Aubrie Gersbeck Beatriz Gonzalez Mathilde Perot Bram Vandeperre Alina Vorontsova

1. Aubrie Gersbeck Beatriz Gonzalez Mathilde Perot Bram Vandeperre Alina Vorontsova Group D

2. Executive Summary “We are mapping out marketing strategies to attract customers of BMW, Mercedes-Benz and Audi” -Rachael Kim Nissan Korea Spokeswoman Nissan does not only follow the modern trends but is an innovative company that offers a variety of automobiles to fit any lifestyle. However, the brand lacks a personality and suffers from low awareness especially among multicultural millennials. We conducted extensive research to find out what is important for this generation and what speaks to them. They are ambitious and strive for success. They want to own luxurious items but they cannot afford them yet. However, they can feel luxurious now because the definition of luxury is different for them. They do not really want the kind of luxury that the older generation owns. Their luxury is different. We want to make Nissan associate with luxury for millennials. Nissan is exactly what they want: it perfectly fits their needs and wants. We have explored the separate elements that are critical for each individual group of millennials: African Americans, Hispanic Americans and Chinese Americans. We applied those elements as a means to catch attention of the target audience and resonate with millennials. Our campaign includes creative executions for traditional media as well as below the line ideas.

3. Nissan’s Two Dimensional Grid On the Y axis: Perception of redefined luxury On the X axis: Perception of innovation Competitors: Toyota, Honda, Ford, Chevrolet and Hyundai Nissan clearly is the leader when it comes to innovation  having the first 100 percent electric car plays a significant role here An increase in the “perception of redefined luxury” is where Nissan needs to improve A new marketing strategy is needed to develop a new perception among the target audience.

4. Some Important facts to Justify our Grid: NONE ARE LUXURY BRANDS The people surveyed did not see any of these carbrands as luxurious brands; cars like Mercedes and BMW were not in the options, only Nissan and the 5 important competitors. SPORTSCARS ? People confuse luxury cars with sportscars LEXUS Toyota scored high because people considered it as the mother company for Lexus JETSET Honda has moved up recently and is growing upward as well, because of their new line of private jets  creates a perception of redefined luxury  Millennials “wants” are overwhelmed by a jetset lifestyle in songs, movies and television. Their idols have it, and Honda might make it possible/more affordable for them as well. GOING GREEN ? Nissan scored high when it comes to innovation, their Leaf campaign was set into motion in 2011 which gave an incredible boost to the perception of innovation. People are craving the jetset described above, but they are also consious about the environment it seems. American Brands like Chevrolet and Ford do not move around the gird too much.

5. What car brand has been innovative in the last 5 years ? Nissan scored highest, their “innovation for all” clearly left a mark • Which car company has more underrated luxury cars in its line-up than others? Nissan lowest with Hyundai, people just dont see the need for leather seats in these brands

6. SWOT Analysis

7. Strengths • Wide variety of cars, prices, style, etc. The brand is known and recognized. • Strategic alliance with Renault • Signed in 1999 • Recognized by customers as one of the best three automotive groups in the world in regards to quality and value of its products and services • The alliance increased market share to 9% (fourth in the world) • Alliance has taken further initiatives to fuel performance • Global operations • Wide geographic base • All key markets covered on all continents • Adding additional initiatives in new markets • The group benefits from opportunities in all markets giving it diversity and strength • Robust research and development activities • Strong research and development department with strong financial backing • R&D’s main focus is on environment, vehicle safety, information technology and product development.

8. Weaknesses • Declining reputation due to recalls • Number of cars recently recalled due to safety problems • (November 2010) Nissan recalled 604,500 vehicles due to faulty steering shafts and batteries • October (2010) Nissan recalled 830,000 units across nine models due to engine defects in power control switching • Depends on Overview Market

9. Opportunities • Expansion of product line ups • Alliance with Renault has lead to an increase in their product line up across several markets • The expansion in their line up will lead to increased market share, revenues and profitability • Growing opportunities in emerging markets • Increasing focus in Russia, China and India • The group will increase its manufacturing and sales network within these countries • Strategic investments in zero-emission technologies • Rising energy costs and increased regulation will lead to a high demand for zero emission technologies • Nissan signed 60 agreements worldwide for preparing markets and infrastructures for change to zero-emission technology • Strategic cooperation with Daimler • Renault/Nissan group looking to further broaden and strengthen their product with a new joint venture with Daimler • This will lead to an increase in benefits for all parties involved with an increase in volumes leading to economies of scale and cost sharing

