1. 작품번호 : PW19-1006

2. M e r c e d e s – B e n z ‘What’s Your Class? ’ Young and Female targeted Brand Communication Strategy

3. C o n t e n t s I. Situation Analysis II. Brand Communication Strategy III. IMC Strategy 1. Market analysis 2. Consumer Analysis 3. Product Analysis 4. Conclusion 1. Brand Analysis 2. Brand Core Identity 3. Communication Program 1. Marketing Object 2. Marketing Strategy 3. IMC Program

4. Imported Car 1. Market Analysis (1)I. Situation Analysis Market of Imported Car in Korea is growing more than 200% every year (  Battle field of Imported car) World No.1 brand Benz’s M/S in Korea is going down to No. 3 (  No.1=BMW, No.2=Lexus in 2002) Chance! in time Crisis! of MB Falling M/S in Expanding Market Mercedes-Benz M/S (Source : KAIDA)

5. M/S by size The Market of Compact Sedan is emerging as valuable market M/S in Compact Sedan by brand Falling M/S of C-Class in Compact Sedan Market 1. Market Analysis (2)I. Situation Analysis (Source : KAIDA) Necessity of Active Marketing for Compact Sedan of Benz Chance!Crisis!

6. Age structure of possible consumers in Compact Sedan market Consumer Analysis 1 소형차 소비자 분석 Situation Analysis Expanding to the Young Generation (  Import car first started as a Luxury Sedan) Awareness of Compact Sedan in Young Generation Necessity of Marketing to attract Young Generation Young people are unaware of our new C-Class models (  Dominant S-Class, E-Class image) 2. Consumer Analysis of Compact Sedan (1) I. Situation Analysis (Source : 100 group Questionnaire 1) (Source : MB Korea) Chance! Crisis!

7. Consumer Analysis 1 소형차 소비자 분석 Situation Analysis Necessity of Integrated Marketing Strategy to attract Female Current Expansion of Female Consumers Sex Distinction in Compact Sedan Model M/S in Female Market Female prefer 3 Series than C-Class (  New Beetle in 2 nd place) I. Situation Analysis (Source : BMW Korea) 2. Consumer Analysis of Compact Sedan (2) Chance!Crisis!

8. Consumer Analysis 1 소형차 소비자 분석 Situation Analysis C-Class has Competitiveness. If people know our C-Class, We Can Win This Game!!! 3. Product Analysis of Compact Sedan I. Situation Analysis Mercedes-Benz C-Class BMW 3 Series Volks Wagen New Beetle Lexus IS Model ModelC 180 -2,000cc, Cd 0.26, Best Selling Model C 200K SC -2,000cc, Sport Coupe Kompressor Model C 240 -2,600cc C 320 -3,200cc, Dynamic Performance Model CLK 240 -2,600cc Stylish Coupe Model 318i -1,800cc, Best Sold Model 320i -2,000cc Best Selling Model 325i -2,500cc 330i -3,000 325Ci -2,500cc, Convertible Model New Beetle STD -2,000cc Old Beetle Model Redesign New Beetle DLX -2,000cc Deluxe Model IS 200 S -2,000cc IS 200 L -2,000cc Upgrade Model Price4,600~7,900 (x10000 won)4,700~7,3002,980~3,2903,980~4,250 AdvantageReasonable Price, High Performance, Stylish Reasonable Price, High Performance Cheap Price, StylishRelatively Cheap DisadvantageLow AwarenessSimilar ModelsLow Performance2 Model Choice False “C-class is expensive” “There is no young, dynamic C-class” “BMW is No.1 in KOREA ” True “Benz C-class has price competitive” “Benz C-class has young and innovative Coupe, Sport car, Kompressor ” “Mercedes-Benz is No.1 in the world” (Source : F.G.I.)

9. Situation Analysis 1.Develop Benz Brand Image to meet the unique needs of Young Generation & Female Consumers I. Situation Analysis4. Conclusion of Situation Analysis 2. Increase Actual sales of C-Class + Chance in time Crisis of Benz Consumer Market Product Remarkable expansion of Compact Sedan Market Increase of Young Generation & Female Consumers Low M/S of Compact Sedan of Benz Low awareness of C-Class by Young Generation & Female Consumers Actually, Benz C-Class has price competitive and young and innovative models as a world no.1 brand.

