Name: Tamás Gyerák

Student ID: (1910633058)

“Engineered for Magic. Everyday” Case study HE:1

In 2011, Porsche launched an advertisement campaign aimed at shifting people's perspectives of its
cars from privileged exotics and fun toys by displaying them in daily and common circumstances.
According to the vice president of marketing at Porsche North America David Pryor, "The magic of
Porsche  is how thoroughly the cars transform your everyday, routine driving”. PorscheEveryday.com
was the name of their new website. The website acted as a forum for Porsche owners to share their
daily experiences. Professionally generated videos and photographs were mixed in with user-
submitted material on the website. As an initiative, the company sent 200 cameras to certain owners
with the request that they upload videos. The company had also collaborated with the Porsche Club
of America as well as invited amateur filmmakers who could compete against each other. They had
to submit videos about their experiences and the winning candidate’s work was presented in
cinemas all across the United States. The whole campaign was created by the Cramer-
Krasselt/Chicago agency, which is titled "Engineered for Magic. Everyday". The campaign is a well-
thought-out campaign. Porsche has used newspapers, television, the internet, social media and the
above-mentioned website to reinforce their transition plan on a global scale.

Changing brand perception

1. Define the market, buyers and competition.

On a global scale the preferred buyers are upper middle class and upper-class individuals. They
consider a sports car such as a Porsche 911(110,000$) or a BMW M2 or M4(60,000$-90,000$) or a
Mercedes-Benz C63 AMG(70,000$) or an Audi rs5(70,000$).
(prices are approximations due to fluctuations caused by inflation and status of vehicles).

2. Identify key attributes and research consumers’ perceptions

The customers are looking for a firm, lowered suspension, a great differential and preferably either a
6-cylinder boxer engine/straight 6 engine or variants of V6/V8 engines. Comfort comes second when
it comes to sports cars, however it is also important when a customer is in need of a luxury sports
car.

3. Research consumers’ perceptions on competing offerings.

The BMW M4 for instance is a pure sports car that focuses on performance rather than luxury. The
Mercedes models are leaning towards luxurious attributes and the Audi brand is in the middle.

4. Determine preferred combination of attributes.

4 seats + performance, luxury + performance, 4 seats + luxury

5. Develop positioning concept that communicates attributes as benefits.

4 seats + performance = fun, agile, practical daily driver.

6. Create a positioning statement and use it to communicate with the target audiences.

The Porsche is a great allrounder, as it can be driven all year due to four-wheel drive, It provides
luxurious benefits such as leather seats and seat heating, also it is able to carry 4 people and it has a
3 liter boxer 6 engine. Therefore the 110,000$ are justifiable as it is not only a hobby car.
Name: Tamás Gyerák
Student ID: (1910633058)

Increase purchase consideration

The main problem had developed after the financial crisis of 2008. 911 sales were down by
approximately 60% due to the fact that people considered the car as a third in their garage, and even
the company positioned the 911 as a sports car. Porsche's marketing strategy was developed to
debunk the notion that Porsche vehicles were primarily used for casual or weekend driving. The aim
was to show market audiences that Porsche was more than just a sports car used on special days. By
informing the target audience that Porsche vehicles can be used as everyday drivers with high-
performance features and cutting-edge engineering, Porsche was able to execute the campaign
successfully and they could increase the sales of the 911 type 991.

Repositioning

According to Aashish Pahwa, „Repositioning refers to the process of altering the existing space a
brand occupies in the brains of the customers. In simple terms, it is a process of changing how
the target market perceives the brand or its offering”. Porsche had done precisely the same, thereby
repositioning the 911.

"Who says Porsche's aren't good cars for the snow? I drive my 996 C2 Cab year-round no matter what
the weather. Rain or shine, sun or snow, it's never let me down." -Tim from Minnesota

"My kids think I moved to Pasadena so the commute would be longer." – Michael from Los Angeles

The quotes are from the campaign, and the sentences are spoken by upper middle-class individuals
who drive a 911 every day, according to the commercial. As to reach a wider population Porsche’s
plan was to have people associate their cars with a car they can use under all circumstances.

By generating interest in Porsche's several different models of vehicles, the Porsche marketing
department hoped to mitigate potential customers' concerns. By giving potential buyers a new
perspective on the cars, this strategy helped to overcome the concerns about the cars not being able
to make a great daily driver that both enthusiasts and luxury car drivers had. Porsche's campaign is
aimed at upper-middle-class men and women in two segments which are not stated overtly in the
campaign: Luxury car drivers seeking luxury, convenience, and a high-performance engine in their
everyday vehicle, and Porsche and sports car fans.

