The Mercedes- Benz from time immemorial has been the phenomenal automobile that depended on its brand to sale. Its models and unique manufacturing systems made it second to none in the motor industry. The global demand of the vehicle automatically led to generation of various models for the classy members of the society and the well to do individuals and also resulted to high purchase prices.
The manufacturers could afford to produce a certain number but counter profit margin demands by raising the prices due to a certain market monopoly that this brand had created. The main marketing strategy was based on quality and customization to suit the unique needs of specific clients who were ready and able to meet the costs associated. However, over time, due to the upgrade of various manufacturers especially competition from the east (Japanese manufacturers), has made Mercedes- Benz face a gradually changing market atmosphere. Therefore they were forced to change their marketing strategy to counter their low reliability in the current market, price wars, specific client complaints and reduction in market share by the invasion of equally quality vehicles like the Volkswagen Passat.
The Passat is a German manufactured 4-door, 5-passenger family vehicle that is very posh (Volkswagen Passat Sedan Komfort, 2009). It comes both as a sedan and a station wagon. This has greatly contributed to the reduction of the Mercedes Benz market share because it meets most if not all the basic comforts and engine composition of the Mercedes Benz. The Mercedes Benz therefore came up with the C- Class model which attempts to basically breach the price Gap and enhances a sportier outlook. This model was aimed at bringing new customers to the manufacturing giants and also retaining a great percentage of them. It is bigger compared to the other Mercedes models and also comes in either the sports model or Luxury model to capture the most of available market. It is considerably cheaper and targets to attract first time clients.
In conclusion, Mercedes Benz manufacturers had to come out of their comfort zone of depending on the Brand name to market in order to retain and stay relevant with the rise in motor vehicle technology by other manufacturers. They had to embrace direct combat type of competition which made them embrace open advertisement and even used models and musical icons like lady Gaga (pop artist) in promotional campaigns.
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