Consumer Behavior Case Study
Cadillac’s “new customer can be described as a subculture for many reasons. A subculture can be defined as a group whose members share beliefs and common experiences that set them apart from others. In 1998, when GM Introduced Its first Escalate, a new customer based was created for Cadillac. Prior to this new product, the customer base of Cadillac primarily consisted of upper-middle class, aging, Caucasian drivers. The conception of the Escalate extended the targeted market, and created a new customer-based for Cadillac of which a new subculture emerged.
This subculture consist of Individuals who share the common experience of owning a huge, luxurious, SUB that Is appealing to the average pop culture Individual. This subculture can be described as a completely new blend of demographics (known to Cadillac) ranging from young professional athletes to rap artist, mostly of African American decent. 2. There are a few main features and attributes of the Escalate that have made it a hip-hop hit. The tangible features and attributes include the large exterior and huge grill with appealing rims and tires that gives the SUB a luxurious look.
Intangible attributes include the endorsements by various hip-hop artists, along with the safety, durability, and other pros associated with the Cadillac brand. The features of the SLID have been showcased and praised in many hip-hop artist videos and songs that make it a legit Hip-Hop hit. The hip-hop appeal for this vehicle was given with its inception therefore, I believe it would be difficult to extend the appeal to other (pre- existing) models. However, Cadillac will be able to extend a new appeal targeted to the pop culture by way of a new sedan (car) model especially now, while more
Americans even in the pop culture are becoming more economical in their spending, which may create a new- broader subculture. 3. There are great lessons to be learned from Cadillac’s good fortune with Its Escalate model that other companies should learn. One lesson is the Importance of understanding the buying habits of various cultures so that you can create a prominent subculture that enjoys your product. Cadillac took pride In building a relationship with the pop culture and realized that the brand’s success was contributed to the hip-hop popularity.
They create an In-your-face, billing-billing, stylish icicle that appealed to the pop culture. Another lesson that other companies can take Into account is that, It’s Important to build relationships with companies and Icons (people) that endorse and buy your products. In 2007 Cadillac, before the release of the new Escalate model Invited 35 of the biggest names In entertainment to a sneak preview of the new model. This tactful event helped Cadillac gather Important Information about the pros and cons (Like and dislikes) of the vehicle from people who actually buy and add value to the escalate brand. In addition, this sneak