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Chevrolet Yemen

Marketing analysis for Chevrolet Yemen (Grand Motors)
by

Myrna Thabet

on 30 June 2013

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Transcript of Chevrolet Yemen

Introduction to Chevrolet
Chevy's Mission Statement
Competition
“Find New Roads”
4 P's
Chevrolet, also known as Chevy, is a brand of vehicles produced by General Motors Company (GM), it is a lead brand and a key component to the portfolio of General Motors.
Chevrolet is distributed in Yemen through Grand Motors, and it is their only distributor in the country.
Grand Motors distribute GMC, Chevrolet, Cadillac, HUMMER and Opel.
Grand Motors launched in Yemen’s Capital, Sana’a in 2011 and has been witnessing a rapid growth in Yemen’s market ever since.
"We win when the customer says we win.”
• "Safety and Quality First

• Create Life-Long Customers

• Innovate

• Deliver Long-Term Investment Value

• Make a Positive Difference"
Slogan
SWOT
Product diversity
Weak in horse power
Tough Competition
Developing hybrid and fuel efficient cars
Name recognition
Worldwide dealerships
Good company image
most recognizable auto manufacturer in the U.S
over 21,000 dealerships worldwide
strong and long lasting
five divisions of vehicles: cars, trucks, sport utility vehicles, vans, and commercial vehicles
Strengths
Advertising
Spare parts distribution
Weakness
not as active as other brands
not efficient in the Yemeni market
weak compared to its competition
Opportunity
using brand-positioning strategies
Growth in the global automobile market
Be more distinguishable
Threats
competition in Yemen is intensely high
Rising Fuel Prices
developing fuel efficient cars
Product
Variety of automobiles that range from cars, trucks, sport utility vehicles, vans, and commercial vehicles
Price
Place
Promotion
Meets all income levels and targets both economy and luxury customers
Chevrolet has only one branch in Yemen. The showroom is in Sana’a and it is located at Zubeiry Street.
Chevrolet has advertised in Yemen in newspapers, billboards and on the radio, but other forms of promotion have yet not been applied.
Spark
$9,900 - $12,500
Sonic
$16,000 - $18,000
Camaro
$23,345 - $59,545
Corvette
$49,600 - $121,600
In Yemen, Chevrolet’s pricing is within the same level of its competitors, and is considered as good
The location has people seeing the showroom when passing by, and has more people notice it.
Chevrolet’s main Competitors in Yemen are:
Market Share
GOOD CONCEPTS
1. Market segmentation
Segmentation allows marketers to create great customer value and to plan a better and more efficient marketing strategy





• Governmental offices.

• Presidential decree.

•Organizations, like embassies, Aid offices, national nations.
• Foreign companies

• Yemeni companies.

• Private owners

• Others, like visitors, tourists.
Grand Motors provided the following information; these are the targeted segments of Chevrolet:
2. Positioning
Safe, tough, dependable, long lasting vehicles
The major factors of this positioning are functionality, how this brand is functional to the customers, and expression, life-style and adding value.
3. Good customer service
All employees in Grand Motors are trained by General Motors. General Motors offers the employees online training courses as well as courses in their workplace.
Interactive marketing
Employees will be able to answer the customer's every question about their products and promotions.
They also are trained to provide a welcoming environment for the customer and offering them refreshments and snacks.
It sets a positive image for the brand, and build customer relations.
Keeping in touch with all their costumers after sale.

Keep them updated of all the offers and promotions

Checking on their status after sale within (3 days - 2months – 3months – 7months – 1 year)
After-sale Services
A service’s quality heavily depends on buyer-seller communication, thus all employees in Grand Motors have to be qualified and trained for their jobs
(augmented product)

If any of GM’s customers face a problem with their car while on the road, they can call the Road Side Assistant and they will go to wherever the costumer is and provide help.

You can reach Road Side Assistant on the phone or through GM’s website.

This service is new, innovative, very helpful and no one else in the market is applying it)
Road Side Assistant service.

Chevrolet offers a 3-year warranty with all it's vehicles

Warranty
Maintenance services are offered by a staff trained by General Motors

Maintenance

Chevrolet offers on-demand delivery and customization.

Makes Chevrolet more distinguishable than its competitors.

4. Individual marketing
5. Promotional Mix
(advertising, personal selling, sales promotion, public relations and direct marketing)
Chevrolet has advertised on billboards, Facebook, newspapers and radio, all of which have created a market attitude and gave an impression to the public.

They have advertised in in Al Ulah newspeper, Rawa'a magazine and Al Askan magazine

Chevrolet has also paid much attention to its public relations in Yemen, through sponsorships and charitable contributions.

It is also well known for focusing on direct marketing and communicating to their costumers on a personal level.
(mobile messaging, email, interactive consumer websites, online display ads, fliers, catalog distribution, promotional letters, and outdoor advertising)
Poorly Applied Concepts
1. Spare Parts Distribution
Customers avoid purchasing a Chevrolet in Yemen is the unavailability of the needed spare parts.

In Yemen, heavy-duty parts are needed.

Some Chevrolet owners end up importing spare parts, this has people thinking that they are incurring more long term costs.

It gives competitors like Toyota and Hyundai, both of which are doing great in distributing their parts, the advantage over Chevrolet.
2. Advertising
3. Place
4. Distributor's Focus on GMC
5. Not Promoting their Website.
Chevrolet's advertisements stand on the weaker side when compared to their competitors.

They are boring and almost indistinguishable from other ads

they do not attract costumers or have an appeal to them
Although in a location that is noticeable, the street is much too crowded almost all the time.

The busy streets are creating inconvenience for the costumer.

It makes it difficult for costumers to tests drive.
GMC is being more advertised and promoted, leaving people less interested in Chevrolet.

Both cars are in the same showroom.

The distributor should focus on Chevrolet as much as GMC, and they both should have advertising campaigns that are on the same scale.
Chevrolet has developed their own website where you can find information about the cars, the services, the company, the distributor and much more.

Unfortunately their website is not promoted properly, leaving many people unaware of it.

Customers can communicate more easily.

It will improve their customer-managed relationships.
Suggestions
1. Buzz Marketing
5. Cause-related Marketing.
4. Promoting Customization.
3. Improve Distribution of Spare Parts
2. Relocating and Branching out
Example?
This suggestion comes to solve their bad concept of commercial advertising.

We suggest they get opinion leaders, popular arab stars or public figures, and use them in commercials on channels such as MBC and Dubai ONE, and not to forget our local channels such as Yemen, Saba, Yemen Today etc.

They can also use them in advertisements on billboards, newspapers, and social networks.
It is suggested that they relocate within Sana’a to provide more space and make test-driving available to all buyers.

Chevrolet will reach more segments and potential customers by branching out.

Chevrolet should have it's own showroom, separate from GMC.
Customers find difficulty locating spare parts.

In Yemen, heavy-duty parts are needed.

Chevrolet should work on making their spare parts available, or at least orderable at a reasonable price.
(ex. a freight absorption pricing where the company pays for the shipping)

Fixing this problem will encourage new buyers, who want to avoid facing a problem with obtaining spare parts.
Customization is available, but not promoted.

More people will be encouraged to buy a customized car.

"Most customers don't even know, they come and buy whatever is already in the showroom"
It will build a positive image.

Chevrolet can link itself to worthwhile causes using cause-related marketing.

Customers will be more motivated to purchase a Chevrolet to contribute in the cause.
Thanks for your attention!
Full transcript