America ad agencies aren't the only auto industry suppliers suffering from foot-in-mouth disease. Reuters reports that a Spanish Citroen ad has triggered quite a furor in China. The poster shows Chairman Mao looking down at a Citroen hatchback. The copy proclaims, "It's true, we are leaders, but at Citroen the revolution never stops. We are once more going to put in motion all the machinery of our technological ability, in order to repeat in 2008 the successes obtained in previous years." The picture of Mao is similar to one in Tianamen Square, with the the People's Republic founder's mouth distorted and squinting eyes. Once the ad hit the internet, the shit hit the fan. Chinese web slingers felt the ad was "not only insulting [to] Chairman Mao, but the whole Chinese nation… where Mao is greatly revered." Citroen immediately pulled the ad and issued an apology. What effect the faux pas will have on Citroen's Chinese sales remains to be seen.
Category: Marketing
The normally docile automotive press has panned every new Chrysler's interior over the past two or three years, slating the cabins for [the same] ugly interiors fashioned from cheap materials. As the Brits would say, Jim'll fix it. BusinessWeek reports the Chrysler Vice Chairman and President Jim Press has announced that his employer is lowering prices and improving content on 12 Chrysler vehicles. It's all part of some kind of "master plan" that the automaker's unveiling to their stores at next month at the National Auto Dealers Association(NADA) convention. The only details Press would provide: the Compass, Patriot and Caliber get the makeover. Meanwhile, Press reminded jobbing journos that Chrysler's already made 260– count 'em 260– upgrades to Chrysler vehicles' materials and appearance. Yes, well, as the old expression goes: first impressions last. Will the interior upgrades be too little too late? Watch this space.
“In a nutshell we would disagree with the assessment that Acura would fall that low in any survey,” an unnamed Acura company spokesman told Ward’s Automotive re: Consumer Reports recent brand perception survey. “Our research shows Acura is ranking high in technology aspects and brand awareness and those types of things.” Those type of things? Ed Farrell, associate director for Consumer Reports' survey team, defended the mag's methodology. He told Ward's that they interrupted 1,720 U.S. adults' family dinner to ask brand-related questions, like “When you think of performance, what car best typifies to you performance?” Typifies to you? On an aggregate basis, top place finishers Toyota and Honda earned scores of 189 and 146. Acura garnered just eight points, finishing below Audi (14 points), Mitsubishi (21 points) and Mercury (22 points). According to the unnamed Acura spokesman, "That may be one of those snapshots that’s blurry when it comes to Acura’s real image.” May? Looks like Acura joins another well-known automotive brand at the top of the charts for obfuscation, petulance, arrogance and denial.
This weekend, I attended the grand opening of the Hoffman Auto Group's "smart center" in Hartford, Connecticut. Two smart cars filled the appropriately diminutive showroom floor: the Passion coupe and a Cabriolet (no Pure). The first salesman was desk-bound and down, fiddling with his phone. When I asked about the smart's EPA mileage, he quoted me the wrong numbers, which were, of course, too high. A bit later, he disappeared, leaving two salesmen at the far end of the showroom. I busted-up their little confab to ask about available heated seats. Salesman B's thick German accent was, again, brand appropriate. But I got the distinct feeling I'd interrupted a more important conversation. Salesman-averse customers were SOL. Sales brochures were conspicuous by their absence. Even the Monroney sticker was MIA; the cars' windows were rolled down. The comments I overheard from the public in attendance were largely positive. Imagine how many sales leads were lost due to a lack of attention. Or was it arrogance from a dealership used to selling higher end (read higher-profit) cars such as Audi and Porsche? Perhaps it’s a matter of wen kümmert es?
