Nissan Leaf - the electric car
Introduction
Nissan leaf is an electric car produced by Nissan motor company. Leaf, which is an
abbreviation of Leading, Environmentally friendly, Affordable, Family car is a five door
mid sized car and was introduced in Japan and in the US in year 2010. According to the
US environmental Protection Agency determined the range
Market analysis
Nissan Leaf electric car market is comprised of customers and business users
who need to effective and affordable cars that will serve their purpose (Luther, 2011)).
The specific market segments that are targeted during the first year of introduction of
the Leaf include; professionals, governments, families, and business persons. The leaf
addresses the needs of the targeted market by bringing about increased satisfactions in
terms of quality and services offered (McDonald, 2007).
The sale of leaf is targeting a large number of customers from Japan and US
where it has been introduced before being distributed to other parts of the world.
Product competition and proliferation has in the recent past resulted in lowering of
prices and increasing the discount margin hence attracting large numbers of customers
(Westwood, 2002). In this case, lower prices have helped customers to increase their
purchases especially individual customers who buy for their family (Cohen, 2006).
Customers who purchase the car are getting free maintenance.
Product review
Leaf is an electric car produced by Nissan corporation and was introduced in the US
and Japan in 2010. The car is relatively affordable and is aimed to be sold to families as
they are the main target of the product (Clarke, 2005). The product has the following
standard features;
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Leaf is designed to ensure it’s efficient and offers families all the comfort they
may require and also it’s affordable to most families in both target countries.
The car is stable and makes the user feel no difference with other convectional
cars. Its modes of operation are relatively the same.
These features have made the car famous and also the preference of many
(McDonald, 2007). On the other hand, the car has increased the purchasing and
sales are expected to go up.
Competitive analysis
This part analyzes the strengths, weaknesses, opportunities, and threats that face
the Nissan Leaf. The major weakness of our newly introduced product is lack of
adequate brand awareness and image. The major opportunity is the growing demand
for effective and convenient cars that are environmental friendly (BNohm, 2009). The
major threat of our products is the stiff competition from our competitors like Toyota.
i) Strengths: We have four major strengths that have helped our company in
improving its competitive advantage
a) Innovative product. The production of leaf is a show of innovativeness as the use
of this product has helped in meeting many needs of the customers. As indicated
in the product description of the leaf, it’s affordable and easy to operate making
many customers look forward to owning the car.
b) Comfortability. The car is designed to be the most comfortable electrical car in
the market. It has ample cabin to ensure there is enough space for the
occupants. This shows that it is compatible and serves a number of functions at
the same time. It is designed in a way that it is usually placed in a strategic
position in order to provide effective services.
c) Technology. Leaf is produced with high technology in order to help customers
and users get satisfied.
d) Pricing. The satisfactions provided by leaf are directly proportional to the amount
of money it costs. This produced is priced lower than competing brands from
other companies like Toyota prius.
ii) Weaknesses: the company has two major weaknesses
a) Lack of brand awareness. In the initial stages, leaf has not yet developed an
image or a brand in the market place more specifically in the United States of
America where it is estimated to be sold. The competitors are well recognized in
the market place and hence they are able to compete stiffly. Nissan have not
been able to improve marketing strategies for leaf in order to compete with rivals.
They intend to counteract this weakness by improving their marketing strategy.
b) Lack of trained mechanics. The company has not trained enough personnel in
the intended market to ensure there are enough mechanics to repair, maintain
and service the cars when they have problem. This on the other has limited the
company from selling more car to avoid loosing customers trust. In order to
counteract this weakness, the company will need to revise its pricing strategies
and lower the prices in order to stiffly compete with our rivals and also enable to
enable the willing people to learn how to maintain these cars.
iii) Opportunities:
 Increasing demand for efficient cars. In the whole world there is increasing
demand for efficient cars that are environmental friendly as well. This is as a
result of increased need for environmental conversation. Most organizations,
institutions, and government are encouraging people to conserve environment
through abandoning the vehicles and machines that are emitting more carbon to
the air. On the other hand, most people naturally are interested in unique cars.
 Advanced technology. The advanced technology globally has brought about a lot
of new good opportunities for most companies. In this case, leaf is automated
which has been aided by technology. This has created increased markets for the
highly technologically designed products. There is opportunity of venturing into
external and global markets as a result of internet technology. This is because
most of the advertisements are conducted through the internet and hence there
is high probability of reaching wide range of customers.
