1 page essay

The University of Texas at Dallas

Marketing Plan

Marketing Research Project: Tesla Autonomous Vehicle

OCT 31, 2019

Marketing 3300.001

Professor Ernest Bigham

Table of contents

Executive Summary……………………………………………………………………

Mission Statement………………………………………………………………………

Vision Statements………………………………………………………………………

Marketing Objectives…………………………………………………………………

Target Market(s)………………………………………………………………………

Environmental Scan…………………………………………………………………..

Marketing Mix………………………………………………………………………

SWOT Analysis………………………………………………………………………

Competition and Unique Value Proposition…………………………………..

Consumer Behavior…………………………………………………………………

Cost-of-goods Sold…………………………………………………………………

Conclusion and CTA…………………………………………………………………

Style…………………………………………………………………

1.Exccutive Summary

What your plan is about (D); why you are conducting it (E); what is your objective (F); who is it for (G); what is the environmental scan (H); list your marketing mix (I); detail your SWOT analysis (J); note who is your competition and UVP (K); state your consumer’s behavior (L); list your COG (M); what is your conclusion and CTA (N); where you located your information;

2.Mission Statement

Tesla’s mission is to accelerate the world’s transition to sustainable energy.

3.Vision Statement

Tesla believes the faster the world stops relying on fossil fuels and moves towards a zero-emission future, the better.

4. Marketing Objectives

(1) Autonomous cars mean a car capable of self-navigating and interpreting the traffic situation on the road without the driver actively operating any system on the car. Autonomous cars combine a variety of sensors to perceive their surroundings, such as radar, lidar, sonar, GPS, odometry and inertial measurement units. Advanced control systems interpret sensory information to identify appropriate navigation paths, as well as obstacles and relevant signage. The future of autonomous cars will create drastic changes in the business models of traditional automakers, offering many development opportunities. (2) We plan to:

· Generate an increase in referrals monthly

· Maintain positive, steady growth each quarter

· Maintain customer satisfaction after sale services

(3) Introducing autonomous cars to a skeptical public that doesn't know how to react to these newfound gadgets, it's going to be tough. In addition, people still doubt the safety of autonomous cars. (4) We will implement this plan within 6 months, starting from Jan. 2020 then we will review, re-evaluate in Jun. 2020. (5) we will generate 30% of income among 3millions target markets for $1,500,000 in revenue.

5.Target Market(s)

(1) Demographics

We focus on customers who have job and have stable economic capacity. In addition, autonomous cars also apply many new technologies, so the target market is those who can handle the technologies. As well as, the cost of autonomous vehicles is much higher than normal cars, so the target customers are those with high income.

(2) Psychographics

Customers are technology lovers, like modern life. Or people that can’t drive a normal car because of health reasons.

(3) Target market traits

· Who are 30 years old and above

· Who have graduated from high school

· Who are above average-income, about $70,000/year

· Young technocentric people

· Elderly and disabled people

· Population at DFW area

6. Environmental Scan

Founded in 2003 by a group of engineers who wanted to prove that people didn’t need to compromise to drive electric- that electric vehicles can be better, quicker and more fun to drive than gasoline cars. Today, Tesla builds not only all-electric vehicles but also infinitely autonomous vehicles, scalable clean energy generation and storage products.Tesla Inc. designs, manufactures, and sells high-performance electric vehicles and electric vehicle powertrain components. The Company owns its sales and service network and sells electric powertrain components to other automobile manufacturers. Tesla serves customers worldwide.

Economic force:

A new IHS Markit study on April 2018 about Tesla’s economic contribution in California shows that the automaker contributed more than $5 billion to the state’s economy and supported over 51,000 jobs last year, and remain focused on trying to make a positive difference in California as they work to accelerate the adoption of sustainable energy.

The bulk of Tesla’s impact in California has been in Alameda County, Santa Clara County, Los Angeles County, the City of Fremont, and San Mateo County. The company has 150 manufacturing facilities, warehouses and administrative buildings across California and it operates 172 Supercharger stations, and 38 Tesla sales and service centers – with a total staff of 20,189 people.

Tesla has transformed the car industry because of Tesla's ideas, and the way it has connected those ideas to an ambitious vision for a future of renewable energy and self-driving vehicles, are as compelling as those coming from any other American business.

Regulatory or legal trends:

There are currently 10 states that have self-driving laws in place. They include Nevada (the first state to allow self-driving cars back in 2011), California, Utah, Arizona, Louisiana, Florida, Tennessee, Michigan, North Dakota and Washington, D.C. According to the National Conference of State Legislatures, at least 34 states have considered autonomous legislation in some form or another.

