Rolls Royce STP and Marketing Strategy

ROLLS ROYCE

Rolls-Royce Motor Cars Limited is a premium car manufacturer based in the United Kingdom. Rolls-Royce Motor Cars Limited is based in Goodwood, West Sussex, England, and operates from purpose-built administrative and production facilities that opened in 2003 across from the historic Goodwood Circuit. Since 2003, Rolls-Royce Motors Cars Limited has been the exclusive manufacturer of Rolls-Royce branded automobiles.

Despite the fact that the Rolls-Royce brand has been in use since 1906, the BMW AG subsidiary Rolls-Royce Motor Cars has no direct connection to Rolls-Royce-branded vehicles made before to 2003, other than being a key engine and equipment supplier prior to 2003.

Tagline:

Strive for perfection in everything you do. Take the best that exists and make it better. When it does not exist, design it.

Some of it's products

Cullinan

Ghost

Phantom Extended

Phantom

The STP Strategy

STP stands for segmentation, targeting, and positioning. STP Marketing simplifies the marketing process. It is simple to comprehend and implement in the workplaces. Marketing's primary goal is to attract customers, and not just any customers, but the appropriate customers that will be interested in our offer. We first divide the group into segments, then target the segments that will be interested in our product, and last, we will develop our product to meet the needs of the targeted segment.

 Market Segmentation:

Market segmentation is the process of dividing a market into discrete groups of buyers with diverse needs, features, or behaviours that may necessitate separate products or marketing strategies. A market segment is a group of clients who respond to a set of marketing activities in a comparable way. Market segmentation is critical for determining which segments should be served in order to capitalise on the best chances. The Rolls-Royce automobile corporation has also segmented the market for serving and selling the Rolls-Royce.

Segmentation is done through:

• Demographic Segmentation:
1. Income: The Rolls-Royce is aimed at customers with a high income who can afford a high-end vehicle. According to the Los Angeles Times, Rolls Royce only pursues potential clients with liquid assets of at than $30 million.
2. Occupation: Rolls-Royce automobiles also look at the customer's profession. They go after the people that have a good reputation and are well-known in his field.

• Geographic Segmentation:
1. Country: Rolls-Royce is only marketing their cars in developed countries.
2. City: Rolls-Royce sells their automobiles mostly in cities with affluent populations.

• Psychographic Segmentation:
1. Social Class: The Rolls-Royce Ghost is aimed for the upper social class, as persons from this class would buy it to set themselves apart, such as Masons.
2. Lifestyle: Rolls-Royce caters to those who lead a lavish and showy lifestyle.

• Behavioral Segmentation:
1. Benefits: The Rolls-Royce Ghost is aimed for those who want a luxurious and quick ride while maintaining the car’s simplicity.
2. User Status: The regular users are the major target segment of the Rolls-Royce motor car corporation since most of the time, users replace their old model with a new model Rolls-Royce. It only appeals to consumers with liquid assets of more than $30 million.
3. Loyalty Status: Rolls- Royce's targeted segment is mostly loyal consumers.
4. Attitude towards products: Rolls-Royce is always looking for customers that have a good and enthusiastic attitude toward the brand. For this purpose, Rolls Royce personnel will examine the buyer's biodata, previous auto maintenance, his driving for a month, and a variety of other details. Customers can be fined by Rolls Royce if they dive the vehicle rashly, resulting in an accident.

Market targeting by Rolls-Royce:

It's hard for a single product to cater to all market sectors. As a result, the organisation should target a market sector after reviewing market segments. A target market is a group of buyers who have similar demands or qualities that the company has chosen to cater to.

Most automakers create cars for a wide range of customers and tailor their marketing techniques accordingly. According to the Los Angeles Times, Rolls Royce only pursues potential clients with liquid assets of at than $30 million. Because that niche isn't considered mass market, the way Rolls Royce sells an automobile differs significantly from how other cars are sold.