10. Threats • Competition in the global automotive market • Competition likely to intensify due to increased globalization and consolidation in the automotive industry • Increased competition may lead to a decrease in sales, thus an increase in inventory, thus an increase in price pressure • Appreciating Japanese Yen against US dollar • Nissan is sensitive to fluctuations in currency • Majority of transactions done in US dollar then converted to the Yen, recent appreciation of the Yen to the USD having an adverse impact on Nissan’s operating results • Tightening emission standards • The EU and EU Parliament adopted a directive that establishes increasingly strict emission standards for passenger and light commercial vehicles • The new directive states that the manufacturer will be responsible for emission performance of these vehicles for 5 years or 100,000 miles (whichever comes first) • New initiatives across the US also add to the pressures of producing vehicles capable of sustaining continued low emissions

11. Nissan Overview Nissan was established on December 26, 1933 by Yoshisuke Aikawa and received its current name on June 1st 1934. Today it is a worldwide car manufacturer containing a whole lineup from sport cars to 100% electric vehicles. This table includes all Nissan’s current models: This table includes all Nissan’s current models: Sources: http://www.nissan-global.com/GCC/Japan/History/history/index-e.html A Brief History of Nissan motor company. NSAC CaseStudy for Nissan Competition

12. Nissan and their top Nameplates by Ethnic Segments: The top cars in its lineup are the Altima, Rogue, Sentra, Pathfinder and Versa. The Altima is the most popular one among the Multi Cultural segments, also included in the top 5 are the Rogue, Sentra and Versa. The Pathfinder currently has the goal to increase its sales volume within the MC segment.

13. Nissan is doing good with the MC consumers. The MC segments have a better standing when compared to the Non MC segment. However, the MC segment has decreased more over the passed 3 years than the Non MC segment:

14. Target overview Yes, we are SPECIAL They want to be unique, but still keep their sense of cultural acknowledgement. Their home country is till important to them, even if they were born and raised in the USA. I can do it! They want to follow their passion, they believe it is possible to do this ifthey make the effort. Look at me...or not :) For all Millennials it is important to be up to date, they want the best of the best because they deserve it. I want THAT! Brands are everywhere, they surround and target the Millennials in general. Brands are mentioned in movies, music and television. Their idols have it, so they crave it. Therefore, brands became a part of their lives. Going green? Of course... Besides dreaming about the jetset life that surrounds them, they are also aware of the environment. New organizations in school and on the street constantly alert our target about the fact that they have to make a difference. Digitalization This is the digital era; facebook, linkedin, gmail, google are ruling the world of millennials. Smartphones are ubiquitous, it’s the first thing they check when waking up and they wont leave the house without it.

15. MRI: Vroom Vroem Vroum: • They say they don’t just want any car, especially because they know a lot about cars. They need to feel the excitement when driving. They are also taking care of tomorrow, so there is a going green mentality when driving a car. • Their money is tight, but there is still money left to get what they deserve. It will be the best their money can buy. • The car also has to look cool, because they will drive around with their friends to see other friends. Millennials are media and technology: • They are confronted with media and technology on a daily base; they even create it. (Facebook for example) • They were born and raised during the internet era • Internet and media is their resource for information and inspiration. They also use the internet to take a break from reality. • Because of their knowledge around technology, they are also better prepared before taking real world actions

16. Nissan and their Multi Cultural Share:

17. Nissan and the Market Share with competitors:

18. Nissan Brand Positioning • Innovation is the underlying theme for Nissan North America. • "Innovation has been the heart and soul of the Nissan brand for nearly 100 years," said vice president, Marketing, NNA. (Jon Brancheau) • Innovation tagline are widely used within the Nissan product portfolio. Every advertisement has the same general idea. Source: http://www.prnewswire.com/news-releases/nissan-launches-innovation-for-all-brand-campaign-to-build-on-us-market-growth-101467869.html

19. Nissan and Sponsorship Nissan has 3 is involved with sponsoring the following 3 projects for almost 5 years: • The Heisman • NCAA Aligns itself with the following attributes: 1. Performance 2. Quality 3. Style. + Products are exposed are exposed massively to the target audience. In that way, Nissan as a brand is able to send any message wanted across to a diverse audience by using television, consumer print, online ads and footprints. All these Marketing Mediums are displayed at 10 college football games in the • Fitness program which is now called Innovation for Endurance Personal Achievement will be associated with Nissan  this is under assumption that being fit is an widely spread attribute among our target audience. Nissan has partnered up with Rodale Publications. The Marketing Mediums used are print ads, online advertising, social media and on site activations at marathons and cycling events within the USA.

20. Who is our Target? Multicultural Millennials (age 18-29) in the African American, Hispanic and Chinese segments

21. Multicultural MillennialsInterested in staking their claim in the world, and want to be known for doing so! Self- assured, confident, secure and adventurous. Pursues challenges, novelty and change. Likes trying things no one else has. Enjoys keeping in touch with family and friends. Our target understands that brands are a part of their lives, but would rather be defined by their choice in music, art, and celebrity association.