In recent years, in the autonomous car debate website, there are many involved, mainly centered around safety issues.The big question is who is responsible for accidents when autopilot fails—the car company,the driver, or the system. Although Government regulators are stepping in and starting to have serious discussions (and open up investigations into the crashes) about the future of self-driving vehicles and what it could mean for everyone on the road, Tesla autonomous cars with level 5 autonomous still are one of the safety cars according to the National Highway Traffic Safety Administration.

Technology force:

Tesla with Level 4 to 5 autonomy, are fully autonomous vehicles—one where you can put in a destination and the car drives the entire trip without input from the driver. They have safety features like anti lock brakes, lane keeping assistants, parking helpers and sensors to keep us from backing into things.

All new Tesla cars come standard with advanced hardware capable of providing Autopilot features today, and full self-driving capabilities in the future—through software updates designed to improve functionality over time to warranty the safety for drivers and other surrounding transports.

Competitive force:

In the lastest marketing plan on April 23, 2019,Tesla unveils their new “best in the world chip” for self-driving cars, and promises robo-taxi fleet as early as next year in some locations, the bold promises by Chief Executive Elon Musk.The future of self-driving cars is hardware and visual recognition which brings Tesla will get to the top of a heap of companies vying for dominance in autonomous and driverless-car technology.

Acts of God:

Social[Reacts]:

7. Marketing Mix

1.Product:

Unique and quality products: Since its foundation, product quality has remained a core focus at Tesla.The company is known for its premium cars. Three popular models Tesla currently sells with high performance including Model S, Model X and Model 3 which known as attractive styling.

Brand equity: Tesla is a strong brand equity in the business world,especially in the automobile industry. Tesla brand has acquired a lot of fame due to its focus on technological innovation, and product quality. Tesla’s consistent focus upon unique designs, user experience, product quality,safety on the first has also resulted in a strong brand image and greater trust among consumers.

2.Place:

Global: The company is growing its network of stores and galleries throughout the globe. It is not only marketing and concentrate on selling to 10 U.S states that have obvious self-driving laws in place as well as expanding others wealthy states, but also service stations in more than 30 countries including Europe, U.S. and China

3.Price:

Competitive price: Strong brand equity helps Tesla gain extra competitive strength. In the longer term, it could turn into a major advantage helping Tesla achieve higher sales and revenue. However, Tesla also has competitive price strategy compare to others premium cars( BMW3 series,Mercedes Benz C class, Audi 4 with Tesla Model 3).

4.Promotion:

8.SWOT Analysis

Strengths

Tesla autonomous vehicles are known to be safer because it is a machine driving the car, not a person.

These types of vehicles will not allow to be driven by those who are under the influence, however, the car will be able to drive itself to the person’s destination.

Autonomous vehicles will be able to reduce traffic congestion because it eliminates the human error, and will be able to free up time for people.

Automated driving will keep the drivers at ease and reduce the amount of stress and pressure a driver would experience while driving a standard vehicle.

The number of accidents will decrease because they are caused by human error.

Weaknesses

If an autonomous vehicle was to get into an accident, it would be difficult to determine whether the owner of the vehicle or the manufacturer should be liable for it.

Weather would impact the functions of the car; for example, would be that rain would make it difficult for the car’s sensors and cameras to determine the exact routes.

People who own these types of vehicles would increase their dependence on technology since they are electric cars.

Tesla still has to run numerous tests before they are to be released to the public.

Oppourtunities

The road system and infrastructures would need an overhaul in order to have these types of vehicles on the road, which can create more jobs.

Tesla’s autonomous vehicle would be able to start up driverless transportation services, which would bring more business and revenue.

The amount of emission gasses will be controlled because these types of cars are electric and fossil fuels are not needed to keep the car running.

Parking these vehicles will save time because the car will park itself independently, this can be done with an app developed by Tesla to be compatible with the car.

Threats

If the software in the vehicle were to malfunction, it would potentially cause a far more fatal accidents than what a human error could cause.

The vehicles software would be a target for hackers, which would allow them to take control over the car’s operations while it is in use.

The taxi industry would decline rapidly, resulting in the loss of hundreds of thousands of jobs in the transportation industry.

Competitors, such as Jaguar, Ford, Toyota are able to create their own autonomous vehicle and put it up for sale.

Competition

The primary competitor would be any manufacturer that produces autonomous vehicles. The most popular brand that offers these types of vehicles would be Jaguar, which do carry some autonomous vehicles. Our Tesla model stands out from the other autonomous vehicles because it is able to update itself to the latest software version for maximum performance. There is no need for the owner to turn it on in order to perform this action. Charging the new Tesla vehicle will be fast and easy, and will be able to charge to 100% in less than 30 minutes. This benefits the owners of Tesla’s vehicles so they will not wait for a long period of time for their car to charge.

Unique Value Proposition

The new Tesla Autonomous Vehicle is the most proficient way to travel. The new model has the ability to charge at a rapid rate, drive rapid speeds, and taking passengers to their destinations in a sophisticated manner.

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