Learn the case interview basics, practice with 200+ cases, and benefit from extensive test materials, and interactive self-study tools.

MBMC Case: AMG | Turning the most affluent prospects into loyal clients

1.6k
Times solved
4.7
< 100 Ratings
Intermediate
Difficulty

Case Prompt

As a consultant at Mercedes-Benz Management Consulting (MBMC), you actively shape the desire for Mercedes-Benz as an iconic luxury brand. While you contribute to decisive projects that design the future of the world’s No.1 premium carmaker, you also develop your own career path, and have the unique possibility to build your personal brand and cultivate relationships with the top management.

Your client on your current project is the head of Top-End Vehicles & Mercedes-AMG GmbH who reports directly to the CTO of the Mercedes-Benz Group AG. AMG represents the segment of performance luxury within the Mercedes-Benz portfolio.

As part of your current project scope your client asks you to identify new opportunities to attract top-end customers & retain their loyalty. Therefore, you shall structure and explore the customer journey and identify possible measures regarding top end customer & Community Management. Furthermore, you shall quantitatively analyze an option to individualize AMG products along different regions and prepare them for decision.

Finally, of course, the client is interested in your recommendation.

Sample cases are the perfect preparation for your case interview.
Sign up now and solve your first case, either alone or together with another candidate that is currently preparing for their case interview.

1. Structuring & Exploring

The head of Top-End-Vehicles & Mercedes-AMG wants to increase the number and profitability per potential customers. In this context, innovations & marketing trends are highly important. To introduce potential customers to AMG, it is important to better understand their interaction with the brand.  Hence, he tasks you to structure a possible Customer Journey that attracts High-End customers by increasing the branding of AMG as a luxury product.

1.1 What are the basic steps of a customer journey along which customers and their interaction with AMG can be better understood?

The case focuses on B2C customers, which are interested in luxury.

1.2 Can you list examples for possible goals and define measures for each field of the table?

1.3 Regarding special Individualization-Hubs, the client asks you to evaluate possible positive and negative effects. Consider an appropriate framework and evaluate the idea.

2. Quantitative Analysis

Your client is happy with the thought of establishing AMG-Individualization hubs. In a first evaluation he asks you to consider 2 regions. “Americas & EU” with hubs in Germany and the USA, and “Middle East and Asia” with hubs in Dubai and China. Yet, he also knows that the Board of Management will not approve this setting, if the business case is not positive. Thus, he asks you to evaluate this. Does this idea suggest a profitable venture?

2.1 What information do you need in general per region, before you come up with a conclusion?

2.2 What is the profitability (total return) for all regions and the overall profitability (total return and return on sales) worldwide?

2.3 Your manager is not excited about the profitability. He says he wants you to change the price for Americas and Europe, so that the Americas are not running a deficit. What would the overall RoS be

To get the Americas out of the deficit, you need to increase the contribution margin to equalize the current loss.

3.1 You will be meeting the CEO of Mercedes-Benz with your manager later. On the car ride there you discuss your findings. What is your final recommendation?

Do you suggest investing in the hub structure in general? 
Justify & evaluate your recommendation!

1.6k
Times solved
Intermediate
Difficulty
Do you have questions on this case? Ask our community!
How likely are you to recommend us to a friend or fellow student?
0 = Not likely
10 = Very likely
You are a true consultant! Thank you for consulting us on how to make PrepLounge even better!