Case study-volkswagens


Case Study:

Volkswagen’s Drive to Become the World’s Top Automaker
Volkswagen Group, Europe’s largest automaker, is accelerating toward its goal of passing Toyota to become the world’s largest automaker by 2018. Based in Wolfsburg, Germany, Volkswagen has introduced many distinctively styled vehicles over the years, including the Beetle, which was recently redesigned and relaunched in North America amid a flurry of multimedia marketing communications. The latest Beetle model lacks the bud vase that graced the dashboard of the previous model, a small but noticeable change that may steer consumers away from the idea that the Beetle is a “chick car.” Another pointed hint about the target market: Ads with the headline “It’s a boy” over an image of the redesigned Beetle. A third clue is a new emphasis on sleek styling and powerful performance, as evidenced by the campaign’s tagline: “That’s the power of German engineering.” Overall, however, Volkswagen wants to give consumers a good feeling about its cars. One TV commercial showed a 30-ish man driving around town in the new black Beetle. As he sits at red lights or inches ahead in traffic, he gets friendly hand-slaps from a pedestrian, a truck driver, a police officer on horseback, a construction worker, and a group of cyclists, all to the toe-tapping tune of “The Clapping Song.” Why the focus on friendly reactions? Eric Wilson, Volkswagen of America’s marketing communications manager, observes that the Beetle is “the world’s most iconic car, and when people see it, they smile, they connect with the driver, and the driver connects with them.” When the redesigned Beetle was introduced in Canada, Volkswagen invited consumers to download a free app that activates special on-screen digital animation when the phone is pointed at billboards and transit poster ads around Toronto, Montreal, and Vancouver. Brought to life on the smartphone screen, the Beetle seems to roar from one billboard to another and race through tunnels on the transit ads. The company used messages on YouTube and in other social media to build awareness and engage consumers in the animated ads. Here, Volkswagen wanted to emphasize the Beetle’s more aggressive personality and performance, to distinguish it from the cute Beetles of the past. To introduce its new Passat model, Volkswagen posted an online preview of a clever 60-second commercial that gained millions of YouTube views and thousands of Twitter comments days before its network television Super Bowl debut. In “The Force,” a youngster in a Darth Vader costume prowls the house trying in vain to use the force to do something to his dog, his sister’s doll, a sandwich, and other things. When his father’s new Passat coasts to a stop in the driveway, the child rushes past dad and tries to use the force on the car. After a moment, the car roars to life, and its headlights illuminate a surprised and delighted Darth. Then the audience gets a glimpse of dad, out of sight in the kitchen, smiling as he holds up his keychain and presses the Passat’s remote starter. This feel-good commercial had already gone viral before the Super Bowl kickoff, capturing upwards of 10 million YouTube views. As the game progressed, social media sites buzzed with positive reactions to “The Force.” The commercial, among the most popular and critically acclaimed of all the Super Bowl ads, continued to draw online views and reinforce the Passat’s family-friendly image for many months. Volkswagen’s sales are up, but it still faces a number of challenges in its drive to the top, including competition from other global automakers, economic uncertainty in numerous markets, and relatively tepid demand for new cars as many consumers keep the brakes on personal spending. But when consumers are thinking about a new car, Volkswagen wants them to have positive thoughts and feelings about its cars.

Q1. What is Volkswagen doing to change consumers’ beliefs and evaluations of its cars or encourage them to add new beliefs about its cars? Explain your answer.
Q2. What message characteristics are particularly important to Volkswagen’s ability to try to influence consumers’ affective attitudes toward its cars?
Q3. How is Volkswagen applying the principle of emotional contagion in its marketing communications?
Q4. Describe how Volkswagen employs the utilitarian dimension, the hedonic dimension, and the arousal of curiosity to influence consumers’ attitudes toward its ads. Which do you think is most important in this product category, and why?

Your answer must be, typed, double-spaced, Times New Roman font (size 12), one-inch margins on all sides, APA format and also include references.

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