[Com] VOLVO truck advertising campaign (Semester 2) Flashcards
How many truck lines does VOLVO have currently?
11
How did VOLVO apply product strategies?
- Differentiated product lines by adding unique features to each line
- Kept quality of parts premium in line with brand reputation
- Added ‘modular’ concept that allowed driver to customise truck to exact needs
What were the two truck lines launched in 2012?
The Volvo FM and FH.
What was the selling point of the Volvo FH?
The ultimate long-haul truck: Makes you more productive
What was the selling point of the Volvo FM?
Flexibility in different situations (e.g. motorway to city)
How did Volvo apply promotion strategies?
By using the STP model.
- Applying market segmentation
- Identifying target market as being comprised of ordinary people
- Targeting truck drivers who wanted a premium product / possible influencers
- Positioning through their Live Test series, a press launch and trade show unveilings.
What does the STP model stand for?
Segmentation, Targeting and Positioning.
How did Volvo apply segmentation?
By approaching Forsman and Bodenfors for a fresh start.
- Researched target market (truck buyers)
- Found that truck buyers had emotional connection with truck
- Found influencers (people surrounding driver)
- Revelation: people were ordinary
How did Volvo apply targeting?
- targeted high-end markets
- aiming for broader audience to reach influencers
How did Volvo apply positioning?
- Live Test series (YouTube): catering to broad audience
- Press launch / ‘world premiere’ of Volvo FH series (multiple locations physically simultaneously / live stream): catering to journos, truck drivers, interested people
- Trade show unveilings: catering to truck drivers / industry people
What was the context for the Live Test series?
- Forsman & Bodenfors given B2B campaign brief (business to business)
- small budget
- wanted to differentiate from traditional marketing
- research showed that campaign would be more ‘consumer’ like in broad media
How did they decide to distribute the Live Test series?
Viral marketing campaign: YouTube + PR
- unusual choice
- contrasted traditional strategies of competitors
- relies on quick sharing of content, not promotion of airplay so requires little budget
Why distribute the Live Test series via YouTube?
- Exclusive location
- Hotspot for viral videos
- Digital location facilitates quick sharing
How did PR assist in facilitating the Live Test campaign?
- Press information distributed online for news media / bloggers
- Facilitated sharing of story
- Facebook channel provided free reach
How did Volvo apply price strategies?
- Targeting high-end / premium market in line with brand values
- quality, safety and environmental care
- Cost plus pricing: Volvo marks up vehicle in order to make profit.
- Premium pricing: matching brand message of ‘premium ownership experience’
- Optional pricing: Accessories sold with truck (etc. equipment packages, hardware, electronic/software)
- Competitor’s pricing
- Modular chassis / customizable nature of trucks challenges usual pricing of trucks (one purchase for everything)
How did Volvo apply cost plus pricing?
- Volvo marks up vehicle in order to make profit.
- Doesn’t take into account consumer demand or competitive pricing, due to positioning
How does Volvo apply place strategies?
- Direct distribution
- Selective distribution via dealerships
What are the unique features of the Volvo FH?
- Dynamic Steering
- GOLD SERVICE AGREEMENT
- I-Shift
- Driver support systems
- Volvo diesel engine
What are the unique features of the Volvo FM?
- Bodybuilding interface (modular)
- Chassis layout (modular)
- Dynamic Steering
- GOLD SERVICE AGREEMENT
- I-Shift
- Driver support systems
- Volvo diesel engine
What does the Volvo gold service agreement do?
- Includes all preventive maintenance and truck repairs
- Remote maintenance
- Volvo on call button connects driver to operator who assists driver
- Service vehicle dispatched within minutes
- Workshop has access to all truck data via telematics gateway
Why would Volvo choose selective distribution?
Creates brand loyalty, facilitates sales support and allows degree of control
How many dealers does Volvo have?
1800+ in 140 countries
Why does selective distribution make sense in different markets?
Number of outlets in market dependent upon market potential, density of population and dispersion of sales
On average, how many views did the Live Test ads get?
18 million views
How many views did the Epic Split ad get?
84 million views
What were the six ads in the Live Test series?
- Ballerina Stunt
- The Hook
- The Technician
- The Hamster Stunt
- The Chase
- The Epic Split
What happened in the Ballerina Stunt?
Ballerina walked on tightrope between two moving VOLVO trucks to show stability
What happened in The Hook?
Truck hung off helicopter with CEO of VOLVO Trucks on it to show robustness
What happened in The Technician?
Truck drove over technician on ground to show high ground clearance
What happened in The Hamster Stunt?
Hamster drove truck to show precision steering
What happened in The Chase?
Truck chased by bulls in narrow maze to show speed and maneuverability
What happened in The Epic Split?
Van Damme did split between two moving VOLVO trucks while reversing while keeping constant distance between them to show dynamic driving
