COURSE CODE: MKTM518

COURSE TITLE: INTEGRATED MARKETING COMMUNICATION

NAME OF FACULTY: Mr. Sumit Sangwan
ACADEMIC TASK – 1
STUDENT’S NAME: Shilpa Sharma
ROLL NUMBER: RQ9E17B13
REGISTRATION NUMBER: 12101952
DATE OF SUBMISSION: 17 May

SUBMITTED TO: MR. Sumit Sangwan SUBMITTED BY: Shilpa Sharma

 Introduction

Ford Motor company was founded by Henry Ford. It is an American company, which has
branches all over the globe. The company was incorporated in 1903. The company is the
fourth-largest company in the world based on the number of cars sold annually. Today the
company manufactures vehicles with varied brand names including Lincoln and Mercury in
the USA (English, 2006). The company has major manufacturing plants in Mexico, Canada,
the United Kingdom, turkey, Brazil, Australia, Argentina, the people's republic of China and
South Africa. The Ford Motor company has acquired several motor companies over time.
These include Aston Martin in 1989, Volvo Cars in 1999 and Mazda of Japan.
The Ford Motor company has been forced by the recent economic downturn to enter into
hybrid and electric car manufacture which holds promise for the profitability of motor
companies. The production of the 2010 Fusion Hybrid by the Ford Motor company saw it
enter officially into the hybrid car arena. The fusion hybrid is a representation of the first
hybrid sedan for the company. The 2011 fusion hybrid promises to offer the EcoBoost option
which enhances fuel capacity. The model differs from the 2010 fusion hybrid in that it has
switched from a 2.5 to 2.3-litre four-cylinder engine. The engine is also capable of producing
191 horsepower in total. The powering of the wheels is through a continuously variable
automatic transmission. The battery pack consists of a nickel-metal hydride. This reduces the
power but has an added advantage of improving fuel economy rating for this car

Ford imagined cars being an affordable item rather than a luxury in the near future by
changing the manufacturing procedure. The success of Ford Motor Company was because its'
strategy involved an innovative way of manufacturing called mass production. The company
utilized advancements in technology, the supply chain and most of all variations in the
public’s lifestyle. Ford's personal motto, Help the Other Fellow', affected his goals, work
atmosphere and the business policy of the Ford Motor Company.

Ford still employs all of Henry Ford's beliefs into its existing corporate strategy. Ford is
known for constructing the average man's car concentrating on reliability and quality. Ford is
now a leader in innovation in the automobile industry second to BMW. Energy efficient
efforts, future safety features and technology constant effort into community activities
directed through the Ford Motor Company Fund and Community Services is one of many
ways Ford displays its participation to ad values for a safe and healthy atmosphere for the
local communities.
Ford holds these values as the utmost importance; as far as the corporate strategy, research
and leading advancements in safety and energy saving features and is deemed to be genuine
and dependable. Strategic Focus and Plan As stated on the Ford Motor Company website.
Mission One Team "People working together as a lean, global enterprise for automotive
leadership, as measured by: Customer, Employee, Dealer, Investor, Supplier, Union/Council,
and Community Satisfaction".

Introduction Of Ford Mondeo

Ford presented its 1993 Mondeo model, sold as Mystique and Contour in North America, as a
‘world car’. It tried to build a single model for all markets globally to optimize scale of
production.

This required strong involvement from suppliers and heavy usage of new information
technology. The case discusses the difficulties that needed to be overcome as well as the
gains that Ford expected from the project. New technology allowed Ford to overcome most
of the difficulties it had faced in earlier attempts to produce a world car.

IT was flanked by major organization changes within Ford. Globalization did not spell
obvious success though. While Ford may in the end have succeeded in building an almost
global car, it did not necessarily build a car that was competitive in various markets. The
Mondeo project resulted in an overhaul of the entire organization under the header of Ford
2000.

This program put a heavy emphasis on globalization although it perhaps focused too little on
international cooperation and too much on centralization. In terms of Ford’s own history, the
Mondeo experience may not be called a new model T but does represent an important step in
Ford’s transformation as a global firm.
 Problem’s Due to which Ford Mondeo Failed in the Market

Indeed, the Mondeo Mk5 was unveiled at the beginning of the year in the world's most
populous country where it will be produced. Since its premiere, the Blue Oval has confirmed
there are no plans to sell the revamped model elsewhere.
The same thing can be said about the similarly styled Evos, a wagonized SUV we wouldn't
mind seeing outside of China. Prototypes have been caught testing in various parts around the
world, so maybe Ford is up to something.
As for the Mondeo, it's dead in Europe because people generally prefer something else. Ford
didn't specifically mention SUVs, only saying the model is now gone due to "changing
customer preference."

