The company also has been working with Baidu, China’s largest search engine company, since 2014.Internet users can find information about BMW at China easy and search results about BMW always appear in the first line.Figure 22. Search result of BMW information on Baidu.The benefits of the BMW promotion strategy.It can be broken down into four categories relating to the product, price, place, and promotion. Product. Presenting a product and its features in a way that is suitable for target audiences.Price.Digital campaign is less costly than traditional and it helps to achieve cost efficiency.Place.Creating the environment corresponding to BMW’s image.
BMW MARKETING PLAN IN THE CHINESE MARKET 33Promotion. a variety of ways to reach target audiences with relevant content.Competitive AdvantageMarketing 4PsBMW AdvantagesBMW DisadvantagesProductMercedes – Benz has an advantage in the product because it focuses on luxury business customers. Mercedes – Benz has reliability and comfortable higher BMW and Audi.PlaceBMW was the first global car manufacturer in China which has control BMW Brilliance Auto venturecompany. [ CITATION Blo18 \l 1033 ]PriceBMW price is higher than Audi but Lower than Mercedes – Benz. Audi has an advantage in price.PromotionWith the development of digital marketing, all companies' competitors can build a digital marketing strategy to PR and promotethe product to customers. Therefore, This feature is not a clear and long-term advantage for the company with competitors. Product Advantage AnalysisBMW X series has success and increase sales. However, Mercedes – Benz products have the highest reliability and comfortable feature compare with Audi and BMW. High-class businessclass will choose Mercedes - Benz as their class and brand affirmation in business. Officials will prioritize the use of BMW cars with luxury, luxury and cost more than Audi as an expression of the wealth of the user. Audi is a product for luxury customers but has the lowest cost compared to BMW and Mercedes - Benz. Mercedes-Benz has an advantage in the product.
BMW MARKETING PLAN IN THE CHINESE MARKET 34Place Advantage AnalysisIn the Chinese market, all global carmakers have to joint venture with local carmakers. Audi has 10% ownership in FAW Volkwagen Automotive company and this venture company produces Audi cars for the Chinese market. Mercedes – Benz has a venture with BAIC to establish Beijing Benz Automotive (BBA) company. Mercedes-Benz has 49% ownership in BBAcompany, but two of Daimler's top shareholders are Chinese ( Geely and BAIC). Therefore, Mercedes-Benz will have difficulty controlling the BBA company and have to against China's effect on the parent company.[ CITATION Zhu19 \l 1033 ]BMW is the first global company that has the agreement of the Chinese government to control the Brilliance BMW Automotive company with 75% ownership in 2022. BMW has the opportunity to increase profit from the venture company and manufacture BMW cars for the Chinese market and export worldwide. BMW X series can produce in China, it will avoid tariff of the trade war between the US-China. Brilliance BMW Automotive also distribute BMW cars