Nissan’s marketing mix (4Ps) combines various vehicles, different price tiers, traditional dealerships, and multi-pronged promotion. The company’s marketing strategy and 4P demonstrate business focus on solutions for people’s mobility and transportation needs. Nissan employs various strategies, tactics, and methods in its marketing mix to optimize business performance while competing with other large multinational automakers. Through this marketing mix, the company achieves profitable automotive business operations. Nissan’s products, prices, places, and promotion (the 4P) represent a thriving business organization that successfully competes despite challenges and obstacles in the Japanese market and in various regional vehicle markets.
Nissan’s marketing mix accounts for the effects of competition with other automakers, including Tesla, BMW, General Motors, Ford, and Toyota. These competitors influence buyers’ perception of Nissan and, thus, their likelihood of purchasing vehicles from the company. The degree of rivalry among automakers determines the company’s marketing strategy and the effectiveness of its marketing mix.
Nissan’s Products
Products are organizational outputs that Nissan offers to its target customers. The company’s product mix focuses on satisfying the needs and preferences of automobile buyers and drivers. Nissan’s marketing mix includes the following automotive products:
- Nissan automobiles
- Luxury vehicles (Infiniti)
- Commercial vehicles
- Motors and spare parts
- Forklifts
Nissan automobiles are the main products available from the company. These automobiles generate most of the company’s sales revenues. However, the company also has Infiniti luxury vehicles that have higher profit margins. Moreover, this part of the marketing mix includes commercial vehicles, which are designed for business use. Motors and spare parts are also available for various vehicles and applications. Although the company focuses on automobiles, it also offers forklifts as a part of its product mix. These types of products are based on Nissan’s mission statement and vision statement, which focus on people’s mobility and the automotive industry. Because of this focus, the company’s marketing strategy emphasizes vehicles. The features of these products are a result of Nissan’s growth strategies and competitive strategies. For example, product development shapes the design of the company’s cars and trucks, while differentiation ensures that these automotive products are competitive in the global market. Such strategies determine the automotive products included in this marketing mix.
Price in Nissan’s Marketing Mix
Prices are based on target price ranges and price points that Nissan considers appropriate for its products. Prices influence the effectiveness of the automaker’s marketing strategy. Nissan’s marketing mix applies the following pricing strategies:
- Market-oriented pricing strategy
- Premium pricing strategy
Nissan’s market-oriented pricing strategy sets prices that are competitive, considering the prices of other automakers. For example, some of the company’s cars and trucks have price ranges similar to those of vehicles from American automakers. Through the market-oriented pricing strategy, the company’s marketing mix ensures competitive pricing that supports a stable market share for its vehicles, considering market demand and supply trends and competition. On the other hand, the premium pricing strategy mainly applies to Infiniti automobiles and some Nissan vehicles. With premium prices, the goal of this marketing mix is to support premium branding and to maximize profit margins. Nissan’s ability to set premium prices depends on business strengths and opportunities. For example, high brand equity enables the business to set high prices for some automobiles. Cost-effectiveness and business efficiency achieved through Nissan’s operations management influence corporate decisions regarding these prices. For instance, high efficiency in production processes gives some room for the company to reduce prices when needed.
Place in Nissan’s 4Ps
In the 4P, places allow target customers to access Nissan’s products. The company’s distribution strategy sets these places to optimize market reach and sales revenues. Nissan’s marketing mix includes the following places:
- Dealerships
- Nissan websites
Dealerships are the main places where customers can view, test-drive, and purchase Nissan vehicles. The company’s marketing mix requires dealership locations in strategic areas, such as urban centers. Through dealerships, the automaker focuses on its marketing strategy and delegates, with considerable control through contractual agreements, much of the sales activities to third parties. On the other hand, Nissan’s websites allow customers to access information about the company’s automobiles, communicate with customer service personnel, and request a quote. In this marketing mix, the company’s websites are a cost-effective way to easily reach and communicate with customers, and to support dealership transactions. Nissan’s business structure (corporate structure) defines the offices, departments, and divisions that provide support for the places used in the company’s 4Ps.
Nissan’s Promotion
Promotion communicates what Nissan can offer to target customers. Marketing communications strengthen the brand and attract customers to the company’s automobiles. The following promotional activities are included in Nissan’s marketing mix:
- Advertising
- Direct marketing
- Sales promotion
- Personal selling
- Public relations
Nissan advertises on TV and digital and print media. In this part of the marketing mix, advertising aligns with current trends in the industry, such as social and technological factors, which affect customers’ preferences and their likelihood of buying Nissan vehicles. For example, the company’s advertisements that promote green technology in cars appeal to buyers who aim to reduce their carbon footprint in transportation. The company’s marketing strategy heavily relies on advertising, although other promotional activities improve success in the international automobile market.
Direct marketing involves direct communication between Nissan and target customers. For example, the company directly communicates with corporate and government clientele regarding vehicle fleet offers and related after-sales services. Through direct marketing, Nissan’s marketing mix ensures effective promotion of its vehicles to bulk buyers. In this promotional mix, direct marketing has a major contribution to the company’s automobile sales revenues because of the large size of purchases made by corporations and governments.
Nissan’s marketing strategy applies sales promotion through time-limited deals and offers. For example, some car models are available at discounted prices or at low-interest financing plans. This part of the marketing mix attracts customers looking to buy new vehicles.
Nissan has minimal and limited control on personal selling because most of it occurs under the management of dealerships. However, through legal arrangements and agreements, the automaker has some influence on how personal selling is implemented at these locations. Through this personal selling, Nissan’s 4P pushes for quality experience for customers and persuades them to buy the company’s vehicles.
Nissan’s public relations are designed to support multiple stakeholder groups and promote the business and its products. One of the company’s objectives in this part of its marketing mix is to improve target customers’ perception of the automotive business in terms of its technological reliability and ecological impact. Public relations communicate Nissan’s ESG and CSR programs for sustainability based on stakeholder interests to enhance the company’s brand equity and corporate image. These programs also function as public relations endeavors that promote the company and its automotive products.
References
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