22. The Millennials and Their Spending Power They represent an estimated 71-80 million consumers in the United States and the estimated spending power is estimated USD 300 Billion. Millennials are 2.5 times more likely to be early adopters of technology. Millennials report a desire for adventure, furthermore they think life should be fun. Whether shopping, dining out or immersed in their mobile devices, Millennials prefer the music turned up and the atmosphere casual. SOURCE [Fromm, Jeff. "Do You have a Millennial Marketing Strategy?" Franchising World 43.9 (2011): 56,56-57. ABI/INFORM Global. Web. 25 Oct. 2011. ]

23. Gen Y and Marketing • Notoriously selfish, lives for today, and spends big. • Gen Y is a major market for automobiles (approximately 40% of the auto market in 10 years). • Gen Y likes products customized to their unique needs and brand names are important. Marketers need to craft products and pitches that are more realistic keeping in mind that music and fashion are key touch points. • Gen Y responds well to green living and energy efficient features. They are an immense untapped market for nonprofit organizations and social causes. They want products and services with a purpose greater than the bottom line. • Gen Y pays little attention to quality. They expect competitive pricing and might want to negotiate based on your competitor's advertised price or search results from the Internet [2]. • However, they are most likely to purchase prestige products. They experience a high degree of shopping enjoyment. An effective marketing strategy for this generation is to routinely introduce new products and services. Retailers need to constantly adjust and update their offerings to drive traffic among this active shopper segment that gets bored so easily. Gen Y shops frequently and expects novelty or prestige to be associated with their product choices. • They expect an Internet experience to be interactive. This generation is impatient as they were raised in a world of technology and instant gratification. They value fitting in and connecting with their peers. Hence, social networking sites are important in that they allow them to connect with their peers regarding important issues. With email almost passé, they prefer instant messaging, texting, and interacting with friends on social networking sites like Facebook or Twitter. Most of them are creators, distributors, and users of content. SOURCE [Williams, Kaylene C., and Robert A. Page. "Marketing to the Generations." Journal of Behavioral Studies in Business 3 (2011): 1,1-17. ABI/INFORM Global. Web. 25 Oct. 2011. ]

24. When it comes to cars… “They love cars…certain types of cars…those that thrill and excite them when they are driving…those that are go easy on the environment…those that have great new technology…those that they can make their own…” They mostly cannot afford a “luxury car,” they want the best of what their vehicle has to offer, no matter what they drive. Looks and style of the car are extremely important to them

25. Millennial Psychographics

26. African American: Statistics Total US Population: 12.6% Average HHI: $66,000 Median Age: 45

27. African American: Psychographics Pride and individuality are key aspects Strong desire for personal power and ability to choose, but are careful about trusting others – similar to the population of new vehicle buyers. The African American lifestyle is all about things like speed, individuality, trendsetting, and technology. There appearance is a reflection of themselves. Their purchases are a representation of their personalities. Style was the number one feature African Americans look for in a car

28. African Americans: Simmons Findings

29. Hispanic American: Statistics Total population:16.3% Average HHI: $68,000 Median age:39 years

30. Hispanic American: Psychographics Optimistic views about their future. The influence of Hispanics/Latinos is evident throughout American culture: music, dance, food and fashion are just a few examples of the powerful effect this market segment has on mainstream America. Hispanics value a relationship and will remain loyal to brands and retailers that nurture these relationships. They are price-conscious, but will pay premium prices for high perceived value, especially for automobiles, clothing and accessories. In their free time a large percentage enjoyed entertainment- listening to music and TV.

31. Hispanic American: Simmons Findings

32. Chinese American: Statistics • Total US Population: • 4.8% (Asian) 1.1% (Chinese) • Average HHI: $78,000 • Median Age:36

33. Chinese American: Psychographics Common shared values among Chinese millennials: family, community, saving, education, respect for elders. Cultural factors that affect behavior: heritage, identity, language. In general, over three-quarters of Asians strongly identify themselves with their own country of origin first rather than the umbrella term of Asian American. Consider themselves trendsetters Cautious in personal and business dealings Price Conscious Plan for the long-term Respect of authority and elders Seek harmony in relationships Genuine loyalty to employers Desire and willingness to learn from others

34. Chinese Americans: Simmons Findings

35. Target Audience

36. Style, Music and Innovation are not only specific to each target audience separately, but they are shared insights as well.

37. Nissan and Diversity People constitute a mix of diverse backgrounds, from gender, nationality, cultural, geographic, age, education, lifestyle and preferences ...At Nissan, we believe that diversity is a source of strength. "NISSAN | CORPORATE INFORMATION | Diversity." Nissan Motor Company Global Website. Web. 30 Nov. 2011. <http://www.nissan-global.com/EN/COMPANY/DIVERSITY/>.