10. II. Brand Communication Strategy 1.Brand Analysis 2.Brand Core Identity 3.Brand Positioning II. Brand Communication Strategy Long Term Strategy Emphasis of Benz Brand Image

11. Brand Awareness of each class Dominant image of ’S-class’ Weak ‘C-Class’ awareness Relatively weak awareness in compact sedan  Imported car = Luxury car Balanced awareness in every sedan  Imported car = Alternative choice Increase ‘C-Class’ awareness Balanced acknowledge M e r c e d e s – B e n z Consumer Analysis 1 소형차 소비자 분석 Situation Analysis1. Brand Analysis (1)II. Brand Communication Strategy 17 % 17 %  43 % 2002 2003 Objective (Source : 100 group Questionnaire 1)

12. 1. Brand Analysis (2) Major competitor Brands Image Mercedes-BenzBMWLexusDaimler ChryslerFord Slogan‘It’s now or never’‘Driving pleasure’‘Overwhelming Passionate’ ‘Open Mind’‘No Boundaries’ StrongBest on WheelsInnovative, Young, Rational Young, InnovativeRational, Friendly, Young Cheap, Friendly WeakOld, Conservative, Expensive, S-class Image No.2, Lack of Originality Faithless, Domestic Awareness General, Mid-class General, Mid-class -Luxury Brands has Young, Innovative image -Mid Brands shows Friendly, Cheap and General image I. Situation Analysis II. Brand Communication Strategy (Source : F.G.I.) ‘friendly’ ‘innovative’ ‘young’ ‘best’ ‘expensive’ definitely lack !definitely enough ! Mercedes-Benz

13. Friendly, Innovative, No. 1 “What’s Your Class?” Strategy 1. Approach : Minimize Non-awareness 2. Build-up : Minimize Non-preference 3. Differentiate : Maximize preference -Satisfying your various needs (C-class, CL, CLK, SL, SLK, M) -Young eye-leveled, Compact Sedan target -Always near customer -Complement Lacking Image -State-of-the-art machine manufacture -Dynamic-innovative Designer -‘best on wheels’ from all around the world -Best Car, Best Driver from every each class 2. Brand Core Identity II. Brand Communication Strategy Friendly Innovative No. 1 Minimize Non-awareness Minimize Non-preference Maximize Preference friendly innovativeNo.1

14. 2. Brand Core Identity II. Brand Communication Strategy A Simple Dialogue that shows consumers that they can have great chance to choose the No. 1 of their own class. 1.First Class=C-Class 2.Repeat of word ‘Class’ Symbolic Question ‘there are various class in Benz’ Emphasis of No.1 Brand Image of Benz Actual Friendly & Innovative class of Benz What’s Your Class? Oh.. I’m C-Class!!! Me? The First Class.. “What’s your class?” Strategy

15. Brand Image Positioning Advertisement Program Sponsorship Program Event Program WWW Program PR Program 3. Communication Program II. Brand Communication Strategy Friendly Innovative No. 1 Core Identity

16. Advertisement Program Media Program I Sponsorship Program “What’s Your Class?” “I’m First Class Designer” “And I’m C-class!” 1.Concept Every each class has a first class. We offer consumer’s various needs. Be a first class father, first class banker, first class designer. 2.Model : A Young, Creative success from each class (ex, Good Father, Banker, Designer) 3.Strategy : -By asking your class  Decide your MB class and Strengthen the awareness -By saying First Class  Show the model is a success -By specifying the Class  Recognize MB has every Class for every success II. Brand Communication Strategy 3. Communication Program 1.Fashion Show (2003 Spring, Nix in Mercedes-Benz) -For Young and Woman, One definite way to express is by clothing -Attract Young Peoples attentions by launching our brand through fashion show -Young, Trendy clothing brand  Nix (COAX), Calvin Klein 2. Rock Concert (Benz Concert) -Another way for Youngsters to show their passion -Powerful Rock group has enough reason to move massive people’s mind -Passionate, Friendly Rock Group  World Cup Hero “Yoon Band” 3.F1 Racing (Benz Racer) -Racing track is the very place where people gather together with one big reason = Car -They are looking for Innovative, Dynamic vehicles and we are ready to reveal our new car -The biggest racing in Korea  F1 Racing

