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BMW Group presents its Brand Academy

The success of the BMW Group is based not only on its convincing product substance but also, to a considerable extent, on the brilliance and fascination of the three premium brands BMW, MINI and Rolls-Royce. In order to promote brand orientation amongst its staff even further, exactly three years ago, at the end of November 2002, the company opened the Brand Academy. It is the only one of its type in the motor industry and has now been presented to the press for the first time by Dr. Michael Ganal, member of the Board of Management of BMW AG responsible for sales and marketing.

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Jean-Michel Juchet
BMW Group

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Seminars for staff strengthen brand orientation Munich. The success of
the BMW Group is based not only on its convincing product substance but
also, to a considerable extent, on the brilliance and fascination of
the three premium brands BMW, MINI and Rolls-Royce. In order to promote
brand orientation amongst its staff even further, exactly three years
ago, at the end of November 2002, the company opened the Brand Academy.
It is the only one of its type in the motor industry and has now been
presented to the press for the first time by Dr. Michael Ganal, member
of the Board of Management of BMW AG responsible for sales and
marketing. The initiative for this project is closely related to the
recent history of the present BMW Group. Around 12 years ago, the BMW
brand and the company were one and the same. Today, the company has the
three premium brands BMW, MINI and Rolls-Royce. The BMW Group has thus
changed from a single-brand company ("branded house") to a
multi-brand company ("house of brands"). To maintain its
long-term success, it is essential that staff and partners understand
the different identities of the brands and know what features
distinguish these brands from their competitors. Customers of premium
brands in particular base their purchase decisions largely on the
emotional added value of a product, and not just on the product
substance. Michael Ganal: "Strong brands offer this emotional added
value. Our customers are prepared to pay a price premium for this. In
addition, they are more loyal than the customers of volume
manufacturers. Against this background, investments in the appropriate
training of our staff are an essential precondition for profitable
growth and are thus an economic imperative ". The students at the
Brand Academy are provided with a sound basic knowledge of brands in
general and the alignment of the BMW Group brands in particular within
the framework of a one-day event, through dialogue, self-awareness
exercises and active discussion of all sorts of practical examples. The
Academy is based in a space covering around 1,000 square metres, part
of which is divided into the BMW, MINI and Rolls-Royce brand worlds. In
a combination of workshop and seminar, participants learn what
customers associate with the BMW Group brands and what added value
these brands offer customers. Around 7,500 people have visited the
Brand Academy since the end of 2002. The majority of the approximately
2,500 participants at the one-day event every year are managers within
the BMW Group. So far, over half the entire BMW Group management team
have passed through the Brand Academy. They also pass on the course
contents and messages taught here to their staff. Around a quarter of
visitors come from partners within the BMW Group dealer organisation.
Apart from this, a few selected service-providers from the fields of
advertising and marketing have also been invited to attend. Michael
Ganal cites the MINI brand as an example of successful product
positioning. Over 700,000 of the internationally successful premium
small car have been delivered to customers since the market launch of
the MINI in summer 2001. Volume sales have grown clearly year after
year, and are reaching the 200,000 mark for 2005 - the fifth year after
the market launch. Its positioning as a premium brand has succeeded.
This is also proved by the average selling price of 21,000 euros - a
price that is normally paid for lower mid-range cars amongst the volume
manufacturers. Michael Ganal: "With the MINI too, we are offering
our customers a convincing combination of product substance and brand.
We are meeting rational and emotional needs at the same time - which is
a major factor in achieving success." If you have any queries,
please contact: Corporate Communications Michael Rebstock, Business
Communications Telephone: +49 89 382-20470, fax: +49 89 382-24418
Markus Sagemann, Business Communications Telephone: +49 89 382-68796,
fax: +49 89 382-24418 Media website: www.press.bmwgroup.com e-mail: presse@bmw.de

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