Marketing assignment: Case study on

Porsche, Chapter 5

Submitted by- Zishan Mahmud

Roll ZR 106, Section B
BBA 22nd

Submitted to- Rafia Afrin

Course instructor,
Principles of Marketing

Question 1: Analyze the buyer decision process of a traditional Porsche customer.

Answer: Buying a product goes to 5 different stages, which are:
1. Need recognition.
Porsche car buyers are characterized by their ambition and love for challenges, coupled with a
financial advantage not enjoyed by most. They seek exclusivity in all their endeavours, including
the cars they drive, making Porsche the perfect buy.
2. Information search
In information search the consumer searches about the product which would satisfy the need
which has been recognized by the consumer in the stage previous to this one. In this case the
product that would satisfy the need of the consumer would be a sports car.
3. Evaluation of Alternatives
While other car buyers evaluate alternatives based on criterion that satisfy practical needs, like
fuel economy, maintenance costs, etc. Porsche buyers tend to view a car not just as a convenient
mode of transportation, and hence set different parameters. To the Porsche buyer, the car is
something to be enjoyed. A Porsche buyer looks at other things such as the sound, horse power,
handling, speed. As the car only needs to accomplish these tasks, the potential client will search
for alternatives from different types of Porsche cars or different brands to weight all possible
alternatives that suit the expectations.
4. Purchase decision
After the consumer has evaluated all the options and intends to buy the product, there could be
now only two things which might just change the decision of the consumer of buying the
product: What the other peers of the consumer think of the product and any unforeseen
circumstances. Unforeseen circumstances for example in this case could be financial losses,
which lead to not buying of the product.
5. Post purchase Behavior
The Porsche buyer expects a certain level of performance not from the car only but also from its
manufacturer. It is up to the company to react to its customers needs and ensure that they do not
suffer from post-purchase misgivings, and thus creating a loyal customer base which wont
switch brands.

Question 2: Contrast the traditional Porsche customer decision process to the decision process
for a Cayenne or Panamera customer.
As already was mentioned, while buying a product the consumer goes through five different
stages, which are:
Problem/Need Recognition Information Search Evaluation of Alternatives
Purchase Post Purchase BehaviorTraditional Porsche buyers tend to skip the first three steps altogether and jumps right into the
purchase decision. They are more concerned with building personal relationships with their cars
and the exclusivity it provides than with the convenience of a Cayenne or Panamera.
On the other hand, Cayenne and Panamera buyers go through each step in the process from the
top. They are obviously new to the Porsche family and recognize their need for space combined
with speed. They would thus evaluate all the available alternatives and go for the car best
tailored to their needs, in this case the Cayenne or Panamero, before making an actual decision to
purchase the car.
Question 3: Which concepts from the chapter explain why Porsche sold so many lower-priced
models in the 1970s and 1980s?
Answer: Porsche had differentiated its products so the buyers decision process also became
different for the new products. Adoption process explains why Porsche achieved high sale in the
given time period. Adoption process is defined as the mental process through which
an individual passes from first hearing about an innovation to final adoption. Firstly the customer
becomes aware of the models but they do not have adequate information about these new
models. Secondly, they learn what is new in the new models. Thirdly, they make assumption if it
is worth trying these products, and fourth, implement the decision. After trying new products,
they adopted the new models and Porsche made so many sales.

Question 4: Explain how both positive and negative attitudes toward a brand like Porsche
develop. How might Porsche change consumer attitudes toward the brand?

Answer: Positives:
The positive attitudes toward a brand like Porsche are developed by social factors. Customers
buying a Porsche want to show their status and separate themselves from the mass.
Negatives:
The negative attitudes are developed when customers are not satisfied with the product image,
when it caters to the mass instead of remaining a niche product. Porsche should keep the image
of their high performance and the behalf of upper social level of customer, who enjoy the
experience of driving (feeling) rather than transportation (functional)
How did Porsche change the attitude toward the brand?
There are several ways for a brand to change their image.
Line extension
Multi Branding
New brand
Brand Extension
Porsche decided to use Line Extension
In the early 70's Porsche introduced two new models, the 914 and the 924 with the purpose of
increasing their sales volume since these models were much more affordable.
Although after the introduction of these models the brand experienced an increase of these so
called mass over class cars in sales, the brand saw a decrease of core customers. These core
customers which were appealed to the ''exclusive, high performance and qualities aspects of a
Porsche' were now turned off.
However their brand lost their well build image Porsche managed to change their negative image
into a positive image by the 90's. This was achieved by going back to their roots, producing
exclusive dream cars in which high class people could identify themselves.
Question 5: What role does the Porsche brand play in the self-concept of its buyers?
Porsche helps its customers to develop a self-concept of wealth and success. Porsche is
developed to be a rather unusual product, a special car meant for special people. Porsche is

developed for the higher-classes. Porsche customers buy Porsches because they want to be seen
and want to show off with their wealth and success.
Thats one of the reasons why Porsche realize that customers buy Porsche for its appearance
rather than functionality.
Quoted, Most Porsche buyers are not moved by information but by feelings. A Porsche is like a
piece of clothing something the owner wears
This brand allows people to live through an image that is developed by the brand, which is aimed
at reflecting ones success and wealth.
By creating significant reputation about their product and the name they fulfill their customers
needs and self-concept. Porsche sells its products to a certain class of individuals who want to
stand out above everyone else