Seminar 3: PorscheDiscussion points:• The decision making process of a traditional Porschecustomer• The decision making process of a Cayenne or Panameracustomer• Characteristics of the core customer segment• How the firm’s segmentation and targeting strategieschanged in line with strategic moves made over time• Positioning and repositioning
Case Study: PORSCHEOverviewPorsche is in the business of luxury sport cars; as it is evident from the case study, Porschewas mainly using a focus / niche approach. The key to success in niche markets is knowingyour customers well and being able to cater to their needs effectively and efficiently. As thecase study indicates, one of the major concerns for niche firms is sustainability and futuregrowth. Niche marketers need to be in position to protect, but also to expand, their nichesegment. • Decision-making process of a traditional Porsche customer versus the Cayenne /Panamera customerThe five steps would be shortened for the traditional customer as the purchase is abouthedonism and emotions rather than about utility and how functional features deliver this.Porsche customers would have experiences of previous purchases of the car, which could beused so that they get to the dealership fast. This said, given the expense of the product andhigh level of involvement of the purchase, the process will have all of the steps.Problem recognitionwould be more about wants than needs for traditional Porsche customerscompared with the new ones. Cayenne / Panamera customers would be looking at the gapbetween current problems with car’s functional side. Traditionals would be realising thattheir current drive is not satisfying their status/ego-related needs.Information searchcan involve personal, commercial, public, and experiential sources.Personal sources are often used to legitimize the purchase, however, perhaps traditionalPorsche customers are adept as escaping social needs for a car! Personal and public sourceswould be used for status assessment reasons (you would want to be exclusive in yourpurchase). Commercial sources are often about accessing functional information. However,here in a more emotional purchasing situation there might be less comparison of informationbeyond performance details. Experiential information is key – get to the dealership and trythe driving experience.
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- Fall '16
- Sandra Bernie
- Decision Making