A company spokesperson contacted by Autocar went on to say the Dearborn marque is

"evolving our passenger vehicle range in Europe to meet changing customer needs as we
move to an all-electric future."

7 Common Ford Mondeo 1.8 Tdci Problems

1. Mondeo TDCi Starting Problems.

2. Ford Mondeo 1.8 Tdci – Loss of Power.
3. Ford 1.8 TDCi Turbo Failure
4. Confusion about when Should the Timing Belt Be Changed on a Ford Mondeo?
5. Ford Mondeo Common ECU Faults
6. Mondeo Clutch Lasting problems?
7. Less availability of Oil used in Ford Focus 1.8 Tdci Engine?
Falling sales signal the End of the Ford Mondeo

Despite selling about five million Mondeos worldwide, Ford announced that production
would end in March 2022.
Justifying its decision, the company said it was adapting to “changing customer needs”,
which is another way of saying the Mondeo fell victim to the rising demand for SUVs and
crossovers.

In the UK, Mondeo sales reached a peak of almost 894,000 units in 2004 but dropped steadily
every year after that. In 2019, fewer than 294,000 were sold, and it’s been pretty much the
same in the rest of Europe.
By contrast, sales of SUVs have increased year-on-year, accounting for virtually 40 percent
of the blue oval’s sales last year, up by almost 10 percent compared with a year earlier.
In the US, production of the Mondeo’s sister model – the Fusion – was halted even earlier, in
July 2020.
To add to the Mondeo’s woes, Ford’s ubiquitous sedan has also been facing an onslaught
from EVs, forcing Ford to announce that its car line-up will be all-electric by 2030.
Inevitably, Ford is now focusing on building cars more like the Mustang Mach-E, an electric
crossover SUV totally unlike its previous namesake.
To make the point that traditional sedans are on the way out, the company will invest $22
billion in electrification technology.
But it’s not quite the end of the road for the Mondeo yet, at least for a while. In China, where
sedans have not yet fallen out of favor with consumers, the Mondeo will linger on, albeit with
a heavily revised dashboard that includes a massive 12.8-inch vertical screen like a Tesla.
 STP for “Ford Mondeo”

Segmentation of Market
Demographic Segmentation- Company should look at demographic variables like age,
gender, income, ethnicity for this segmentation.
Company could also decide to split the zip code by focusing on the lower or higher income
side. If company’s big advantage is with lower-income car shoppers, it might want to check
out country’s census tract data to figure out exactly where income levels change, and only
target home addresses that meet its criteria. Or it could engage the lower-income and higher-
income households in the zip code with different messaging.

Geographic Segmentation- In this segmentation company should be focusing on factors like

state lines, city limits, and the distance from point A to point B.
Company should sell elite and specialty features vehicle; that might be able to target an even
wider geographic segment.
It’s totally depended on company whether it want to stick with its existing geographic
segmentation or grow in their area is up to them. We can help in making that decision with a
Dealer Scorecard analysis can help them in making decision to, pinpoint where they might be
losing market share and where they should be winning.

Psychographic Segmentation- By this segmentation company can psychological

characteristics, conscious and unconscious beliefs, motivations, and so on.
These segments share certain values and diverge in others. The segment will probably not be
as persuaded by appeals to tradition, but the two groups might share complementary beliefs
about the environment (e.g., fuel efficiency and low emissions messaging might appeal to
both).
Here what company can do is whether they choose one psychometric group over the other,
look for ways to hit two or more groups at once or avoid psychographic targeting altogether.

Targeting Audience: -
The target market structure changes day by day as increasing income of a working person and
the quick time of city life the consumption behaviour changes and also total demand
increases. Company should develop strategies according to new market. An investigation
made in US, states that woman spends lots of money for automobiles and they have a strong
effect (80%) for buying a new car and their car-ownership percentage is 49%. Ford observed
that 60% of car owners of Ford is woman. An interesting example of Volvo is: “A woman-
team of Volvo has created a concept car designed only for women in 2004. So, according to
me company should focus on some specific’s region as well as on specific gender as per their
analysis.

