A Marketing Mix of Audi

Audi is among the most well known brands of premium vehicles and a part of the Volkswagen group. It is a German automobile manufacturer known for making stylish and high performance vehicles, and advanced engineering. Headquartered in Ingolstadt, Germany, Audi has been a part of the Volkswagen group since 1965. The brand was founded by August Horch in 1909.

Audi offers a wide range of vehicles including luxury sedans (A4, A6, A8), sports cars (R8, TT), SUVs (Q3, Q5, Q7, Q8), and electric vehicles (e-tron series). The brand strongly focuses on innovation. It is known for its Quattro all-wheel-drive system, innovative MMI (Multi Media Interface) infotainment system, and its focus on electric mobility with the e-tron series. Audi has positioned itself as a premium brand of vehicles targeting the higher end market. It offers a wide range of vehicles, which are a combination of performance, technology and luxury.

The Audi group also includes Bentley, Lamborghini and Ducati brands and experienced strong improvement in its financial performance in 2023 compared to the prior year. In 2023, the Audi group delivered more than 1.9 million vehicle units. As of the end of 2023, the group employed 87,736 people worldwide.

In this marketing mix of Audi, we will analyze the four Ps of Audi including product, place, price and promotion.

Product

Audi is known for making stylish, high performance and sporty vehicles. It is renowned worldwide as the maker of premium vehicles. The four rings symbolize the merger of four brands that together became Audi AG. Its wide range of vehicles includes sedans, wagons, sportbacks, sportcars, coupes and convertibles as well as electric vehicles. The company has maintained a strong focus on electrification and released a nice range of electric cars in the e-tron series.

The following table shows the vehicle models produced by Audi as well as their production figures for 2022 and 2023 based on Volkswagen’s Annual Report 2023.

Some of the most popular models sold by Audi include Audi Q7, Q5, A3 and A6. Apart from innovative technologies like the Quattro All Wheel Drive system and Multimedia Infotainment, Audi cars are known for the luxurious driving experience they offer. The long term focus of Audi is on electric and software defined vehicles. Audi also sells its used vehicles through its Audi Approved Plus program.

Place

Audi is a well known international brand of premium vehicles. It has a strong presence across more than 100 markets. It has 22 production facilities operational across 13 countries. The company has a large sales and distribution network that sells its products to customers across more than 100 markets. The company has its headquarters at Ingolstadt, Germany. It focuses strongly on managing its supplier network and production network to serve customers globally. The largest market region of Audi products is Europe based on production and sales followed by Asia. In 2023, the company produced more than 1.1 million vehicles in Europe and more than 676,000 vehicles in the Asian region.

Price

The pricing strategy employed by AUDI is known as premium pricing strategy. This strategy is followed mainly by the manufacturers of luxury and exclusive products. Audi is a maker of luxury vehicles and its products are priced much higher than the average cars available in the market. Starting from an average of $36,000, Audi had made available several cars in the $60,000 + range and some of them also belong to the above $10,000 category. Audi mainly targets the affluent customers or the higher end of the market. It supports its premium pricing strategy by offering unique and innovative models that are stylish as well as solid in terms of performance. The company has experienced a growth in sales in fiscal 2023 compared to the prior year driven mainly by a solid product line and increased popularity of Audi products.

Promotion

Marketing has played a key role in helping Audi grow its popularity, demand and sales worldwide. The company has maintained a strong brand image and enjoys strong popularity and brand awareness in most corners of the world. It is now mainly using online channels to grow its recognition and strengthen demand. Apart from paid online advertising, it uses other digital channels like social media, its own website and other digital channels. It has positioned itself as a leading luxury car manufacturer and has created the image of an innovative brand.

It promotes its brand and products through online channels using paid advertising and social media. However, the focus remains on offering its customers a superior experience along both online and offline channels. Audi’s four rings are easily recognized in any corner of the world and make it a distinct brand symbolizing luxury and performance. Its motto "Vorsprung durch Technik" translates to advancement through technology and emphasizes the innovative image of Audi AG.

Conclusion:

A subsidiary of the Volkswagen Group, Audi is renowned worldwide for its luxury and high performance cars. The company has maintained a strong and innovative image that drives higher popularity and sales as well as customer loyalty. Audi is now strongly investing in electric mobility and has released a nice range of electric cars considering that the future of mobility is electric. The company has named its series of electric cars - e-Tron series. Audi cars are pricey but they also offer unmatched class and luxury. Its cars compete with Mercedes, BMW and Lexus as well as other luxury car brands. The company has introduced several innovative technologies so that its vehicles cater better to customer expectations and preferences. Its strong growth in 2023 is a result of growing popularity of the brand bolstered by its focus on innovation. The company also offers special loyalty and rewards programs to drive higher customer loyalty.