DISTRIBUTION STRATERGY USED BY JEEP
Jeep Cherokee and in fact all the other
models that JEEP company sells were
first originally sold in America only, the company expanded to Europe, set up
some new plants for manufacturing of the Vehicles. They then increased their
distribution to many parts of Asia and South Africa too. They recently started
their business (distribution) in India too.
First Manufacturing used to take place in
America only but then expanded manufacturing as the company expanded their
distribution circle. Right now they manufacture in CHINA, BRAZIL and JAPAN.
Demand from Europe flooded so that is why
company has to set up a new plant in ITALY too, to meet the needs of the
customers in Europe. This plant was recently set up in 2015.
JEEP takes help from franchised dealers to
reach the maximum customers.
Jeep should be manufacturing in the
countries where the capital investment of setting up a plant is least and
should also see that the exporting taxes that the government lays there is
minimal. And plants need to be set up in the areas where government gives
privilege on various things like taxes.
Countries like Bangladesh, China, Japan and
now India, looks out to be perfect for manufacturing the product, being a
developing country they tend to seek new businesses popping in and give
privileges like no other country does.
Now let’s talk about the distribution, the
class of quality that Jeep offers is the best in the segment and the
distribution strategy they follow with this is not up to the mark. The sponsor
dealership is good but to have a different lookout for their products they need
more personalised dealership to match their vehicle’s quality.
Online marketing is the thing we cannot
just neglect in time we are living in. Selling the product online and encouraging
customers to build their own product (Built your own car option) and get
exactly what they are looking for is a perfect plan to get the employees to
love and buy the product.
-by HARPREET SINGH