s markets and industry environment.
Ford Motor Company’s Products (Product Mix)
Ford’s offers a considerable variety of products. Organizational outputs are included in this element of the marketing mix. Ford’s main product lines are as follows:
- Automobiles
- Trucks
- Buses
- Tractors
- Automotive parts/components
- Financial services
- Vehicle leasing
Ford Motor Company is popularly known for its automobiles, such as sedans. However, the firm also has trucks, buses, and tractors in its product mix. In addition, the firm’s Motorcraft brand includes automotive parts for most of Ford’s vehicles, although some of these parts are also suited for the vehicles of other firms like Toyota. The Ford Motor Credit Company is Ford’s subsidiary that offers financing for its customers. The firm also provides vehicle leasing mainly to corporate clients. Thus, the diversity of Ford’s product mix is shown in this element of the marketing mix.
Place/Distribution in Ford’s Marketing Mix
Ford uses typical places or venues used for its strategy of product distribution. This element of the marketing mix focuses on the venues or locations used to reach and sell to customers. In Ford’s case, the following are the main places used for product distribution:
- Dealerships
- Auto parts stores
- Ford Parts website
- Ford Motor Credit Company
Ford dealerships are the most prominent places for distributing most of its products. The majority of sales revenues are achieved through these dealerships. The company’s automotive parts/components are available in third-party auto parts stores, as well as the Ford Parts website. In addition, customers can access the firm’s financial services at the Ford Motor Credit Company offices or through personnel at the dealerships. This element of the marketing mix shows Ford’s strategy that utilizes different company-owned facilities and third parties to generate sales.
Ford’s Promotion (Promotional Mix)
Ford Motor Company promotes it products through all of the conventional tactics. The activities used to promote goods and services are considered in this element of the marketing mix. Ford’s promotion activities are as follows, arranged according to significance:
- Advertising
- Personal selling
- Direct selling
- Sales promotions
- Public relations
Ford uses advertising as the main tactic to promote its products. The company’s television advertisements and online advertisements are especially prominent. In addition, agents/sales personnel use personal selling to persuade buyers at Ford dealerships and other venues. In some cases, the company applies direct selling, usually to corporate clients who lease vehicles from the firm. This marketing mix also involves sales promotion, usually through special offers, discounts, and trade-ins. Moreover, corporate social responsibility programs and sponsorship of sports events and facilities enable the firm to promote its business and products to a wider population of potential customers. Thus, this element of the marketing mix shows that Ford effectively applies all of the marketing communications tactics to promote its goods and services.
Ford’s Prices and Pricing Strategies
Ford’s prices vary, depending on the market. This element of the marketing mix involves the strategies used to determine appropriate prices for products, based on market and business conditions. Ford applies two main pricing strategies:
- Market-oriented pricing strategy
- Premium pricing strategy
In the market-oriented pricing strategy, Ford’s goal is to set prices that are appropriate to market conditions, with consideration for competition, demand, consumer perception, and other variables. Ford applies this pricing strategy for most of its products, such as sedans and trucks. On the other hand, the company applies the premium pricing strategy to set higher prices for some of its products. This pricing strategy is used for most of the Lincoln automobiles, which are Ford’s luxury line of vehicles. This element of the marketing mix emphasizes the importance of different pricing strategies to support Ford’s efforts to secure different segments of the market.
References
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- Ford Motor Company (2015). All Vehicles.
- Ford Motor Company (2015). Motorcraft Auto Parts.
- Ford Motor Company Form 10-K, 2014.
- Goi, C. L. (2009). A review of marketing mix: 4Ps or more? International Journal of Marketing Studies, 1(1), 2.
- Official Site of Ford Motor Credit Company.
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