Pink Car Research - Preliminary Findings & Limitations

How does the market research you have done so far support your chosen organization’s objectives?

Ford Motor Company states that their purpose is "to help build a better world, where every person is free to move and pursue their dreams (Ford, n.d.)." The company also believes "in the power of creating a world with fewer obstacles and limits, where people have the freedom to build a better life (Ford, n.d.)." The research being conducted on whether or not a pink paint option should be offered for the 2022 Mustang supports these objectives by providing customers more freedom to express themselves. Not everyone in the world wants to drive a neutral colored car. Some people like to reject societal norms and stand out. Part of being free and pursuing one's dreams is being able to boldly define one's self as an individual. People come in all shapes, colors, and sizes, and so should the cars they drive. By launching mystic magenta, customers will be empowered with a greater variety of options and choices. They will be able to live in a world where they can be proudly express their affinity for the unconventional. 

What industry trends (and possible future trends) have you identified regarding your product proposal, and what are some possible implications of these trends on your organization?

There are many trends and developments Ford should be aware of when deciding if they should launch the pink mustang. One is in the global automotive paint market, which had “a market value of USD 18,023.8 Million in 2021 and is projected to reach USD 23,244.2 Million by the year 2027 (Business Wire, 2022).” This means that the overall market for automotive paints is growing and that it could be beneficial for Ford to invest in. Some of the drivers of this growth are “availability of various color options, reliability, and durability” as well as increased vehicle production (Business Wire, 2022). According to the head of Automotive Design for the Americas, in BASF’s 2021-2022 Automotive Color Trends report, the top car color for 2024 to 2026 models will be Lambent Earth, a coppery, dark brown color (Valdes, 2022). Classic neutral colors such as white, black, gray, and silver continue to top the list of customer’s vehicle preferences. This trend could impact the success of the launch of pink.

Another consideration for Ford is that the sales for their 2022 Mustang “decreased 16 percent to 12,258 units during the second quarter of 2022, placing second in its segment in terms of cumulative sales volume (Vincent, 2022).” This means it was beat by the Dodge Challenger and followed by the Chevy Camaro in third. This drop in sales is an important trend to consider as it could impact if the company should launch pink on a different make like the Bronco, which is a closer competitor to the Jeep Wrangler- which found success in 2021 in the unique shade.

Finally, a trend worth noticing is that “the pony car’s average buyer has indeed been getting older over the past decade or so, regardless of Ford’s efforts to make the car appealing to people of all ages (Bell, 2021).” Muscle cars are often associated with older enthusiasts that can afford sportier models. The company should consider this trend and evaluate their product offering to ensure they are meeting the needs of all their customers.

What potential legal and ethical implications for implementing your marketing proposal have you identified?

Various potential ethical and legal implications may arise from the recommended marketing promotion strategies. One is the collection of customer’s personal information and how it’s used. In California, there is the Consumer Privacy Act which gives residents various rights such as the right to know what information is being collected about them and the right to have that data deleted (CCPA, 2022). Ford must be very aware of privacy laws before proceeding with the suggested online strategies. Another example is when sending out email promotions, it is important that the company does not spam people and gives them the right to opt out.

Sponsored social media posts and paid collaborations with influencers can also have potential legal implications if done incorrectly. Both parties need to be as transparent as possible with viewers and disclose when content is endorsed through a business relationship. The FTC sets clear guidelines in order to avoid deceptive marketing such as what language to use and where on the post the mentions must be (Federal Trade Commission, 2019).

How does your proposed marketing strategy align to legal, ethical, and industry standards?

In order to avoid the above mentioned possible legal/ethical problems, Ford's marketing strategy for the pink 2022 Mustang will adhere to privacy laws set by government agencies, as well as industry standards and guidelines set by the American Marketing Association. According to (Council, 2019) some common practices that will keep Ford's strategy aligned are:

• Ensuring the privacy of customer data and information
• Avoiding deceptive marketing or advertising practices.
• Practicing safe production and use of products.
• Open communication and full transparency with customers

What limitations have you encountered in creating a market proposal for your product? Was this due to gaps in the market research you conducted?

There were many limitations I encountered when creating the marketing proposal for the product. Secondary research was very hard to conduct because for as many pink cars there are in America (not many), there are even fewer scholarly articles about them. The rarity of the car color made it difficult to find enough quality information about the consumer that would buy it. For example, determining a pricing strategy was hard to do when there was only one slightly similar competitor I could use for comparison. Finding out the geographic location of pink car drivers/buyers in America has also been difficult. Google search results for "pink car" yield minimal helpful results in regard to studies and useful data.

References:

Bell, L. (2021, May 18). Ford Mustang Buyers are Getting Older, and That Could Be a Problem. Muscle Cars and Trucks. https://www.musclecarsandtrucks.com/ford-mustang-buyers-are-getting-older-and-that-could-be-a-problem/

Boudette, N. E. (2022, April 28). Ford Lost $3.1 Billion in the First Quarter. The New York Times. https://www.nytimes.com/2022/04/27/automobiles/ford-earnings.html

Business Wire. (2022, February 9). The Worldwide Automotive Paint Industry is Expected to Reach $23+ Billion by 2027. https://www.businesswire.com/news/home/20220209005723/en/The-Worldwide-Automotive-Paint-Industry-is-Expected-to-Reach-23-Billion-by-2027---ResearchAndMarkets.com

CCPA. (2022, March 28). California Consumer Privacy Act (CCPA). State of California - Department of Justice - Office of the Attorney General. https://oag.ca.gov/privacy/ccpa

Council, Y. E. (2019, August 30). How To Use Ethical Marketing To Attract The Right Audience. Forbes. https://www.forbes.com/sites/theyec/2019/08/30/how-to-use-ethical-marketing-to-attract-the-right-audience/?sh=416f0443e04a

Federal Trade Commission. (2019, November 7). Disclosures 101 for Social Media Influencers. https://www.ftc.gov/business-guidance/resources/disclosures-101-social-media-influencers

Ford. (n.d.). Our Purpose. Ford Motor Company. https://corporate.ford.com/about/purpose.html#:~:text=OUR%20PURPOSE%20AS%20A%20COMPANY,move%20and%20pursue%20their%20dreams.&text=We%20believe%20in%20the%20power,life%20and%20pursue%20their%20dreams.

Valdes, R. (2022, July 13). What are the Best Car Colors to Buy? Kelley Blue Book. https://www.kbb.com/car-advice/what-are-the-best-car-colors-to-buy/