Date post: | 15-Aug-2015 |
Category: |
Documents |
Upload: | joe-palermo |
View: | 200 times |
Download: | 9 times |
Choosing a Brand
Garmin designs, develops, manufactures, and markets a variety of navigation, communication, and information products.
The company operates in multiple industry sectors. Primarily, Aviation, Automobile (Mobile), Marine, Outdoor, and Fitness.
The Situation
Currently, Garmin has a strong presence in the business, institutional, and government marketplaces, but faces a challenge in the consumer GPS market.
Stiff competition from new market entrants, and incumbents pose a treat to Garmin’s market share in all areas. However, mostly the consumer GPS market.
Opportunity Assessment
WEAKNESSES
Federal agencies monitor GPS satellites sometimes limiting potential clients. Especially the U.S. DOD.
3/4 of revenue comes from Position Navigation Devise (PND). Making it challenging to enter into markets where GPS is irrelevant.
Superior competition within the had-held, telephone/mobile, and fitness markets
STRENGTHS
Products are certified for use in aviation by the FAA, ISO, etc…
Brand Recognition
Dominates OEM market share amongst GPS competitors like TomTom, etc..
Strong internal Research and development
BRAND AWARENESS
Overall yes.
Brand Essence
At their core, Garmin’s creates best-in-class (superior quality and durability) products at an affordable price, guaranteeing customers the best value amongst GPS competitors.
Always know where you are and where you’re going
Target Audience
Gov.--- Military
OEM’s--- Automakers, Airplane and Boat Manufactures.
Consumers--- (via large retailers) Walmart, Amazon, etc…
Sports, and Outdoor
Define Target Audience
Main Target Audience: OEM’s (in-dash Navigation) in the automobile, marine, and aviation industries.
Military: important to maintain strategic business relationship.
Consumer: hand-held navigation devices- target individuals into fitness and outdoor activities.
United States 47% market share Vs. Europe 26% market share
Target Audience Size
Total Companies: over 1.8 million
US Federal Government: 16,857 people
Navigational & Guidance Manufacturing: 40,727 people
Manufactures: boats, auto, aviation: 55,973 people
It goes on…
Industry
How many of these people in each sector are decision makers?
In other words, WHO HAS THE AUTHORITY TO PURCHASE MY PRODUCT?
One solution may be phone research
Individual Consumer
I want to target the fitness/outdoor enthusiast and build value among these influencers.
General demographics is not my concern.
Who are these influencers and how do we speak directly to them?
Target Commercial Retailers: 4.8 Million Companies… and counting.
Does my product solve their problem?
In short, yes.
Backed by strong R&D Garmin is trusted and solves the customers navigation and guidance concerns.
Brand Awareness
OEM’s are aware of the Garmin brand, and place trust in associating their reputations with Garmin’s GPS solutions
The individual consumer is aware of the Garmin brand, however, the fitness category may be weakened by competitors.
Competition
TomTom
SWOT: There are two main players in GPS Garmin and TomTom. Currently, Garmin has a dominating presence in the US marketplace.
However, the service/product is very similar. TomTom may be able to gain a competitive advantage by providing an almost identical product at a lower price… winning over more B2B customers.
Invest in brand recognition, and focus in on business customers.
Counter-Punch
Keep price competitive, and invest in establish brand superiority by emphasizing better R&D
Pricing Strategy
Position Garmin as premium product through superior research, development, and innovation
However, pricing for business customers must remain competitive among the competition
Products for B2B are far to similar and should be competitively priced
Target Market
Focus efforts on targeting business customers, or OEM’s
They want proven, reliable, and innovative products/services
Message Strategy
Providing a superior product/service through superior R&D at a competitive price
(Don’t mention the competition)
Personality
Educate the prospective customer on why Garmin is, and will continue to the marketplace leader (superior R&D)