Bugatti is an automobile company. It is the most renowned company and specializes in manufacturing sports cars. The brand has faced many challenges from the beginning like any successful brand of the present. But, it has coped with those challenges and has become one of the most famous sports car brands of this modern age.
This article discusses a brief overview of the history, challenges, achievements, business model, features and much more about the brand. The article will try to sum up the brand’s past, present identity, and, future outlook.
German city Molsheim, Alsace was the place where Bugatti came into existence. It was formerly known as Ettore Bugatti, a French car manufacturer of automobiles. Obvious by its name, the brand was founded by Ettore Bugatti, an Italian born designer in 1909. The cars were famous for their stylish features like design and reliability. The brand was successful in winning so many races. The company had to go through tough times during world war II. Ettore Bugatti had to go to Milan and later to Paris but, eventually he returned to Molsheim, Alsace.
Bugatti won the 1929 Grand Monaco Grand Pix title. The brand offered the most favorite car Bugatti Type 35 by 1924. From 1925 to 1929, Bugatti cars won all titles in Targa Florio for five years.
Who would have thought that after the death of Ettore Bugatti in 1947 and, his son in 1939, the company would survive? By that time, only 8000 cars were made. The aircraft business of the company purchased it after facing a financial crisis and the release of its last model in the 1950s. An Italian entrepreneur bought the company in 1987 and later by the Volkswagen group in 1988.
Ettore Bugatti also designed the racer airplane Bugatti 100P (which never flew), and a successfully motorized railcar, the Autorail Bugatti (Autorail Bugatti).
Since the start, the company made remarkable changes to the design of the cars. The company managed engine blocks for ensuring the flat surface of the engine and gaskets to work smoothly. It also provided the most elegant solution by properly managing axles. This enured the use of fewer parts and gave a tough time to its competitor Bentley. The company was targeting to offer a lightweight brand to its users like its competitors.
Bugatti has a unique feature of using replacements parts. An example of this kind of success is a 1925 Bugatti Brescia Type 22. The car got a new shape on July 10, 2009. Oxnard, California bought it at auction for $351,343 in Paris in 2010.
There were several attempts to modernize the identity of the cars of the brand. In Modena Italy, the work on the first model began in the newly established plant in 1988. After two years, the car came into the market. Modern age designers contributed towards the success of cars like Paolo Stanzani and Marcello Gandini, designers of the Lamborghini Miura, and Lamborghini Countach. The company has shifted its focus from traditional car models to offer the most luxury kinds of models. It has a motive of offering the few a better strategy which is working undoubtedly well for the company.
Since 1998, there has been a revolution in the service levels of this brand. The company came up with the edition of:
CONCEPT CARS BY BUGATTI
Since, it enjoys a strong brand image, it converts this advantage to introduce new concepts and designs. The aim of these measures is to prove the point the company is serious in introducing new concepts in the automobile industry and to let its customers know that there is something special always to come in the near future. These concept cars from the past and the present include:
T99 Street Jet Racing Car
BUSINESS MODEL OF THE BRAND
The business model of the brand revolves around offering the most advanced technology and design to its customers. The company spends a huge amount on research and development. It focusses on offering new features not offered by its competitors. The brand has learned from the mistakes from previous car models and, is constantly coming up with ways of improving its brand loyalty. Like any other successful brand, it prefers customers’ expectations. It carries out extensive customer-related studies and acts upon the feedback from them. There is a tendency of involving customer personas before offering any new feature in its product. Most importantly, the business model is revolving around reliability, quality, demographics-based targeting, etc.
MARKETING STRATEGY OF BUGATTI
The brand uses all 4 P’s of marketing in an effective manner i.e product, price, place, and, promotion.
In terms of product, the company offers cars with stylish look and speed. The company manufactures cars on a very small scale and is trying constantly to come up with modern ways for improving the quality of its product.
In terms of price, the brand offers exclusivity to its customers due to a very high price. For example, the latest model of Chiron costs 2.4 million pounds. The company understands its perceived value and thus, offers its price accordingly.
When it comes to place, the company has selective locations in North America, Europe, the Middle East, and the Far East. The company has the largest showroom in Dubai. Customers apart from these locations have to import cars of the company to their countries.
Finally, when it comes to promotion strategy, the company selects an age group of 35 years to 60 years. The company uses different media for its promotion strategies. It uses medium like
It also uses social media platforms like Twitter, Facebook, and Instagram to attract its customers.
CELEBRITIES HAVING BUGATTI
The company idealizes itself totally in a different way as it stands today. The company wants to achieve this by making its existing models as its prime identity. Like Veyron, the higher officials articulate it as their identity and want to revamp its current look. The company is also working on streamlining its marketing channels and manufacturing processes for competing in the market. It understands that auto-industry needs constant innovation and trends. What stands today might not last long. It keeps its history in front of itself and avoids making any speculations before offering any product or moving into the future.
There are many things in the evaluation phase of Bugatti. Though the company is avoiding making its future plans present to everyone, many experts believe that the brand is aware of the tough market conditions, changing consumer preferences, global financial matters and, any unforeseen circumstances that can impact the sales of the company globally.