Chapter 16. Advertising & Public Relations

Who has the best advertising, promotion, public relations & social media? This cannot be answered but us as people are surrounded by ads that go from cat & dog foods, to clothing, toys & cars that are always around us. Ferrari market's its product to a group of people in which they know can afford their product of cars. They also showed on TV shows such as "TOP GEAR" in which a professional driver takes the car out for a test drive and breaks down why the car is so good.

Ferrari is one who believes that they don't need to be advertised much, hence why you don't see any Ferrari TV ads. Ferrari's success is measured in Brand Name & their Product value. Ferrari has not spent a penny on advertising, but as a brand they possess they wouldn't need to put their product out in public. Enzo stated from the beginning that the company would not advertise, its their philosophy.
Scuderia Ferrari Marlboro commerical department head Philippe Tardivel explains that " When we launch road cars,we usually organise conventions for our dealers. We also have events for our selected community. after the launch it follows up with a press launch and then a test drive for the media."
According to Ferrari total sales rose 5.4% to 6,573 units in 2010 making it a new record for the company. The media is one way Ferrari gets its advertising out, by having the media around as the cars are being launched gives them a good look and by test driving it shows that they care about how they are presented. With social media like blogging, twitter, Facebook & instagram all in which Ferrari has, is a way to keep people posted, weather you are looking to buy the car or even just to keep up with the company and car business itself Ferrari will provide you with all the answers.

Chapter 14. Retailing

Ferrari store, New York
410 Park Avenue ( 55th street & Park ave)
New York, New York 10022













June 24 ,2010 was the opening of the first Ferrari store in New York. It was official, not only was it a location steps away from the top 2 biggest avenues of shopping but it didn't only display its cars but all the apparel. The Italian architecture and designer Iosa Ghini designed it in a way to make you feel as if you walk right into the racing tracks with the formula one car and its colors or red black and white, but also be able to fit the street cars a 59' 250 California, 84' GTO, Brand new 458 Italia, Ferrari California, 612 Scaglietti and a special limited 599 GTO. As of 2010 this was the 37th store to open worldwide. This was a huge deal for Ferrari since it became a strong element of attraction to people around and to Hollywood actors as well. The bright color of the exterior as well as the wide windowed display catches your attention from a few block away.

Ferrari stores aren't the only place you can shop for your matching outfit to your car they provide a worldwide online website Ferrari.com for all your needs to be fulfilled and it ships to every country on the world!!!!! In recent news Ferrari has decided to make it's self more friendly and sign a agreement with ABC Spa a Italian company producing travel accessories and luggage. For Ferrari their main eye with all these stores focus on products, location, customer service and presentation. They slowly are expanding their stores become more worldwide as to the customers needs. Once you walk into a Ferrari store you understand the elegance of people and the experience and knowledge they offer you so that you become understanding with your product. Every store is unique in its own way of design and how it is presented with its amazing display but gives you the luxury of viewing different and special cars.

Chapter 6. Consumer Decision Making

Consumer behavior is when the consumer makes purchase decisions, this is very important for marketers to be able to sell their product to the targeted customers. Ferrari wants to be able to have the customer not question its decision on why he should get such car but walk in knowing that they want it by its glamour of looks and speed ability. What drives customers to get a Ferrari? simple its for the name and beauty. As Enzo Ferrari quoted "no one remembers who took second place, and that will never be me." Ferrari believes that to be the best out there you must need to be consistent and known.

Ferrari does not only find a way to just sell customer's cars but also make it into a family business. As kids see their parents in a luxury car they dream that they also can drive around like their parents, and what better way then to make a mini Ferrari. It gives the company a better expansion as the kid slowly grows up and know he wants the car with the horse on it as a logo or the car that they always played with and saw on TV and magazines. They don't only target people in a car way but also in clothing. You can get your Ferrari apparel and accessories(bedsheets,pencils,posters, watches, key chains, sunglasses, sweatpants, tee shirts, etc.) you can find that logo on any Ferrari merchandise and because of the recognized logo you end up buying the item as more of a name&brand showoff. 30% of people who buy Ferrari's do it out of a desire of want since it seems like a product that would satisfy their unfulfilled need.What other way to have the attention as humans that we need then get a Ferrari and drive around in style and speed.

Chapter 5. Developing a Global Vision

Global marketing is a type of marketing in which it targets marketers throughout the world in order to expand the company. Ferrari has become international not only in its native Continent Europe but has traveled to India, Dubai, Japan and the biggest marketing place for the company it's self U.S.A. Over the past decade Ferrari has been able to boost up their sales from about 4,000 to 7,200 in 2011. It also gives the company a positive look on job outsourcing, the more the expand the more jobs it will require to be filled in with people and it leads the company to corporate growth.

 

Despite Ferrari's marketing factors that include globalization which causes the company to deal with more international competitions, accelerated modification and diversification of the product portfolio in which the automotive industry you would go out and change your car for a different every 8 years now days it ranges from 2-3 years and that becomes tough for Ferrari since their quality in cars is something you wouldn't need to replace in 2-3 years even more & also increased pressure for innovation and flexibility in development and manufacturing. Ferrari has been able to overcome these challenges and has strengthened the brand on a global scale. Ferrari's innovations have changed within the past 2 decades but three important things will forever remain the same, the extreme technology, the beauty of design & the emotion of driving. Marco Mattiacci the CEO of Ferrari North America explains how Ferrari doesn't just grow in numbers but in culture.In this year of 2013 Ferrari has sent out 1,436 cars to the US and Canada, up 14.5% , and sending 542 cars to China,Taiwan & Hong Kong. China has now become Ferrari's second largest market.

The company then saw record revenues of 1,605 million euros in 2011 which went up 18.9% from the year before. According to Montezemolo who is the chairman of Ferrari, the company is deciding to boost the production to 10,000 cars in 10 years, increasing the amount of available Ferrari's. Now a days in the you can get a brand new Ferrari that goes for  $200,000, which is the cheapest price but it is still provided with the best of quality Ferrari has to offer, the desire of the brilliance behind a Ferrari will make you never want to own any other car.