Abstract
PSA Peugeot Citroen is an automobile manufacturer of France and is fundamentally engaged in producing light profitable and traveller vehicles. The PSA group fundamentally functions in Europe, the Head Office of the group exists in Paris, France and its potential workforce is little above one-hundred and ninety-eight thousand individuals. PSA Group stands in the second position in the Europe in terms of manufacturing automobiles with a proportion of approximately fourteen percent in the European marketplace. The dominant stand of the company the marker improves its brand identity of the institution and as well promotes financiers’ reliability. Nevertheless, stiff rivalry in the automobile sector may compel the organization to decrease the official monetary values of its products, and this may influence the operational outputs of the organization. The purpose of this report is to launch a brand-new product as an electric vehicle with the name of “Ion” for PSA Peugeot Citroen. In order to achieve the objective, an innovative public relations campaign is formulated through the application of an appropriate planning model.
Introduction
It is indicated in a research that after acquiring Citroen SA by the French automobile manufacturer as Peugeot SA, the foundation of PSA Institution in the year 1997 came into being . Peugeot is also donated by PSA Peugeot Citroen, engaged in producing traveller and light trade automobiles, and motorbikes, however it belongs to France. Moreover, the institution as well produces interiors and exteriors of the automobiles, including seats, entrances, exhaust systems etc. The PSA group functions through 5 corporate divisions, including motorized, motorized apparatus, financial institutions, logistics and transportation, and different additional segments. PSA Peugeot Citroen documented profits of seventy-four thousand and four hundred twenty one million dollars while the financial year (FY) 2010, a growing tendency of percent above fifteen over financial year 2009. In terms of its operating revenues, the amount was approximately one-thousand eight-hundred million dollars yearly in contrast to the operating loss of approximately one-thousand nine-hundred and twenty million dollars for the financial year 2009. The net revenues of the company attained a value of one-thousand five-hundred and five million dollars approximately for the financial year 2010 in contrast to the net loss amounting one-thousand one-hundred and thirty-four million dollars annually. The company is confident that the favorable financial trend will continue in the years to come and this will enable PSA Peugeot Citroen to achieve competitive advantage among its rivals.
Public Relations
They are known as precise, reliable, and well-timed communications that deliver correct facts to the true audience. It becomes right through the panel for organizations of any level. In simpler terms, public relations are known as the engagement which develops an effective identity, underpin goodwill, or improve sales revenue.
Significance of Public Relations
The publicity and associations with media are the two closed elements that outline the objective of utilizing the electronic and press media for the purpose of trading a product or service of the company with the help of interviews, articles in press, and commodity analyses etc. Moreover, particular public relations arrangements may involve exhibitions, conventions, trade shows, official gatherings relating to the theme of an organization or pertinent holiday, commitments, and celebrity advents. The civic tendency and image establishment were found to be significant in terms of public relations as organizations which are in pace can establish ally with domestic establishments, sponsor engagement of youth in sporting activities, and employ additional phases to deliver the message of its devotion to the society and societal liability. The rise in sales revenue is also deemed a significant element of public relations. Any organization does so through focusing on a group of relevant customers to establish its visibility and ultimately improve its database of customers. On any interval, individuals study the title of an organization then they link the name with something favorable, hence the process of familiarity amid individuals about a particular organization will be improved and the clients as well distinguish an organization frequently read in contrast with its rivals. The establishment of credibility appears an influential tool of public relations. The corporate initiations regularly require establishing their credibility instantly for the purpose of challenging its established competitors. If an organization adequately positions itself as a leader in a particular domain, then it would not be difficult for an organization to appeal media and help like a cited origin in printed papers. As the executives of an organization interviewed and get quoted, expert establishments can enquire from the officials of an organization to attend different conventions and present speeches before the audiences or contribute in group gatherings. Hence, this process underpins the credibility of an organization. The importance of public relations is as well gauged through forging an association with clients. The appearance of developed tycoons guides an organization that the dependency on winning a new client is not substantial rather appealing new customers towards frequent purchasing of a company’s products. The arrangement of organization’s public relations campaign with the purpose of appealing regular trade, it would be easy to obtain the expectation and confidence of clients. The penetration into fresh marketplaces was found to be meaningful in terms of public relations of a company. When a new product is launched into a fresh marketplace, it is the responsibility of an organization to make clients aware about the existence of a business. Influential public relations may appeal and impart clients about the organizational offers. In order to ensure effective public relations, it is necessary to appeal financiers, and it is possible only through managing effective associations with them. Here, the organization is responsible to prove its identity in the marketplace to the financiers in contrast with competitors in the sector. A continuous public relations campaign enables an organization to establish its image as a strategic contributor in the business instead behaving an inactive contributor to the marketplace. Financiers prefer reviewing the commitments devoted to the clients of the company.
