Comparing successful and unsuccessful

brand positioning strategies in

automobile sector

Submitted By: Vaishali Chaudhary (BM-020088)

 Brand Positioning Strategies
for Mercedes-Benz
Company Profile:
Mercedes-Benz is a multinational brand of the German manufacturer Daimler AG, the brand is
used for luxury automobiles, buses, coaches and trucks. Mercedes-Benz is headquartered in
Stuttgart, Germany. The name first appeared in 1926 under Daimler-Benz which is widely
regarded as the first automobile. Mercedes-Benz carries a full rang of passenger, light
commercial and heavy commercial equipment. Vehicles are manufactured in multiple countries
worldwide. S class is basically a luxury sedan manufactured mainly for middle aged both male
and female, it is automatic, SUV, spacious and comfortable car. In June 1909, Daimler-Motoren-
Gesellschaft (DMG) registered both a three-pointed and a four-pointed star as trademarks, but
only the three-pointed star was used. To DMG, the star symbolized Gottlieb Daimler's aims for
universal motorization: on land, water and in the air.
Mercedes-Benz normally has a strong reputation for quality and durability. Their objective
measures looking at passenger vehicles, such as J. D. Power surveys, demonstrated a downturn
in reputation in these criteria in the late 1990s and early 2000s. By mid-2005, Mercedes
temporarily returned to the industry average for initial quality, a measure of problems after the
first 90 days of ownership, according to J. D. Power. J. D. Power's 2011 US Initial Quality and
Vehicle Dependability Studies both ranked Mercedes-Benz vehicles above average in build
quality and reliability.[54][55] In J. D. Power's United Kingdom Survey in 2011, Mercedes cars
were rated above average.
Market Segmentation
Market segmentation is a marketing strategy that involves dividing broad target market into
subsets of consumers who have common needs, then designing and implementing strategies to
target them using media and other channels. It allows companies to create product differentiation
strategies to target them.

Brand Position
In marketing, positioning has come to mean the process by which marketers try to create an
image or identity in the minds of their target market for their product, brand, or organization.
Brand positioning is at the heart of marketing strategy. It is the act of designing the company’s
offer and image so that it occupies a distinct and valued place in the target customer’s minds. A
good brand positioning helps to guide marketing strategy by clarifying what a brand is all about,
how it is unique, how it is similar to competitive brands, and why consumers purchase it. Thus,
in simple words brand positioning refers to the position or image which a brand enjoys in the
minds of present and potential customers
Positioning by Quality:
Mercedes Benz offers exclusive new breakthroughs to help make an accident less severe, less
damaging, or even less likely. Due to their heritage, they’re engineered to protect you in ways
you might ever have imagined
Positioning by Use:
It targets young buyers who love to drive. The car emphasizes design and style rather than speed.
Positioned as a well-engineered stylish car, its tagline is ‘Vorsprung durch Technik’ in German,
meaning ‘Lead by Technology’.
Positioning by competitors
Mercedes Benz along with BMW and Audi are said to be the most expensive and competitive
brands in cars industry. BMW is renowned for their unmistakable looks