Segmentation

The segmentation strategy in this case consists of two elements. Descriptive variables such as
demographic, geographic and psychographic indicators. Behavioural veriables include benefits the
product provides, consumer actions and consumer reactions.

A college graduate with a household income of over $100,000, 85 percent male, and 15% female
make up the Porsche owner demographic. The average Porsche owner is 40 years old or older, with
Porsche's "Engineered for Magic, Every Day" campaign targeted at a slightly younger demographic of
25-54 years old (Stephen Zoeller, 2021, 1).
Name: Tamás Gyerák
Student ID: (1910633058)

As for geographic segmentation, Porsche divides the markets into continents, countries and regions
or cities. Porsche has dealerships world-wide in every major city, however, depending on the climate
they offer different cars. For instance in Northern regions, they offer a higher percentage of SUVs and
4WD vehicles, for example the Cayenne, Macan or the Panamera. On the contrary, in warmer regions
such as Los Angeles, they offer a wider variety of convertibles for instance the 911 targa, 918 spyder
and the 911 speedster.

The psychographic profiles of a porsche owner consists of 5 types. The top gun, the elitist, the bon
vivants, the fantasist and the proud patrons.

An enthusiastic and motivated person who enjoys power and control and expects to be noticed fits
the top gun profile. The elitist profile includes someone from a rich background, who believes that a
car is merely a vehicle and not a reflection of one's personality. The bon vivants are adrenaline
seekers who use the Porsche as a form of amusement. The Porsche is viewed as a means of escape
by the fantasist profile, who is unconcerned about impressing others. The proud patron's profile
views a Porsche as a trophy, seeing it as a compensation for working hard (Stephen Zoeller, 2021, 1).

In terms of benefits, a Porsche provides excitement, performance, accomplishment. The driver of

such a car has characteristics of popularity, status, and a high income.

How it fits with core elements

Vice President David Pryor argued that the “everyday magic” campaign is “a little bit of focus on that
every day side of it.” He referred to the core elements of outstanding engineering, tradition, and
versatility. He also stated that the car is able to transform your driving routine. The campaign fits
with the core principle as the company sought to show the image of their cars as a combination of
fun, excitement, luxury and usability under everyday circumstances.

Changes in brand perception

Hypothesis: The 911 has been successfully repositioned since the “Everyday magic” campaign and it
increased total sales volume of the brand.

Experimental method: keep everything constant and vary the factor of sold vehicles since the
campaign began. Any changes in outcome must then be due to the manipulated factor. In 2011
Porsche had sold 29,023 vehicles in the US. Compared to the previous year of 25,320 vehicles sold, it
is a 15% increase in total sales.
(Figure 1 adapted from:
https://www.prnewswire.com/news-
releases/porsche-reports-significant-sales-increase-
for-2011-136597613.html)
Name: Tamás Gyerák
Student ID: (1910633058)

Bibliography:

 Porsche’s “Everyday Magic” campaign. What were they thinking?, 2011,

http://autoperspectives.com/blog/2011/04/08/porsches-everyday-magic-campaign-what-
were-they-thinking/comment-page-1/

 Christy Stewart , JustLuxe Jul 6, 2011, 8:01 PM Porsche: Engineered for Magic. Everyday
https://www.businessinsider.com/porsche-engineered-for-magic-everyday-2011-7?
r=DE&IR=T

 Edward A. Sanchezwriter Mar 25, 2011,Ad Watch: Porsche Gets Practical with “Engineered
for Magic. Everyday” Campaign https://www.motortrend.com/news/porsche-launches-new-
ad-campaign-change-brand-image-62493/

 Aashish Pahwa, July 9, 2020 .What Is Repositioning? – Meaning, Reasons, & Example
https://www.feedough.com/repositioning-meaning-reasons-examples/

 Porsche Sales Hit By Global Financial Crisis, Nov 26th, 2008

https://www.manufacturing.net/supply-chain/news/13067294/porsche-sales-hit-by-global-
financial-crisis

 How to Segment Your Target Market: A Porsche Success Story, Stephen Zoeller, January 18,
2021 https://www.stephenzoeller.com/targetmarket-segment-porsche/