Public Relations Model
There are number of steps that can be noticed in order to create a successful public relations campaign for a new product or service of a company. However, the public relations model comprised of three fundamental elements and they are suggested for developing an influential public relations campaign. The elements of the public relations model involve audiences, public relations plan, and local media.
Audiences
Audiences can as well be donated as publics and it refer to a cluster of individuals to whom the organization is required to be liable and responsive. The elements included in the public involve clients, future clients, associates, workers and their family units, public agents, and stakeholders etc. PSA Peugeot Citroen has planned to create a fresh product for its electric automobile with the name of “Ion”. It appears complex to locate a specific and effectively managed a target market linked with this new automobile. The attributes of the new product enables public relations consultant to determine that the target market needs to be the clients residing in the metropolitan zones due to its convenience in zones and small size; moreover the battery’s competence of the car is not appropriate for extended travelling. Additionally, the monetary value currently established for this new product shows an adoption of the skimming rule by PSA Peugeot Citroen, and this situation reveals that solely individuals having substantial amount of remunerations are able to buy this new automobile.
Public Relations Plan
There are five fundamental components of public relations plan, including, goals, positioning, important communications, strategy, and campaigns. The initial element of public relations plan as objectives allows a company to locate its objectives and what are to be achieved; the next element as positioning determines the perception of the audiences about a company; the central messages establish ordering the significant evidences about an organization; the existence of strategy allows a company to achieve its goals; and in last tactics involve measures to initiate plan, for instance the utilization of electronic and press media.
The objectives of PSA Peugeot Citroen are to trade 0.1 million electric automobiles in the coming half decade, and this indicates a sales value of twenty-thousand annually and it shows above sixteen times what PSA Peugeot Citroen administered to trade with its past electric automobiles amid 1995-2003; PSA Peugeot Citroen as well estimated to receive four to five percent proportion of the share in the market in the electric automobiles of European marketplace . The positioning of PSA Peugeot Citroen for its “Ion” electric vehicle is established in a manner that it must be deemed a trustworthy identity while designing electric automobiles for eco-open organizations. The key communications involve the official address of the company’s head office, the place of its existence, contact numbers, fax number, website address, and strength of workers, sales revenue, and profits of the company at year-end.
It is indicated in the Porter Matrix that the current strategy of PSA Peugeot Citroen is to achieve competitive benefit in the marketplace. In order to achieve this goal, PSA Peugeot Citroen focuses on enabling its “Ion” electric vehicle to a differentiated product in contrast with rivals when it comes to the narrow division. Nevertheless, the attributes of the product do not comprehensively address the variation standard suggested by Armstrong and Kotler which ensure distinctiveness, security, communicability, defend-ability, accessibility, and profitability. PSA Peugeot Citroen address the stated standards as its “Ion” electric vehicle is varied in contrast with its rivals, the product behaviors are not constrained and not complex to explicate. In sum, the new product is in reach of broader audience.