17. Event Program PR program Open Car event (‘ What’s your class?’ event) -To get familiar direct into customer’s mind  “Take a ride! Make your class MB” -Exhibit each class of MB on crowed place, young people’s gathering place -Seeing it is far better than hearing it! -The more they gather, the better they see it  Apgujung Rodeo Street, Samsung-Mall MB Place (‘C-class Place Apgujung’) -Open a Mb place by each class  C-class place, CLK place, M-class place -Each MB place could be the relax, waiting place -The people who visit this place is open minded, killing time -We can give our new MB issues or MB games -We offer the convenience, they find MB friendly. WWW Program Open separate Mercedes-Benz web site! -We don’t bound our customer’s various needs and interest into just one ‘mercedes-benz.co.kr’ -Segmented customers will be our Segmented target itself! -Benz-Teenager.co.kr : Kids are Potential Target & could affect the whole family’s MB Brand Image -Benz-Girl.co.kr : By the social demand, there are also the big target and still increasing -Benz-Leisure.co.kr : 5 day’s a week working day is creating a new trend of Weekend Leisure sport. Media Program II II. Brand Communication Strategy 3. Communication Program

18. III. IMC Strategy Short Term Strategy 1. Marketing Object 2. Marketing Strategy 3. IMC Program Benz C-Class Sales Increase III. IMC Strategy

19. 2003 C-Class Marketing Objective 200120022003 1st BMW 3 Series235 carsBMW 3 Series885 carsMercedes -Benz C-class Expectation :1770 cars 2nd Mercedes- Benz C-class 185 carsVolkswagen New Beetle 388 cars 3rd Volkswagen New Beetle 182 carsMercedes- Benz C-class Less than 388 cars 1. Marketing Objective III. IMC Strategy (Source : KAIDA) 2003 Objective of C-Class Marketing Compact Sedan M/S 31% Ranking #1 Goal sales : 1770 cars Ranking #1 1200 1770 cars ! Final Goal Sales for our Core Target (Young Generation, Female) in 2003

20. 2. Market Segmentation Young Generation Female Young and Innovative Style High Quality + Compact size Preference Consumer of Compact sedan Rich Boys Ability Groups 12%88% Career Women House Women 64%36% Bigger model Preferred Rational Consumption Good Economic Strength, Self-Confidence Rational Consumption, Lack of Information Core Target ! Sub Target ! Niche Target Market Segmentation III. IMC Strategy 2. Marketing Strategy (1) Market Segmentation

21. Star C 200 Old ladies favorite model C200 is no longer Manufactured, New C-class model entry C 240 C 320 C 200K SC CLK 240 C 180 C 240 C 200K SC C320 CLK 240 Young Ability group and Career woman targeted models C240,C200K SC will be core product and C320, CLK240 will be the following III. IMC Strategy Cash Cow Question Mark Dog Star Cash Cow Question Mark Dog Reposition! C 240, C 200K SC to be the Star Product ! 2. Marketing Strategy (2) Product Positioning by BCG Product Portfolio

22. C240 Compact+Powerful+Safety 60,900,000 Won Delicate Interior Super Charger +2,200RPM 5 step Safety Compact, Dynamic C Model C200K Sport Coupe Rhythm+Performance+Open 49,900,000 Won Rear Spoiler Panorama Sun-roof Clear Top Young, Innovative C Model III. IMC Strategy Young Star ! Woman Star ! Young, Innovative, and Dynamic Design Compact size Competitive price ++ Activate IMC with C200K SC and C240 2. Marketing Strategy (3) Star Model from BCG Product Portfolio

23. C-class Marketing Program Sales Promotion Sponsorship Program Event/Show Program Facility Program PR Program 3. Communication Program Ability Groups Career Woman House Woman Core Target III. IMC Strategy

24. ‘03 JanFebMarAprMayJunJulAugSepOctNovDec Offering Profit for purchase of Female Offering Profit or purchase of Youth Winter Safety Education for Female/Youth Autobahn Tour for selected Benz Purchaser C 200K, C 240 Movie Location Tour where C-class was used in Movie for selected Benz Purchase 24 Hours a Day Repair & Maintenance System ‘Benz Fever’ Concert of Yoon’s Band sponsored by Benz Christmas Concert of YoYoMa Sponsored by Benz Calvin Klein Fashion Show sponsored by Benz Award Female/Youth as C-Class of the Year Sales Promotion Strategy Basic Facility Event Sponsor PR III. IMC Strategy Young & Female Sampling IMC Program Time Table 3. IMC Program