38. Nissan has been actively promoting diversity, not only for the sake of social responsibility but because Nissan believes diversity makes good business sense and can create a competitive advantage. In business, companies that stay focused on strategy and work hard to create value for all of their stakeholders are the ones most likely to succeed. To be successful in the global economy, companies depend on their ability to understand and reflect a range of human characteristics found in all the markets where they do business. It is not reasonable to expect one particular age group or cultural group to have all the answers about what it takes to appeal to customers around the world. The richest solutions are found when diverse groups of people work together to address needs or develop innovative solutions. Solutions come from using the talents of both men and women, young and old, from all levels in the organization or from different cultures. Diversity is described as the bridge between Nissan and customers and, in an ideal world; Nissan would mirror the reality that exists in customers. At Nissan, we see diversity as a strategic imperative for our business. That's why Nissan is developing the necessary structures, environment and objectives to make sure that performance will follow. Nissan will continue to promote diversity to maximize its value to customers around the world. "NISSAN | CORPORATE INFORMATION | Diversity | CEO Message." Nissan Motor Company Global Website. Web. 30 Nov. 2011. <http://www.nissan-global.com/EN/COMPANY/DIVERSITY/CEO/>.

39. Objective of campaign: The goal of our campaign is to increase brand awareness and build brand image. Positioning Statement: Nissan is better than Toyota and Honda because we understand our consumer. Nissan offers millennials the kind of luxury in a car that they want at the prices they can afford. Innovation is what separates Nissan from other competitors. Brand Personality: Nissan’s brand personality can be defined as, Innovative And Inspirational. Innovative means being original, forward-looking, engaging and challenging. Inspirational means being promising, stimulating, exciting, and looking forward to the future. These ideas come together to support Nissan in their effort to engage consumers and further increase brand awareness.

40. Creative Brief • Insight: Multiculturalmillennials can’t afford the classic “luxury” car that older generations have already attained. But millennials have a different definition of what “luxury” means to them. Luxury for millennials is choice, individuality, scrutiny, integrity, speed, entertainment and innovation. Their car is the definition of who they are. It’s the way it makes them feel. They are the generation that wants nothing less than what they deserve! • Message: Nissan redefines luxury for YOU.

41. …continued Nissan offers features that directly relate to our Multicultural Millennial Consumer. These features include innovations in technology, style and sound systems. “Nissan redefines luxury for you” inspires you to be a part of the life you deserve. Reason to Believe:

42. Organizing Idea Our campaign will help Nissan directly relate to multicultural millennials. Our main focus is to have each of the selected targets talking about life and how it inspires them. They explain that they deserve nothing but the best and will never settle. Each of our targets will then be shown getting into their own Nissan. Our goal is to prove to them that Nissan will provide them with the kind of “luxury” in a car that they want! Our research reflects our targets own definition of luxury and what it actually means to them. Nissan will help them prove to the world that they got exactly what they wanted and didn’t settle in the areas that are most important to them…music, style and technology.

44. Cars Used in Ads

45. Commercial Breakdown • man about to go on stage is giving a speech to his band members • man about to go on stage is giving a speech to his band members

46. 30 Second Commercial Breakdown • Quick shots of numerous multicultural millenials at different events. • These shots will be cutting in and out of scene, sort of like a video montage. • 1 African American woman at a bachelorette party. She is the maid of honor and is giving her speech. • 2 Chinese American man at a party for the success of a major stepping stone in his new business. He is giving an inspirational speech to his employees. • 3 Hispanic American man about to go on stage is giving a speech to his band members

47. …CONTINUED • Each of these speeches will come together to make one major speech. • This is our MESSAGE. • It captures Nissan’s brand persona. • Its inspirational for all millennials • After the montage is over each of the three individuals will be quietly walking to their own Nissan. • This scene will be quiet. • You will only here the door shut, and the engine start. • The voice over says “Nissan redefines luxury for YOU” • END

48. :30 Second TV Spot Video: There will be a video montage of all three 15 second commercials. The whole thing coming together with the consistent dialogue in the background, given by each one of our specific targets. At the end of the entire speech you will see each person getting into their own Nissan and driving away. Dialogue: Nissan redefines luxury for you…in music, style and technology.

49. Speech: • African American: • Don’t settle for anything less than what you deserve… • Chinese American: • We are the generation of ambition, hard work, and dreaming big… • Hispanic American: • The sky is our limit and we live for the fame, the music and the future… • African American: • We deserve nothing but the best… • Chinese American: • Anything is possible…we don’t care about the destination, as long as our journey is worthwhile… • Hispanic American: • Just be you, live your dreams and dream you life…

50. Video: African American woman giving a speech at a bachelorette party. :15 Second TV Spot Dialogue: Don’t settle for anything less than what you deserve… …because we deserve nothing but the best! Video: At the end of the night all you hear is her heals walking to her Nissan Murano. The door shuts. The engine starts. Dialogue: Nissan redefines luxury for you…in Style. … In Style