Speaking to Automotive News [sub] at the North American International Auto Show, Honda CEO Takeo Fukui revealed that the company's Acura brand will receive the automaker's first California-compliant diesel engines sometime next year. It's a bit of an odd choice, given Acura's lackluster sales, lackluster brand image and lackluster luxury flagship (which TTAC and others have slated for lacking a lustrous V8). And if that isn't enough of a marketing conundrum, Fukui also said Acura's first oil burners will only sport four cylinders. Honda's V6 clean diesel– which also "generates and stores ammonia within a two-layer catalytic converter to turn nitrogen oxide into harmless nitrogen"– won't appear until 2010. Meanwhile and in any case, Fukui is keeping his eye on the bottom line. "Our diesel cars are going to have an appropriate level of profit from the start," he said, intimating that all that high tech hybrid stuff takes ages to pay off. Which it does. Of course, it helps if you get the branding right…
Schmoozing with Automotive News [sub] at the North American International Auto Show, GM Marketing Maven Mark LeNeve has declared that the automaker is "willing to boost incentive spending in 2008" to move the metal. But then "We've broken that cycle of incentive spending." Of course, "you still have to be competitive." To which GM CEO Rick Wagoner quickly added "On the flip side, I don't see us needing to be leading that parade." So… GM's willing to boost incentive spending to keep from losing market share in '08, but they don't think they'll have to, unless they do, and if they do, they'll be reacting to other automakers' incentive spending rather than starting an "incentive war," which they will fight to win even if they didn't start it. Gotcha. Even less realistically, LaNeve promised to limit GM's daily rental fleet sales to 15 percent of GM's total. Unless…
Although the odds were stacked in their favor, GM didn't sweep the North American Car and Truck of the Year Awards as many expected. Of the six finalists (Cadillac CTS, the Chevrolet Malibu, Honda Accord, Buick Enclave, Mazda CX-9 and Chevrolet Tahoe Hybrid) four were from The General's stable. But a dark horse stole one event. Oh right, sorry. I know the tension's killing you. Right. The North American Car of the Year is the car you can't buy: the Chevrolet Malibu. The NA Truck of the Year is the crossover that thinks it's a truck the Mazda CX-9. There was a bit of murmuring about Malibu getting the award over the CTS, since the Malibu is essentially a reskinned Aura and the Aura won last year. But the judges seemed to think the new Malibu was such an improvement over the previous dismal piece of shit that it deserved recognition. (Apparently the CTS wasn't that much of an improvement.) How the CX-9 made it over the media darling Tahoe Hybrid is still a mystery– although it pays to keep in mind (so to speak) that Mazda is a Ford brand. Meanwhile, the event planners spent most of the opening ceremonies this morning patting themselves on the back, congratulating themselves on what a fine job they think they did this year. Fair enough?
[Reporters: Sajeev Mehta and William C. Montgomery]
Who asked the Detroit News' Show Biz reporter to chime-in with his feelings about the 2008 North American International Auto Show? I mean Jeez; David Phillips is raining on a parade that his employer has been hyping since Buick was asking people if it was time for a real car (ready when you are). Then again, it's an itty bitty blog post, And I suppose that an entertainment writer is the most keenly aware when the stars of the show are off skiing in Park City. "Lexus, Acura, Nissan, Infiniti and Suzuki are taking a pass this year. Porsche is gone altogether. Aston Martin has quietly vanished from the Ford stand for obvious reasons." Which are… "the cost of doing business inside Cobo Center, an automaker's product cadence, the growth in overseas markets, other opportunities, venues and auto shows to showcase new product, etc." Hmm. I wonder if that cost has anything to do with some union or other, and whether Big Ron Gettelfinger could sort them out. (You gotta bend over like this. No, not me. You.) Phillips final remark shows how quick Detroit is to react to economic challenges. "Show organizers should be worried." Ya think? [thanks to starlightmica for the tip]
It's a Hell of a good question. Strangely, few Western media outlets have tackled it. While TTAC's take is forthcoming, The Liverpool Daily Post's Alastair Houghton casts his beady eye on Tata's prospects with the damaged British brand. It may be painful for Jag fans to reconsider the fate of the ill-fated X-Type and re-scan the arterial spray or red ink dogging the cat, but they'll be heartened to read Houghton's historical analysis of the Indian conglomerate's success with other British concerns. The story surrounding Tata's entry into the steel market is especially resonant. “Do you mean to say Tata proposes to make steel rails to British specifications?" Frederick Upcott, Chief Commissioner for Indian Railways reportedly remarked at the turn of the last century. "Why, I’ll eat every pound of steel rail they succeed in making.” Last year, Tata ate Corus, the company that had eaten British Steel. Equally reassuring (to "traditionalists"), the chief executive of the UK India Business Council doesn't see any branding issues. “If you look at Tetley [tea], you don’t see the Tata brand on it at all," Sharon Bamford says. “They put the interests of the brand and the community they serve at the forefront. The process we’ve seen appears to be a typical Tata deal.”
When you're stuck sucking hind titty, you take whatever morsels drop your way. With Ford's U.S. market share evaporating like dog pee on a hot sidewalk, the Blue Oval Boyz are proud of each and every obscure award they receive. And so… Fox Business reports FoMoCo has been named the "Pet Friendliest Automaker" for 2008. DogCatRadio.com (DCR) gave Ford the nodding dog for its "wide range of models that offer safety, comfort and easy entry access for pets." As part of its evaluative process, DCR analyzed an undetermined number of vehicles' economy, price and (no, I didn't make this up) "creature comforts." What vehicle wowed the pet patrol? The so-beneath-the-consumer-radar-it-Hertz Taurus X. "We feel the Taurus X is not too big, not too small," DCR CEO Adrian Martenez explained, Goldilocks-wise. "It handles well, has plenty of power, great visibility all around and offers four-legged passengers as well as their humans a comfortable ride." So pets prefer vehicles that emphasize ride comfort over handling. Who knew?
