Seat has to implement a new marketing strategy in order to handle the consumers’ demands as it goes through a period of great difficulties.
The main problem to focus about is the poor awareness of the brand itself.
There aren’t as many clients as desired because the brand is not being promoted as it should. Therefore, the public campaign to be held this year will focus on a strategy to improve the awareness of the company and promote the line of it instead of developing marketing strategies to attract the customers.
To improve its image in Europe, Seat will be wiling to sponsor and participate in several events, including sportive ones.
The first step was already taken in order to initiate this campaign as last year Seat has recruited tennis legend John McEnroe to help advertise for Altea. The funniest part was that not even the star had any idea about the brand, and his explanation for this was that this is not one brand to know since it has no sells in US.
It is hard to believe that Seat will manage to gain awareness in a short period of time as it desires.
To be more efficient there were several marketing specialists Seat has steeled from Fiat.
The question is why as Fiat is not of the most well known brands in the world. One thing to be mentioned here is that the Spanish company trusts these guys to rehabilitate its image.
Seat, which is part of the Volkswagen group, was placed under VW group's Audi brand portfolio in 2002 as part of a strategy to give Seat an upscale, sporty image. Until then, Seat was known for its low-cost cars. But VW decided that Skoda, its Czech subsidiary, would be the group's low-cost brand.
For Seat, the strategy has not paid off.
Seat lost customers who once bought its cars because of their low prices.
And it failed to attract new buyers who would pay a premium for its sporty offerings.
Seat has suffered a four-year sales decline.
Seat is undergoing a profound restructuring designed to transform it into a remodeled brand with a freshened product lineup. Seat plans to offer more derivatives of existing models. The brand's core product line will retain sporty styling, but Seat's brand image will also include utility.
The company will expand its product lineup this autumn with a station wagon version of the Altea.
In early 2007, Seat will offer a car-derived van based on the VW Caddy. The van is expected to compete against the Citroen Berlingo and Renault Kangoo.
Te car-derived van will serve as an entry-level product until a new model can be developed to replace the Arosa minicar. The slow-selling Arosa was dropped in 2004. Its replacement will not come to market before 2010.