7P Framework

In the 7 P’s of marketing the Mercedes has developed certain features which set it apart from its
competitors. Here we will discuss all the seven P’s of marketing for the Mercedes Benz car.

Product

This is one of the most important constituent in the marketing mix in which the physical product
or the service that the company is offering to its customers for sale. Here the unique features and
the benefits of the product are communicated to the customer in order to prove the superiority of
the product over that of competitors.

Besides a niche product Mercedes Benz is known for putting innovation in his product to provide
higher comfort and safety to its customers. For example Mercedes Benz is going to introduce a
new feature “BlueEFFICIENCY “. The BlueEFFICIENCY technology is a package of measures
which can further reduce energy consumption by higher percentage of combustion of the fuel
and hence carbon dioxide emissions will reduce. The BlueEfficiency technology will improve
the efficiency of the engine. In a nutshell: at Mercedes-Benz, BlueEFFICIENCY stands for the
concept of efficient mobility.

The other features that Mercedes Benz have are: high resale value, SUV bumper, larger interior
space etc. It is also the first automobile manufacturer to introduce ABS braking system in
automobile, the airbag and pre-tensioning devices.

Price

The price is the amount paid by the customer to buy the product or avail the services of the
company. This marketing strategy ensures that the pricing of the product is done correctly and it
is not overvalued to the customer and not undervalued to incur loss to the company. As
Mercedes deals in the niche segment and the customer to which the company provide is not very
much price sensitive. The customers of this brand look for the value of the money they are
getting on the product.

Place
Place or distribution, tells the availability of the product through different medium in different
places. The product can be available online or through a direct sale at showroom but its
geographic presence decides this factor of the company. In the past few years Mercedes has
spread the reach to the developing countries also and the product is available to almost every
corner of the world. The contribution of opening of the economies of the developing countries is
also a motivational factor for Mercedes Brand. Earlier a few category of Mercedes were
available in the developing countries. But now the geographical boundaries are immaterial for
big brands like Mercedes.

Promotion

In order to communicate the people about the features of the product and its availability at
different locations the promotion strategies of the company comes into the picture. Mercedes do
not believe in incurring a huge cost on advertisement as it only caters to premium segment of the
consumer and the brand has already developed a position in the mind of the people that the name
“Mercedes” itself seems doing advertisement for it.

The promotion strategy of Mercedes has reflected in the evolution of Mercedes-Benz range. In
the past decade we have seen a dramatically expansion of the range of the vehicles provided by
Mercedes and the addition of the M-class and A-class was introduced by the company as a part
of this strategy. This promotional strategy of Mercedes has been accepted by the consumers all
over the world.

People

To make the marketing activity to be effective, the role of the staff of the organization cannot be
ignored. Mercedes have a very rich culture which continuously motivates their staff to perform
better for the company. Mercedes provides various benefits and compensation, career
advancement opportunities to its employees.

Process

The satisfaction of the customer is one of the most important roles of marketing. If you can
follow the process of delivering high quality service or products to the customers, your
marketing efforts will never be wasted.
Physical evidence

This feature of the product helps to position itself based on its certain physical attribute so that
the customers will get to know how the product is going to benefit them. Thus, the product
manufacturing company develops certain features in its product by which customer will be able
to relate it to the product. Mercedes Benz targets the comfort of the ride and the status symbol to
provide the physical evidence to its customers.

Conclusion

Mercedes is the brand which is able to position itself as a player in the niche segment which
reflects a symbol of status, luxury and comfort. Like no other brand, Mercedes-Benz has got the
highest standards of quality, safety, innovative drive and visual appeal. In spite of the fact that
Mercedes Brand is more than 100 year old, it is continued to be the choice of the young as well
as business professionals. It is the brand which is gaining up the market share in the developing
countries with a consistence increase in the annual sales. With the help of 7 P’s of marketing we
can also conclude that Mercedes is able to establish itself in a premium segment and believe in
providing the technology and comfort to its customer above their expectations. It is a brand
which believes in walled garden technology and slowly shifting to open plane technology with
the change in the demand of the customers and increasing competency level in the premium
segment. There would be no surprise if Mercedes Benz will come with a comparatively less cost
vehicles keeping their current strategy of diversification in buses, coaches, and trucks. This
strategy would definitely increase the presence of the brand in the other segments of the
automobile industry.
References

 Carey Russ (2005), “Mercedes-Benz Safety Innovations’,

http://www.theautochannel.com/news/2005/03/11/010089.html

 J. Clark (2010), “Mercedes-Benz Is Strongest Premium Brand in India”,

http://www.emercedesbenz.com/autos/mercedes-benz/corporate-news/mercedes-benz-is-
strongest-premium-brand-in-india/

 Karl Sultana (2010), “Understanding the Seven P's of Marketing”,

http://ezinearticles.com/?Understanding-the-Seven-Ps-of-Marketing&id=1538547
 Official website of Mercedes Benz, http://www.mbusa.com