Heads-up Autoblog! Buried in a boring-looking post on Toyota's Open Road blog: news that the Japanese manufacturer will follow Nissan's lead and add a real-time fuel economy gauge to all its Toyota, Scion and Lexus vehicles. The yet-to-be-finalized gizmo will debut in the next-generation 4-Runner, launched in August ‘09. ToMoCo's Corporate Comms Director Jon F. Thompson writes that the Eco Driving Indicator will include an "Eco Zone Display" that will tell the driver that they are saving money and the planet, and reducing our need for oil-related foreign military entanglements [paraphrasing]. Autobox-equipped vehicles get an "Eco Lamp" that illuminates once the driver enters the “Eco Zone” (da da da da da, da da da da). Drivers of manual transmission-equipped vehicles (do they still make those?) light the lamp by hitting the most fuel efficient shift point. The system will, of course, include an Average Fuel Consumption Meter to help aspiring hypermilers frustrate dangerous drivers yakking on the cell in their [non-Toyota] gas hogs. I mean, optimize their fuel economy. Oh, and Thompson says social engineering rocks! "We’ve learned that as we work to make our vehicles more efficient, we also can work to make our drivers more efficient."
As we've pointed out many times, Strategic Vision's methodology is based on something wacky called the "Tree of ValueCentered Knowledge," and the company is on the take. So, with that in mind, Ford scooped first overall in the 2007 Strategic Vision "most delightful" vehicle ratings. And if that seems subjective and arbitrary… Strategic breaks the "multifunction" segment into three subcagetories: small (VW Rabbit), medium (Volvo V50 Wagon) and luxury (Audi A3). Apparently, the ultimate multifunction vehicles– CUVs and SUVs– don't count. And what's this? Owners of GM's worst-selling Lambda CUV, the Saturn Outlook, are more delighted than those who bought the GMC Acadia or Buick Enclave (the Outlook won the "medium crossover" category). And if that Tahoe-sized family hauler is considered "medium," you have to wonder what they'd consider "large." Anyway, TTAC is less than delighted that anyone takes anything that Strategic Vision says seriously. The Detroit Free Press has the full list of winners.
Kelley Blue Book is one of the good guys; the organization that led the way towards pricing transparency for consumers. So it's no surprise that their Western Sales Manager Jay Campbell thinks car dealers' websites would benefit from some user generated content. Writing for Dealer Marketing Magazine, Jay uses the term CGC (Consumer Generated Content) while making his case for e-Glasnost. "Today, consumers turn to auto enthusiast sites, online forums and message boards, question and answer sites, and blogs to post their feelings. Imagine how large and untapped this opportunity is for your dealer Website?" The misplaced question mark tells the tale; the idea that car dealers would open themselves up to potentially negative comments from the great unwashed requires a leap of imagination that Evil Knieval wouldn't have attempted in his [fall into the] heyday. Although Jay's heart is in the right place (gold star from TTAC), I felt compelled to call him and see if he lives anywhere near planet Earth.
[Apologies for the low audio levels.]
Engadget sends us news from the '08 Consumer Electronic Show that Pioneer has unveiled a dashtop gizmo charmingly called the AVIC-F500BT. For those who speak Geek-speak, it's "a gateway for your personal technology. Large DB with 12 million POIs, text to speech, Bluetooth, SD slot, USB, voice recognition, OEM integration. Plugs into an AUX jack on your vehicle or via custom integration. Conversation commands, 'I want to listen to Justin Timberlake.' Yes, it will control your phone and iPod, just speak your commands." We prefer to think of it as "anything Microsoft can do, we can do better;" although we don't actually know that. Yet. But the Pioneer system can run on batteries, so motorists can move it from car to car, which has GOT to be a HUGE advantage over Ford's SYNC system. Looks like we're back to the whole in-dash vs. portable sat nav deal– just in time for the debut of Lincoln's in-dash SYNC. You see? A better car is more important than better doo-dads, every time. [Thanks to starlightmica for the link.]
So GM wants to "spark a broader, global discussion" about the issues bedeviling The General. GMNext is their answer to the question how do we accept questions without [necessarily] providing answers? I'm no web designer (cough), but I like the look of the thing, and hey, it IS open source. Others in the biz aren't so sure. This from commentator filbrand on Slashdot: "The site is ugly. It looks like the marketing guys got into the buzz of Web 2.0 and told their Windows programmers that they wanted that for their site. The result? A .NET site with WordPress knee-jerked inside. The site (as most of .NET crap) doesn't even validate [w3.org]. Even the blog, based on WordPress, must have been so messed up that it doesn't validate [w3.org] either. And what an awful theme! Where do these guys get their webdesigners from? Although I think they still have a lot to learn about using open source, I have to applaud at least their try. Although it's one step back, it's two forward. :-)." TTAC's best and brightest, what say you?
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