Positioning of the Brand: -

Positioning is a managerial activity using marketing instruments, mainly promotional and
communicational, to influence costumers’ perceptions and to secure a clear and distinctive
place in their minds. The starting point for brand positioning is to determine “category
membership”-the products or sets of products with which a brand competes and which
function as close substitutes. To determine the proper competitive frame of reference,
marketers need to understand consumer behavior and the consideration sets consumers use in
making brand choices.
Company must define the appropriate points-of-difference like Lexus is quality, BMW is
luxury and performance.

Perceptual maps provide a visual picture of the positioning activity. That will help brand to
understand what consumers think about its brand and competitors’ brand and will help to
build an effective marketing strategy.

Objective of IMC
Plan: -
Corporate objective can be summarized as shareholder wealth maximization and is ultimately
achieved through higher profits and increased sales.
Marketing objectives are the successful introduction of a new car to the market. However, in
the first place the Mondeo was not expected to be a profit generating commercial car. In fact
in the USA the Mondeo is sold under its production cost. The Mondeo was derived from a
research project and its conversion to a mass-produced car might be more with the intend to
improve Ford’s image, a kind of practical socially responsibility report, showcasing Ford’s
engineering capabilities at the same time.
Marketing communication activities are a vital part in achieving the above two and have to be
coordinated with all other company activities (production, sales, purchasing).

• Strengthening the relationship with the Ford brand.

• Increase the consideration of Ford when planning a new car purchase.
• The target market should be reached as fully as possible Customer and Consumers
have to be made aware of a new product and its brand name.
• Being a new product with a new technology, a prime objective is to educate
consumers and explain the working of the Mondeo and advantages of this.
• Target markets should be excited about the new Mondeo and spread buzz/ word of
mouth.
 • Communications should motivate consumers to find out more about the Mondeo; visit
the website, order brochures, visit a local dealer, order a test drive.
• The Mondeo should be considered as a full and valid alternative to traditional cars.
• Ultimately communications should lead to a purchase, a higher percentage of
showroom visits should be turned into sales.
In a perfect world communication will guide the target through the AIDA chain. As this
product is new there are no historical data that would allow some form of trend extrapolation
to determine what is possible or what is realistic. However, the Mondeo has been launched in
Japan and the USA, but these are two different markets with a different environment and
therefore only to some degree of valid to be compared with the EU and UK market.
If all or some of these objectives will be met can only be determined by post campaign
research which should start during the campaign and be continued in intervals to monitor the
situation. Considering the performance of the Mondeo in other markets sales of around 1500
units in the first year should be set a goal, 2000 in the second and 3000 in the third. With only
two cars in the hybrid market the Mondeo should become the market leader.

Creative Strategy
The Mondeo offers features that now other car offers. These unique selling points should be
emphasized in the promotions and any barriers to purchase be weakened at the same time
(unique selling proposition strategy).
Promotions messages are like to change over time, early promotion should concentrate on
the awareness and education aspect, whereas later executions can focus on creating
excitement and focus on specific benefits. To appeal to the target market promotions should
promote the car and its users to be innovative, imaginative, bold, intelligent, revolutionary
and pioneering.
Identified barriers to purchase (high initial cost, unproven technology, product ignorance)
should be overcome by stressing the long run efficiency, success in Japan and product
information/explanation. It is important to stress that the Mondeo does not need any external
recharging (confusion with traditional electric vehicles) and offers the same convenience as a
normal car, the Mondeo should therefore perceive as ‘least brown’ and not ‘green’ (and all
the disadvantages associated with that). The campaign is intended “to make the technology
come alive”

