MARKETING LAUNCH OF MERCEDES' NEW S-CLASS IS BEYOND 'WORDS'

MONTVALE, N.J. - Mercedes-Benz of North America, Inc. (MBNA) will crown the retail launch of its flagship model line - the all-new model year 2000 S-Class - with a national advertising campaign.

The campaign consists of two new TV spots - "Words" and "Artists" - and complementary print executions. The advertising is the latest component of an integrated marketing initiative which began six months ago. Spanning national, regional and dealer level events, relationship marketing, interactive as well as traditional advertising, the S-Class launch represents the most comprehensive marketing effort the company has ever undertaken.

Joe Eberhardt, vice president of marketing at MBNA, said, "The new S-Class is the vehicle with which we will turn the comer into the next millennium. Reflective of the S-Class itself, our marketing initiative utilizes some of the best technology available and, most importantly, developed and deployed in a very targeted, customer-focused way."

The intensive marketing effort for the new S-Class sedan began last fall when clients and prospects were invited to participate in the 2000 S-Class Preview Program at www.MBUSA.com/S-Class, to learn about this revolutionary vehicle. Throughout the pre-launch campaign, participants in the Preview Program received mini Web sites enabling them to configure a 2000 S-Class to their own specifications and to learn about features of the car. In conjunction with the online program, an integrated, personalized series of direct mail pieces were e-mailed or mailed to participants (depending on their preference), followed by invitations to various events.

In addition, nine regional "S-Class Pre-Launch Event Shows" were held across the country between February 16 and March 4 to introduce clients and prospects to the all-new S-Class. These events featured musical entertainment from Ray Charles, menu by Daniel Boulud, fashions by Brioni and Escada, and a special celebrity guest in each region to unveil the 2000 S430 and S500. Similarly, at the retail level, salon shows are being held across the country to introduce clients to the S-Class.

The S-Class ads debuting today highlight the unique character of the new flagship sedan in terms of its striking design, class-leading engineering and advanced safety/security features. Currently on sale at Mercedes-Benz dealerships, the new S-Class is available in two longwheelbase, V8-powered models: the S430, Manufacturer's Suggested Retail Price (MSRP) of $69,700, and the S500, MSRP of $77,850.

The S-Class launch spot, the 30-second "Words," features a series of icons -- notably academy-award-winning actor Laurence Olivier and the Parthenon - that transcend their descriptions. The final shot in the ad is the all-new S-Class. "We wanted to get across the fact that - for all its technological advances, safety, engineering, breathtaking performance and exciting, contemporary styling - the new S-Class is more than the sum of its parts," said Eberhardt.

"Artists," in 30-second and 60-second spots, highlights the pride and artistry that go into the production of Mercedes-Benz vehicles in factory scenes where great artists -- Toulouse-Lautrec, Andy Warhol, and Picasso to name a few -- assist in the creation of a masterpiece: the S-Class.

The complementary print campaign consists of a 10-page insert as well as a two-page spread version of "Words." Beginning in April and running through June, 24 magazines will carry the "Words" insert representing a circulation of 9.9 million. The balance of the magazines will receive the two-page spread version of the "Words" ad. Beginning this week, national newspapers will carry a center-spread unit for the first two weeks of the launch with pages running for the balance of the schedule.