Rolls-Royce, a long-standing symbol of status and aristocracy, has been a luxurious favourite of the affluent and famous since it was initially made in England in 1904 via hand-assembly. Rolls-Royce is regarded as a luxurious status symbol around the world. Purchase a Rolls-Royce and experience the pinnacle of automobile elegance and refinement.

To put it another way, Rolls-Royce caters to the ultra-rich who have a royal, opulent, and well-known status and need a luxurious, fast, quiet, and speedy ride, as well as those who desire a personalised car to experience the taste of exclusivity.

Market positioning by Rolls-Royce:

By establishing and promoting competitive advantages, a company distinguishes itself and positions itself. Rolls-Royce automobiles do so in order to distinguish and position their product, the Ghost. Let's look at the competitive advantages they provide:

• Rolls-Royce is a symbol of royal, extravagant, and well-known pride
• Handcrafted and finished entirely by hand.
• The Rolls-Royce Ghost can be customised to meet the needs of the buyer.
• The New Rolls-Royce Ghost provides a more luxury and quick ride than the competition.
• The finest woods, wools, and leathers constructed with the pride of English craftsmanship give the car's cabin a luxury ambience.
• Inside the car, there is a calm atmosphere.
• It has developed the ability to elicit the psychological statement "the higher the price, the better the car." As a result, it has a competitive price edge over all of its competitors.
• The best after-sales service I've ever experienced.    
• For more enjoyment, the Rolls-Royce is obtaining higher prices. However, some people believe that Rolls-Royce charges more money because it provides the same service as its competitors. They are receiving more money as a symbol of royal status, luxurious status, and famous and wealthy individuals.

Company’s marketing strategies:

Rolls Royce's marketing strategy examines the brand using the marketing mix framework, which includes the four Ps (Product, Price, Place, Promotion). Product innovation, pricing strategy, promotion planning, and so on are all examples of marketing strategies. These business methods, which are based on the Rolls Royce marketing mix, aid in the success of the brand.

The Rolls Royce marketing strategy assists the brand/company in establishing a competitive market position and achieving its business goals and objectives.

Rolls Royce Product Strategy:

Rolls Royce is a well-known premium automobile manufacturer based in England. Rolls Royce is a high-end luxury car manufacturer that caters to the world's most affluent customers. In its marketing mix, Rolls Royce has various well-known brands such as Phantom, Dawn, Ghost, and Wraith. BMW owns the brand and it is a subsidiary of the German automaker. Customers can order customised cars from Rolls Royce Motors, which is unrelated to the Rolls Royce brand, which is owned by another business with the same name. The long front bonnet, metallic finish exteriors, and tailored interiors distinguish Rolls Royce cars.

Rolls Royce Price/Pricing Strategy:

Rolls Royce automobiles are high-end automobiles that cater to the ultra-rich and affluent. The pricing in their marketing mix is kept high since they offer high-quality products, services, and finishes, as well as customising to the customer's specifications. Rolls Royce vehicles range in price from $200,000 to $250,000. These are the entry-level costs for Rolls Royce. Customizations, additional add-ons, interiors, and other options can raise the price of cars to meet the demands and desires of customers. The Hyperion Pininfarina was the most expensive Rolls Royce automobile, costing $6 million each car.

Rolls Royce Place & Distribution Strategy:

Rolls Royce has a massive global footprint. The company has offices in 50 countries throughout the world. Rolls Royce cars are used by people from over 150 nations, including the United States, the United Kingdom, India, the Middle East, Australia, and China. Rolls Royce is headquartered in England, where the company's administration and manufacturing facilities are located. Because Rolls Royce has a small clientele, they have worked hard to ensure a robust distribution network for its vehicles. Because Rolls-Royces are customised, the company provides spare parts and service, which are delivered to the customer's door. When it comes to the placement and distribution of cars and spare parts, the corporation employs an exceedingly specific market mix strategy.

