Mercedes-Benz is seen as a premium brand of automobiles. They make classy cars and are known for their top-of-the-line products. In the sports world, golf is regarded as a classy sport that classy people play. For this reason, I think it could be a good strategy by Mercedes-Benz to enter into the golf market. From personal experience, I know a handful of people who drive Mercedes-Benz, all of whom play golf. Both the sport of golf and Mercedes-Benz have a similar target market as well. This furthers my thoughts that Mercedes has made a good decision. Co-branding with one of the world’s most patrician sport will only improve the associations that are made with the Mercedes-Benz brand. On the other hand, Buick tried a stint with branded golf balls that didn’t work out so well. Since departing from this strategy, their brand equity has only increased. Mercedes will be branding golf balls and commencing a mobile golf tour co-branded with the PGA tour of America.
If everything goes to plan, this strategy could pay off. However, couldn’t Mercedes-Benz find something better to do with their money? I see the value in branding with golf events, but specific products is a different story. Although the values of Mercedes-Benz and the sport of golf are somewhat aligned, making Mercedes-Benz golf balls may not translate into vehicle sales. If anything, I think the campaign will increase the strength of the relationship that current Mercedes-Benz drivers have with the brand. It will allow them to show their support buy utilizing their golf balls.
The only question is, is the cost of the campaign higher than the extra revenue that strengthening these relationships will bring?
No comments:
Post a Comment