Michelin Marketing Mix (4Ps) & Marketing Strategy
Marketing strategy of Michelin through marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion).
Michelin Product Strategy:
The products of Michelin are mainly restricted to the tyres. They make all sorts of tyres and each of the tyres carter to the needs of each and every single type of users. Michelin company started out small but with the advent of technologies they started breaking the rules of the industries. Michelin came up with new kind of products with the passage of time and now they are one of the top producers of the tyres. They have now segmented their tyre types under various sections. The sections are like Passenger Cars or SUV. The other sections are by the way you use these tyres. The off road or the on road tyres which are mainly used. This depends on the user as to how they want to customize their tyres. Michelin also have the other line of products like Energy Line of Tyres, Primacy Line of Tyres, Latitude Line of tyres and the Pilot Tyres. They each crater to the needs of the different users. For energy they have Energy XM1 and XM2 range. For Primacy they have Primacy SUV, 3ST, HP. Latitude has LTX A/T 2, Latitude Cross, Latitude Tour HP. Pilot has Preceda 2 & Sport 3ST. The company has also started concentrating on the tyres of the trucks and now have started broadening their horizon in the biking segment. This covers the products part in the Michelin marketing mix
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This concludes the product strategy in Michelin marketing mix & strategy.
Michelin Price/Pricing Strategy:
Below is the pricing strategy in Michelin marketing mix strategy:
The one thing about price is that it varies with the quality of the products. Michelin thrives on the fact that their products are really long lasting and they are of the utmost quality.
The pricing strategy in Michelin marketing mix is based on quality, geography being served and competition pricing. The tyres are costing around INR 5000 to INR 9000. The rate is for the India for Michelin tyres. The global variation comes with the changes in the global exchange market. The prices change and so thus the prices of the nations where we are supplying the tyres. The taxes imposed by the government also plays a huge part in the pricing of the tyres. But the fact is that the pricing of these tyres are based on the quality of the material which they are supplying. The better the quality pf Michelin tyres, the more effective is the longevity of the tyres. Thus based on the models and the need of the use the prices vary also. They are varying as on roads will cost a bit less than that of the off roads. Similarly the dimensions of the tyres are playing a big part in the prices. A 140mm tyre will cost more than that of a 110mm. This was compared to the biking sections. The truck tyres also costs more than that of the vehicles tyres, generally.
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Michelin Place & Distribution Strategy:
Following is the distribution strategy in the Michelin marketing mix:
Michelin was initially supplying its goods to the parent nation. But the time has played its part and the reputation of the company, that they supply the best kind of tyres is the main thing which prompted the company to look beyond the horizon of the parent nation. Now a days we find that Michelin has made its branch available all over the world. They supply almost all over the world. Each of the areas have their own showroom where they can supply the tyres. Most of them have warehouses which help them to stock up their tyres. The internet has also made the world a smaller place and now the company has access all over the world via the internet. Michelin sell their products on the net and hence they know that they are a global player and successfully competing with the other big players. The services to all the places regarding the supply is a good thing.
They are fast and reliable and hence the global distribution of these products are a great success.
Michelin Promotion & Advertising Strategy:
The promotional and advertising strategy in the Michelin marketing mix is as follows:
The company believes in a high profile when it comes to promotion. We find that Michelin promotes itself through the newspaper, television, radio, internet, hoardings, etc. This promotional strategy in the marketing mix gives a comprehensive marketing reach and brand visibility. Michelin company has promoted itself in both MotoGp and Formula 1, which are among the top tier of the sports world. They are very aggressive when it comes to the promotional activity. They also have a lot of CSR activities. These are various ways of promoting itself in the competitive world. The people are also a medium of promotion. The quality of the product makes the noise. Michelin believes that the quality of the product will have a huge effect in the mind of the product. There are other techniques like online ads which are like the promotional technique of the company. They also conduct different types of event like cycling, rally, endure racing, etc. These also promotes the company among the people. This concludes the entire Michelin marketing mix.
About Michelin:
Michelin is a French tyre manufacturing company. This is one of the largest tyre manufacture of the world. The company ranges in the top three tyre manufacture globally after Bridgestone & Goodyear. This company was set up in 1889 by the Michelin Brothers, who readily shot to fame by 1891. The company started its own rubber plantation in Vietnam around the 1920s. The company was gaining a fast reputation among the people.
Michelin company had a lot of research and development and they started coming up with new kind of tyres, which were technologically very innovative and they were on the edge with the technologies. They pushed the barrier of the technologies and with the passage of time they came up with various types of models which suit all kind of people, depending on the taste of the user.
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