Rolls Royce Promotion & Advertising Strategy:

Rolls Royce has a long and illustrious history and is a brand that inspires. Because it is not a product that the general public will buy, Rolls Royce does not use traditional advertising in its marketing mix. Because this company serves to a niche market, using mass media such as television, print, and web advertisements makes little sense. Rolls Royce draws elite people since it is a sought-after luxury brand and a social status symbol. Rolls Royce is a powerful brand thanks to word of mouth and endorsements from wealthy and famous celebrities, businessmen, and others. This is the most significant marketing or brand awareness activity that the corporation may undertake. Rolls Royce keeps its clients interested through a variety of activities such as unique items, pricey presents, and so on. Regular press coverage in newspapers, TV shows, and other media reinforces the luxury automobile brand's prominence and domination. As a result, this provides insight into the marketing mix of the Rolls Royce automobile brand.

Campaigns by Rolls Royce:

To advertise things, marketing campaigns use a range of media, including television, radio, print, and the Internet. In highly competitive marketplaces, businesses and franchises may conduct regular marketing campaigns and invest significant resources to enhance brand awareness and sales.

Some of them are:

• Rolls-Royce “One of one” by Havas London

It's a film in which a Siamese fighting fish and a Rolls-Royce Phantom are compared to highlight how each is a "exquisitely unique creation" with no competition. Rolls-Royce Phantoms are commissioned on a custom basis and are "one of a kind," according to the ad, which is Havas London's first for the company. It's one of a series of short films by Sam Pilling, who's known for his F1 racing videos and BMW commercials.

•  Rolls-Royce “The spirit of ecstasy” by Hingston Studio

Rolls-Royce Motor Cars has launched a new initiative called The House of Rolls-Royce to bring the stories, experiences, and legends associated with the renowned brand to life. The film was created and directed by Hingston Studio, and it combines motion capture, 3D scanning, live-action, and animation to create an exciting 2.5-minute storey.

Digital Presence:

• Rolls-Royce remains a client-centric firm that thrives on the unique individual connections it has with its clients throughout the world, and the amount spent on digital has expanded to become a substantial component of its marketing budget.
• Client connection fuelled by digital continues to grow in popularity as a means of staying in touch with customers and sharing brand stories.
• The Agency, which has supplied continuous services such as search engine optimization, paid search, and online marketing, has been Rolls-Royce Motor Cars' digital marketing strategy of record. The social media for Rolls Royce Motor Cars is also handled by that company.
• In comparison to the industry average of 7-12%, the Rolls-Royce Motor Cars social network boasts a spectacular engagement rate of over 17%.

Innovation detail:

The aerospace sector is changing as a result of technological breakthroughs in engine design and production, materials, data analysis, robotics, and after-market services. Rolls-Royce is a global leader in aircraft engine design, manufacturing, and full lifecycle services. As a result, technological advancements drive it to improve both its products and procedures in order to match client demands.

Across numerous industries, the use of automated and intelligent robotics is an important new technology. Although robotics is primarily known for its application in manufacturing, new technologies are being explored to inspect and repair delicate aviation engines. Furthermore, robotics enables machines to reach locations where humans previously could not without dismantling the engine. This advancement will allow for quick inspections and turnaround times for damaged engines, resulting in increased reliability and reduced maintenance time.

Drawing on the ideas of other sources, such as smaller enterprises and institutions, is another important part of their innovation process. Through agreements with colleges, Rolls Royce has established research centres all around the world. This allows them to get information from outside sources and technical specialists in the field (Rolls Royce, 2019). Rolls Royce also collaborates with a number of companies, which adds to their knowledge base. Caroline Gorski, Director of Global Ecosystem and Partnership, stated on their website that by the end of 2018, they hoped to have “500 innovative firms on our books all around the world” (Rolls Royce, 2019). The absorptive capacity of Rolls Royce's innovation process is a strength that propels them forward and gives them a competitive advantage.

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