Marketing Luxury Car Brands

ACURA . . . LEXUS . . . VOLVO . . . JAGUAR

It's not always obvious who owns which car brands marketed in the United States, which is why Consumer Reports recently published a listing indicating ownership, brand by brand.

Take Acura, the luxury car brand owned by Honda. The separate brand was designed to differentiate those luxury vehicles from other cars and SUVs marketed under the Honda brand. And, in fact, Acura has proven to be a success, with solid sales figures for new crossover vehicles in particular.

Similarly, Lexus is the luxury car brand owned by Toyota, again differentiating those upscale vehicles from the rest of the product portfolio. And again, Lexus has proven successful, currently diversifying its targeting through product placement in Black Panther and through other marketing initiatives.

Volvo has been owned by Zhejiang Geely Holding Group, a Chinese firm, for the past decade. It's an established upscale brand with vehicles made in Sweden, China, and the U.S. With record sales so far this year, the company's largest market is, actually, China.

Owned by Tata Motors, Jaguar is another well-known luxury brand, currently trying new product ideas for the next generation of "green" car lovers. The Jaguar I-Pace is all-electric and styled differently from other vehicles in the brand portfolio. Will it resonate with consumers who know the traditional Jaguar luxury brand image for elegance and performance?

Marketing the Experience of the Brand

It's not enough to market a good product or a brand. Today, more firms are marketing the experience of the brand. This is a positive way to make the brand tangible and memorable through a specific experience. It's also a way to generate word of mouth and social media mentions as visitors post selfies or comments about their experience of the brand.

Hershey, known for its Kisses and other chocolate treats, already operates the Hershey's Chocolate World theme park in Pennsylvania, offering the "sweetest feeling of pure happiness." It also has a new store, Hershey's Chocolate World, just opening in New York City's touristy Times Square. The company planned three distinct candy aromas for those who step inside. According to an executive, "we wanted it to be highly experiential so it becomes part of the family's narrative and storytelling when they talk about their adventure in New York."

At the retail level, brands are upping their game by adding to the atmospherics and offering unique experiences to encourage engagement and, well, sales. Brands that do this particularly well in retailing are LEGO and Disney, among others.

LEGO House recently opened in the company's HQ city of Billund, Denmark, attracting fans of the iconic plastic building block. Some exhibits in this sprawling building require paid admission, other areas are free. "All activities in the house are related to our LEGO philosophy that learning through play promotes innovation and creativity," states LEGO House's CEO. It's a unique way to enhance the experience of the brand beyond a typical retail environment.