Mercedes-Benz The Luxury of Brand DNA Nick Kelvin BJK&E Media
“How Mercedes-Benz's brand DNA has enabled it to evolve and redefine itself to meet today's and future consumer demands of a luxury marque"
Key DNA Attributes Exclusivity
Assured Quality
Authenticity
Pedigree
History of Mercedes-Benz
History of Mercedes-Benz
History of Mercedes-Benz
History of Mercedes-Benz
Example Mercedes-Benz World Firsts Collapsible Safety Steering Column
Standard Airbag ABS
Crumple Zone Safety Headrests
Seatbelt Tensioner ESP
Front enger Airbag
Side Airbag
Brake Assist Seats with integrated Seatbelts
Mercedes-Benz: A Top Ten Global Brand
Source: Business Week / Interbrand: Top100 100Brands Brands2006 2006 Source: Business Week / Interbrand : Top
Logo Says It All
The „three-pointed star‟ is better recognised around the world than the Christian cross
–
International Olympic Committee: Worldwide Symbol Recognition Survey, 1995 – Enduring ion/Leslie Butterfield
More than a car…
Andy Warhol
Cars
…or a conventional brand…
Mercedes-Benz is the most mentioned brand in song lyrics Source: agendainc.com
…it‟s a cultural and social icon
Encapsulated in MB-World
Total Mercedes-Benz Brand Experience at Brooklands
Key DNA Attributes for Reinvention Exclusivity
Assured Quality
Authenticity
Pedigree
High-End Luxury Maker or Go for Growth?
“The best or nothing”
“The best for the customer”
“We had to take the brand out of its niche, and allow for economies of scale. We couldn‟t restrict ourselves to some sort of Tiffany brand” Hilmar Kopper Supervisory Board Daimler-Chrysler
“Exclusivity is not just about price, its about concept. Achieving a position in each sector is possible” Prof. Jürgen Hubbert CEO Mercedes Car Group (to 2004)
From Three New Cars in Ten Years…
Year:
1978
1979
1980
1981
1982
1983
1984
1985
1986
1987
1988….
…to New Broader and Deeper Range…
Year:
93
94
95
96
97
98
99
00
01
02
03
04
05
06
…Sharing the Same DNA…
…and Opening up to More People… Adulthood
Middle Age
Maturing Years
Exploring, questioning the value of things
Life and career are established and steady
Adding value to life, no compromises
Beginning careers, working hard, seeking life experiences and answers
Working hard, achieving balance, seeking stability and respect
Taking control, doing things always wanted to do/dreamed of doing
Source: Workshop
…While Protecting the Price
Mercedes-Benz needed to turn from being seen as a reward after a successful career… …to being an on-going reward through a successful career
Adulthood
Middle Age
Maturing Years
Exploring, questioning the value of things
Life and career are established and steady
Adding value to life, no compromises
Beginning careers, working hard, seeking life experiences and answers
Working hard, achieving balance, seeking stability and respect
Taking control, doing things always wanted to do/dreamed of doing
…is stopping to enjoy the trappings of success and gaining recognition for achievements
…represents taking control and rewarding yourself with special experiences
…represents a marker, a rite of age, part of life’s journey
Models
Reward
Rewarding Companionship
Source: Workshop
There is an element of status that is the outer-directed expression of wealth
Flash, Showing off The idle rich Decadence Indulgence
Opulence / excess Competition Power, position
Source: Workshop
New Status Values Inner Directed
Personal Reward
Self deceit Delusions of grandeur
Substance
Vacuous Flash Bling
Status Symbol
Outer Directed
Source: Workshop
Today status symbols are more about the experiences they deliver
Private self fulfilment A reward for effort Fuelling knowledge and ideas Taking control A journey Escape Inner peace and wellbeing
Source: Workshop
Mercedes-Benz Transcending Outer Directed Values Marque X Rewarding individual experience
Public show of indulgence
Obviate the negatives of driving
Accentuate the positives
Make life better
Make life more exciting
Balance, harmony, control
Aggression
At one
Out do
Nothing to prove
Everything to prove
Effortless
Trying your hardest
Get there better than when you left
Push to the limit to get the most out
Arrived
Still getting there
Planned, no surprises
The unexpected
Source: Workshop
The Strength of Mercedes-Benz DNA
ESP installed to all A-Class Virtues of being a Mercedes Paradoxically, may have increased brand warmth
A-Class
Has Mercedes-Benz's brand DNA enabled it to evolve and redefine itself to meet today's and future consumer demands of a luxury marque?
The Highest Mainstream Marque Trade-ups Mercedes-Benz Sales
> 30% more trade-up sales than nearest rival
A-Class s for 26% trade-ups
Source: Market Intelligence Services
YTD Sales: August 06
Source: Market Intelligence Services
Mercedes-Benz
+11.2%
Competitive Set
- 2.6%
Total Market
- 4.3%
Mercedes-Benz: Redefining Luxury
Exclusivity
Knowledge
In/Outward Life Phases
Time and Experience
New/Old Money
Thank You