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JLR's Shift to Customer-Centric Focus

The document discusses Jaguar Land Rover's shift towards a more customer-centric organization after being acquired by Tata Motors in 2008. Key changes included increased investment, focusing on understanding customer needs rather than just products, and expanding globally while balancing local diversities. The customer journey is changing as more automakers enter the market and governments address traffic and climate issues. To maintain its customer focus, JLR must collect data on customer wants before and after new launches to ensure their needs are met. Emerging trends like electric vehicles are shaping customer expectations, requiring automakers to invest in new technologies.
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0% found this document useful (0 votes)
228 views6 pages

JLR's Shift to Customer-Centric Focus

The document discusses Jaguar Land Rover's shift towards a more customer-centric organization after being acquired by Tata Motors in 2008. Key changes included increased investment, focusing on understanding customer needs rather than just products, and expanding globally while balancing local diversities. The customer journey is changing as more automakers enter the market and governments address traffic and climate issues. To maintain its customer focus, JLR must collect data on customer wants before and after new launches to ensure their needs are met. Emerging trends like electric vehicles are shaping customer expectations, requiring automakers to invest in new technologies.
Copyright
© © All Rights Reserved
We take content rights seriously. If you suspect this is your content, claim it here.
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Download as DOCX, PDF, TXT or read online on Scribd
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Running Head: JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 1

Jaguar Land Rover: Towards a Customer-Centric Organization

Name

Institution
JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 2

Question 1

The significant changes that Tata Motors made after its acquisition of Land Rover and

Jaguar from Ford in the year 2008 include increased investment, change from product-based to

consumer-centric approach, and offer of assistance in the ability of the brands to strike a balance

between global processes' benefits and diversified geographies. It is due to the increased

investment to the brands that they ended up increasing the sales and exports. The brands reported

an increase in the number of employees (to 40,000) and exports increased accounting for the

UK's 80% foreign sales. The higher investment by Tata also helped the brands expand. The

consumer-centric approach now employed by remaining relevant as well as engaged with the

customers to know the kind of needs that should be addressed. The expansion strategy helped the

brands become better positioned to achieve a balance between global processes' benefits and

diversified geographies.

Question 2

In making the decision on which type of car to buy, a typical consumer considers such

factors as whether the car is the best, whether it is right for him or her, whether he or she afford

it, whether it can be bought, and whether the deal is worth. The customer journey will change in

the future due to the increase in car-makers and the efforts taken by different governments to

ease traffic jams and combat climate change.

Question 3

Product launch cycle is one of the essential concepts in the marketing process. This is

because it sheds light on the different stages gone through by the product from the time its idea is
JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 3

thought to the time it gets out of the market (Savin & Terwiesch, 2005). This allows the seller to

identify the problems and challenges posed in every stage hence working on them appropriately.

A typical launch cycle of a car follows four stages: Introduction, growth, maturity, and

decline. JLR has different objectives at each stage. In the introduction stage, the company aims at

knowing how best the car addresses the needs of the customers. The aim of the company in the

growth stage is to make the car different from those of the other competitors to win the highest

percentage of customers. In the maturity stage, the company aims at adopting the best

repositioning strategies that maximize the sales despite the stiff competition. In the final stage, it

aims at identifying the point at which the price of the different lines of vehicles should be slashed

to make way for newer models of the year.

Question 4

To retain the customer-centric approach, JLR should collected data based on the voice of

the customer before and after the launch process. The data collected before the launch process

should be structured in a way that it allows understanding of how the customers would want the

car to look; the needs that they would like to be addressed. The data collected after the launching

phase should seek to know whether the car has addressed the different targeted needs of the

customers.

Question 5

It is not as before when people only bought vehicles for transportation purposes. Due to

digitalization, customers in the automotive industry have developed higher expectations; they

expect vehicles to give unending services and conveniences. For example, they are shifting their

attention to electric cars and environmentally friendly vehicles.


JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 4

Smart and big data analytics are the primary customer intelligence methodologies and

techniques that JLR should leverage to understand the customers. The different methods are

significant in the various stages of the car launch cycle. Big data methodology is vital at the

growth and maturity stages. It helps the seller understand whether the car has been able to

address the needs of the targeted market segment. Smart data is instrumental in the decline stage

as it allows in the determination of the point at which the price should be slashed in the effort to

make way for other new car models.

Question 6

JLR’s brand position strategy is to differentiate its products from those of its direct

competitors in terms of dependency, performance, and styling. This is achieved by remaining

relevant as well as engaged with the customers to know the kind of needs that should be

addressed. The company's point of parity is its appeal to the market segment constituting of high

net-worth individuals through the launching of expensive sports cars that meet the full range of

their needs.

Before acquisition by Tata, the brand‘s strategy was based on the product. The brand

focused on improving the quality of the car without regarding the needs of the customers. When

Tata acquired it, a consumer-centric approach was assumed; the focus was now on addressing

the needs of the customers through the improved quality of the products.

Question 7

Increase in electric vehicles is a major recent trend in the automotive industry. Customers

are shifting their focus from fuel-efficient and luxurious cars to environmentally friendly electric

vehicles (INSEAD, 2018). This has resulted in increased manufacturing and selling of electric
JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 5

vehicles. The self-driving vehicle is also another major recent trend in the automotive industry.

The self-driving vehicles are under experimentation in many parts of the world. Connected

vehicles are also making their way slowly in the automotive industry. These vehicles will have

the ability to share such details as weather, speed, sudden breaking, and other driving conditions.

Individual care-makers are required to increase their research and development efforts to come

up with models with these new technologies and meet the needs of their target customer

segments.

Question 8

China plays an important role in the global automotive industry. First, it is the market of

not on Chinese made vehicles but also vehicles from different countries of the world. Secondly,

it is the home of such car-makers as Volvo and Lifan which sell their vehicles globally. Finally,

it contributes to research and development aimed at coming up with vehicles meeting the needs

of the customers in the digitalized world.


JLR: TOWARDS A CUSTOMER-CENTRIC ORGANIZATION 6

References

INSEAD (2018). Jaguar Land Rover: Towards a Customer-Centric Organization. Case Study

Savin, S., & Terwiesch, C. (2005). Optimal product launch times in a duopoly: Balancing life-

cycle revenues with product cost. Operations Research, 53(1), 26-47

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