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Diverse applications. Leaf has different applications that have enable the car to
be unique in the market and also have attracted many people. The car is all
power and make it simple to operate and easier.
iv) Threats:
a) Stiff competition. Nissan leaf is facing very stiff competitions from rivals. There
are other companies that manufacture electric cars which are heavily competing
with Nissan products. Nissan intend to solve this problem by improving its
communications strategies in order to stress its clear differentiation and value
added pricing.
b) Downward pressure on pricing. As a result of the increased competition, the
product has not secured large market shares in the United States of America. In
the pursuit to improve the product, Nissan have been forced to lower our prices
drastically.
Action plan
Nissan motor marketing strategy is mainly based on a positioning of product
differentiation. The main customer target are people aged 25 years and above but there
is no strict target on the age. This is because these are the people who are in most
cases who ask and inquire about fuel efficient cars from the company. Additionally, the
company is targeting middle to upper income earners who can afford the car. The
company is also targeting professionals and business people who may need the car
due to avoidance of breaking down due to fuel shortage (Kelley & Jugenheimer, 2008).
All of the marketing mix strategies convey Nissan Motor corporation’s
differentiation to the market segments mentioned above.
Positioning
The company is looking forward for positioning Nissan leaf as the most convenient,
multipurpose, easy to use, beneficial, professional, and value added model car. The
marketing strategy of this product will heavily focus on multipurpose (comfort, simplicity
and reliability) as the best ever in the market. The company will use product
differentiation in ensuring that it makes leaf a unique and satisfying in the market in
order to attract large numbers of customers (Kelley & Jugenheimer, 2008).
Product strategy
The Nissan leaf with all the features that are described in the product review section will
be sold with 10,000 miles warranty. This will insure that the product is bought and will
also enable The Company to detect any problem or malfunction the car might have.
This new product with be designed in more modern technology and hence will be more
satisfying then the current electrical cars in the market. Building the leaf is the most
essential part of the product strategy (Cadogan, 2009). The image and the logo will be
carefully and appropriately shown on the product and in all its adverts, and
strengthened by its distinction in the initial market campaign. These aspects included in
the product strategy will help a lot in making sure that our product gains a larger market
share as per the objectives. The adoption or acceptability of a product by customers
depends on; communicability, relative advantage, divisibility, complexity, and
compatibility.
Marketing communications strategy
The company will reinforce the brand name by integrating all communications.
The use of marketing mix will be of great help to the company as it will be able to
achieve its target. In the marketing mix, it will intensely advertise its product in the local,
national, and regional television, radios, and newspapers in order to make sure that
almost all people in the United States of America are aware of the products. The
company will use public relations where public meetings will be conducted in different
towns whereby the public will be informed and made aware of the Nissan leaf. Sales
persons will be used where they will increase awareness on people about the model
(Peter & Donnelly, 2006). Sales persons will be moving from one area of the country to
the other demonstrating how leaf will be working. Customers who purchase the product
will be provided with after sale services as a way of attracting them. The marketing
communication strategy will be well designed in order to yield the best outcomes and
help in achieving the company’s objectives. A well organized and coordinated marketing
mix helps in increasing the market share of a company in the market as many people
are able learn about the product being promoted and hence purchase it.
Controls
In order to closely monitor the product quality and maintain customer
satisfaction, the company is planning to use tight control measures. These measures
will be helpful as they will help in reacting very quickly in correcting any problem that
may occur. This is planned in order to make sure that a problem will be detected earlier
before it occurs in order to avoid much destructions.
Financial analysis
Monitoring and measurements
Conclusion
Nissan Motor Corporation is a company dealing with manufacturing of motor vehicles
and is based in Japan. The company has introduced the Leaf car model in the US and
Japan and is planning to market the product to other parts of the world. The
competitive nature in the field of automobiles makes it possible for Nissan Corporation
to competitively market and sell its products in the United States of America. In order to
effectively market its products, conducting marketing research is very essential as it
shows customers awareness as far as the product. The management of this company is
very essential in making sure that it is able to effectively market its product.
References
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Routledge
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Wiley
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