It is claimed in a research that the notion of viable ecological approaches like an arrangement of environment – associated induction of capitals appear the contributors of competitive benefit. The stated arrangement divides categories with respect to the kind of “viable emphasis” on the basis of “structural procedures” or “services and commodities” and with respect to the kind of competitive benefit which is either “inferior expenditure” or “difference” . The class appropriate in the PSA Peugeot Citroen’s scenario appears the “eco-branding”, it means it is about an amalgamation of a product emphasis and in difference competitive benefit. This position as indicated in an investigation refers to an organization which is different in contrast with its rivals while the procurement of something substantial which must add value to the buying decision of clients and the benefits must be above the expectations of the clients. In terms of tactics, PSA Peugeot Citroen establishes that business to business communication appears different in contrast with business to consumer communication; however B-B communication involves multiple techniques. The purchasing procedure for organizations appears dissimilar and is fundamentally emphasized on an info stage. Therefore, direct marketing emerged to be a favorable answer to establish communication with established and average level corporations. Direct mails and telemarketing appear the dual tools to be suggested in the scenario of PSA Peugeot Citroen. The procedure is expected to locate prospects with the help of databanks, establish communication with organizations through direct mails and telemarketing, convey facts, benefits, and gauging the prospects, create one-to-one gatherings and expressions, establishing an accord through a salesperson. PSA Peugeot Citroen has previously implemented the second communication technique for its gasoline and hybrid automobiles. The launching of the electric commodities in multiple automobile exhibitions is expected to be effective. The automobile exhibitions in the European economies are expected to be influential to expose the electric automobiles of PSA Peugeot Citroen, nevertheless as well an official event to receive substantial accords in Europe. It is established that automobile exhibitions employed in Frankfurt and Paris are acknowledged globally. The Provincial French Automobile Exhibitions appear an alternative for PSA Peugeot Citroen in appealing experts. In fact automobile exhibitions involve specific intervals open for experts. The purpose of automobile exhibitions is to receive orders from smaller local corporations. Ultimately, PSA Peugeot Citroen administers “Peugeot Professional Tour” while forty-five days and shows its presence into 14 French zones. It is expected to be an influential event to grab to launch the electric automobiles established for experts.
Local Media
It is central for PSA Peugeot Citroen to create an association with and utilize domestic media. Media remains influential when it comes to the viewpoint for a fresh fiction, a dissimilar direction, an innovative technique, and thus, significantly inclined towards an organization and its trading engagements. The target markets of the “Ion” electric vehicle of PSA Peugeot Citroen are in consideration and for adjusting the automobile values and addressing the targets, PSA Peugeot Citroen establishes a fresh television advertisement. The details of the television advertisement involve the gathering of two females at a park. The females are engaged in communication with each other on a bench. It was observed that one female had a baby and she was taking rest next to her. During their communication, it is observed that numerous automobiles were in the continuous flow of running, but even, the voices of these two females were recognizable and it was easy for an individual to listen their communication. It was further noticed that the flow of traffic did not disturb a baby as she was in the deep sleep. The voice which was hearable was the noise of females communicating each other on the bench. Eventually, both females asserted goodbye after standing up from the bench before dividing. The subject females arrive at the independent automobiles and leave their destination at Park. It was observed that the traffic flow was quite substantial during the interval of driving undertaken by both females. It was concluded that no voice was reported; even the park was covered from extended metropolis and numerous automobiles. The Logo of “Ion” emerges with a unique saying and the statement is “and how, or how do you observe the years to come?”
Conclusion and Recommendations
It is established from the discussion that fundamental problems associated to the purchase of an electric vehicle as “Ion” is linked with its performance. The performance factors involve battery’s independence and intervention required to restore it; moreover as well the evidence that this type of automobile is deemed a preliminary product for clients who are cost-effective. Therefore, they don’t find difficulty while purchasing solely an electric automobile. This new product is very suitable for small family units residing in the classy zones of the metropolitan cities of an economy. The buying judgment of a client is dependent on his or her emotive and rational benchmarks. In terms of the rational standard, it is about an automobile performance where emphasis is given on top speed, independence, and restore interval of the battery, while emotive extended is dependent on the identity of the company, share of mind of a vehicle’s identity, and how effectively in automobile addresses the living standards of individuals. It is recommended that emotive and rational standards appear significant because they establish which kind of a product clients prefer to purchase. As a public relations consultant, it is established after reviewing the contemporary scenario of the electric automobile marketplace that rational and emotive benchmarks are not given due attention while launching a new product by manufacturers. Therefore, it is central for PSA Peugeot Citroen to consider the stated factors while manufacturing its new products so that a greater amount of clients may be appealed towards new products and ultimately they determine their buying decisions. In sum, the electric automobile marketplace is required to develop uniqueness whenever any product is launched in the market. It must be taken into consideration that a new product is unable to achieve success through considering technical and ecological standards solely. Therefore, it is required for PSA Peugeot Citroen to create emotional benchmarks and link a new commodity with the usual living followed by clients in order to ensure an exclusive identity of its brand.
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