Quick question: what was the number one factor in your most recent new vehicle purchase? Was it styling? Performance? Features? Financing? Price? Comfort? Practicality? Or that old stalwart, quality? If you answered in the affirmative to that last suggestion, you’re part of a shrinking bloc. There were a lot of winners in the 2014 auto sales race, but quality wasn’t one of them.
It is not our intention to pile on poor Cadillac after our recent discussion, but comments made last week by the automaker’s marketing manager Ewe Ellinghaus must be noted. Speaking to Advertising Age, he repeated the new company mantra about the carmaker becoming a “the first luxury brand that happens to make cars,” and then added:
“When I recruit new people, I don’t need petrolheads. We have more than enough petrolheads and we will still. I need people with experiences in other industries, but with luxury brands.”
We must assume that Ellinghaus, most recently with Montblanc pens and formerly with BMW, was using the European term equivalent to what we call a “car guy” or “car gal.” If so, Cadillac’s future is as bleak as the B&B thinks it is, and not just because of products. (Read More…)
Photo courtesy of General Motors
In an interview held at Cadillac’s new business headquarters in New York City’s trendy SoHo district with Fortune, Melody Lee, ‘director of brand and reputation strategy’ for General Motors’ luxury brand, had some interesting things to say about the move to NYC, about the brand, and about herself. Other than to say that it’s just quite possible that outstanding product is a little bit more important to a company’s success than Ms. Lee seems to think, I’m not going to comment on her remarks because I think they speak for themselves and, frankly, I think they don’t bode well for the brand. You can read them and offer your own commentary after the jump. The engineers and designers at GM have given Cadillac the best products that it has had in decades, but automotive history has many examples of fine vehicles that were crippled in the marketplace by the very people trying to market them. (Read More…)
Two Ford execs are about to have their passports stamped, as marketing chief Jim Farley and Ford of Europe general Stephen Odell are switching roles and addresses, effective on New Year’s Day 2015.
A report in Canada’s The Globe and Mail claims that Volvo is withdrawing from all but three major world auto shows – Detroit, Paris and one unnamed auto show in Asia – as part of a new marketing strategy.
It’s not an exceptionally large showroom, but the façade is enormous. The Tesla retail store in Columbus, Ohio wraps around an entire corner of the Easton Town Center, that city’s premier upscale shopping venue. My trip to the store, the first time I’d ever set foot in a Tesla retail location, was an eye opener. Tesla’s retail model is an example of what Scion could have (and should have) been.
From the department of brand-killing marketing ideas comes Mercedes-Benz’s latest venture: in-game product placement for popular Nintendo game Mario Kart. Why? Because Millennials, that’s why!
(Read More…)
Once the bane of soccer moms everywhere, the minivan segment is on the rebound in sales. However, the remaining stigma surrounding the name has some marketing reps doing their best to make sure “minivan” is verbotten down on Flower Shop Lane.
In roughly 50 words, author Nassim Taleb neatly summarizes the answer to every essay ever penned about how “Car Company X Has Lost Its Way”.
In preparation to enter the Chinese market while battling state governments of direct sales, Tesla has hired Renault-Nissan communications director Simon Sproule to the role of vice president of communications and marketing for the EV automaker.
Unhappy with his team’s performance this year in general and at the 2014 winter Olympics in particular, a German bobsledder compared the team’s slow sleds to the Trabant, the primitive 2-stroke powered cars sold in the former East Germany. ABC News quoted bobsled pusher Kevin Kuske, who has won four gold medals at previous Olympics, as saying, “If in 2010 we were sitting in a Formula One car, then this time we were sitting in a Trabby.” At the same time, German bobsled enthusiasts are a bit unhappy with BMW because the German car company helped make the sleds for the America bobsledders, who so far have done well in Sochi. (Read More…)
Though the F-150 rules over Truck Mountain and North America with an aluminium fist, Ford marketing boss Jim Farley told reporters in a meeting that crossovers are driving his employer’s sales growth all over the globe.
Chevrolet’s $600 million sponsorship deal with major football club Manchester United may have been a match made in heaven, but with Man U’s performance on the pitch as of late, the deal is now on the highway to hell according to Automotive News.
Duncan Aldred, Brian Sweeney and Don Johnson.
As inventories of unsold cars surge past 100 days’ supply, GM has shuffled its sales and marketing organizations in an attempt to move some of that bloated inventory. Last week, GM moved Buick-GMC sales chief Brian Sweeney, 46, to the top sales post at Chevrolet, taking over for the retiring Don Johnson. Sweeney’s replacement will be Duncan Aldred, 43, who most recently has been running GM’s British brand, Vauxhall. Both executives will will report to new U.S. sales chief Steve Hill, 53.
Automotive News is reporting that the continued changes in personnel at GM’s sales and marketing divisions has been a source of frustration for dealers and ad agency executives in recent years. Some dealers feel that what they see as GM’s strongest product lineup in generations is being compromised by chaos in the marketing team responsible for promoting those new products. (Read More…)
Inventories of unsold cars and light trucks have swollen to their highest levels since the recession while sales growth in the U.S. market has slowed significantly in the past five months. That combination could mean larger discounts and incentives and lower profit margins in 2014. According to Automotive News, all three domestic automakers started February with more than a 100-day supply of unsold vehicles. Industry-wide automakers had 88 days’ worth of vehicles at the start of February, the highest February inventories have been since 2009, when the industry was at its nadir.
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