Communications Mix
There are various communication methods. Two important factors have to be considered
when selecting the communication for the Mondeo: The type of product (high involvement)
and its stage in the product life cycle (introduction). These two factors influence the
consumer/customer buying behaviour and therefore the mix has to be adjusted to fit these
conditions.
Personal selling is very important because a car is a high involvement product and affords
more conviction for purchase which is given by PS. Personal selling will be carried out by the
local dealers who in advance should have been trained to be familiar with the Mondeo car
(dealership launch material, conferences) and its advantages and how to overcome objections.
Personal selling will also be of major importance when targeting the corporate/ fleet buying
segment, because these customers buy in bulk, they expect to be given a presentation by a
Ford’s representative to convince them that Mondeo is suitable for their fleet. The cost of
training and personal selling is assumed to be covered in dealer’s and Ford’s overheads. Sales
promotion, monetary incentives to buy, is most effective to trigger a decision or purchase.
SP is useful at the beginning of the product life cycle to increase acceptance or provoke a
trial. Ford is already selling the Mondeo beneath its production cost. However, an additional
third-party sales promotion 12 Ford Mondeo mechanism has been put into place: Powershift,
a government backed agency, charged with encouraging cleaner fuels, will refund a £1000 to
the first 200 buyers of the Mondeo.
To get the biggest benefit out of this Ford should advertise this fact. Otherwise, SP should be
used spontaneously once a slowdown in sales can be detected (PLC).

Complete Media for Ford Mondeo

 Media Plan for Ford
Mondeo
Medium Principal Characteristics Media Vehicles
Types Of Media & Benefits of this Disadvantages of this Mondeo Target
Selected method for method for use with Group usage
Channels use with Mondeo Mondeo
TV 1.Large and mass 1-Time consuming • BBC1
Broad audience 2-Multiple and high production • BBC2
cast senses (sight, sound, cost (making • BBC3
Natio movement & colour) Mondeo • ITV
nal 3- Can create ad or sponsoring • Carlton TV
Cable strong image program)2-Channel • GMT
Satelli branding hopping is easy V
te 4- Sponsorship and Usually have long British
product placement lead times and difficult Sky
opportunities to build to change message Broadc
and produce a with short notice. asting:
combined synergy 3-Limited information National
content (Mondeo needs Geographic, Discover
to demonstrates
more about its functions
and
Radio 1- Low airtime and 1- Only audio • Classical FM
National productioncosts message no visual • Virgin FM
2- Can be stimulants
produced and 2- Luck of
change persuasiveness by
quickly listeners
3- Topical 3- Listeners occupied or
messages (chat distracted by the
show) surrounding
4- Sponsorship and environment
direct response 4- Poor receptions in
opportunities (all in radio
station shows) signor
Press- Newspaper 1- Short lead time 1- Very limited impact • The Times
Regional with cheap production on visualeffects and • The Guardian
National / Daily/ cost (pictures) printing colour • The Independent
Weekly/ Weekend 2- Selective readers 2- Crowed with • The
with broadacceptance other DailyTelegrap
3- Direct respond advertisements hAll above
facilitated 4-Actively readerscannot include
read and frequent encode message weekends
publication (reliability 3- Readers could be exclusive
and believability) distracted by magazines
5-Geographical selective surrounded • Financial Times
environment4-
Short life cycle
Magazines 1- Highly Selective 1- Long lead time • National
National/ Weekend (magazine target group for some titles Geographic
Monthly/ in Motor technology) & 2- Crowed with other • Stuff
consumers Men’s / Low productioncost advertisements (too • AutoCar
Women’s Technical (pictures) much colours and • The Times
2- High information details readersskip magazine
content (detail pages)
of Mondeo) 3- Visual stimulants
3- Editorial synergy lack of other
projected by senses ( no sounds and
the magazines image movement limits the
(Prestige ability to demonstrate
& credibility) Mondeo)
Posters 1-Divers and broad 1- Creative • JCDeca
Outdoors audience 2-High limitation and ux
Road sides (billboards) / frequency of exposure audience activity billboard
Shopping areas 3-Prominent brand 2- Short exposure time s
(centres) /Airports/ taxis differentiation 3- Message must be Heathro
4- Strong impact with simple 4-Posters w, City,
simple message area are highly Stanstate
1- Visible through variable , Luton
the day 5-Many may Airport
not have • Most congested
effective • traffic zone
1- impact
Internet 2- High 2- Could relay • Ford web sites
World wide interactively level heavily on search • Link with Amazon,
webWeb (Mondeo engines. googl
page target is highly 3- Audiences are not e,
E-mail Technological garneted. 3-Limited yahoo
orientated) visual effect in terms of , the
3- Large potential the actual times
audience 3-24hours product and and
any time demonstration. other
4-High information 4-Can create irritations. releva
contactwith nt on
direct respond links
(Mondeo to car
audience
could email and
communicate) 5-Low
production costs
6-Advertise on the web
page
THANK YOU