If You Can’t Keep Up, Get Off the Road
Oct 20, 2009
Within the past couple of weeks, GM announced that it will start hearing pitches for select Chevrolet assignments and for Cadillac’s national and regional dealer accounts. Not long before that, VW announced that it was parting ways with Crispin after four years. Should we chalk up this rampant changing of the guard to tough economic times?
Absolutely not. I could have told you a long time ago that this was going to happen and you can bet it will happen a lot more in the new few months, because agencies simply do not understand the auto industry. The industry is unapologetically driven by sales more than any other industry out there. Driving intention alone isn’t enough. If your work isn’t selling enough cars, it is a failure.
And that’s not all. Unlike any other industry, automotive advertising must be consistent at every level – from print ads to in-store to television to online – because every interaction at every level is an extension of the brand and ultimately leads to a sale. It’s obvious from dismal sales and the mass exodus of incumbent agencies lately that most shops out there don’t get this.
In the end, fear rules the day. Only 16% of people who go to a dealership to buy a car actually drive one off the lot. Why? Fear. Fear of making the wrong decision. Fear of paying too much. Fear that they’re not getting the best deal possible. How do we overcome this fear? By helping automakers instill consumer confidence. And to do that, you must figure out what the brand really stands for at its very foundation. Figure out whether the brand is the fastest…the toughest…the sleekest…the safest…and communicate that attribute effectively. It’s no longer enough to rely on Americans’ patriotism to generate sales. After all, “buying American” doesn’t evoke the same sense of awe and pride it used to.
If you don’t want to get left behind in the fast-paced world of automotive, you’ve got to keep up. And that means really understanding the auto industry…really understanding that to help an auto brand become successful, awareness alone doesn’t cut it. Understand that it’s critical to follow the money. And let’s not forget that we all have a lot more riding on this than an account or a client – the success of our economy depends on this very industry. If you can’t handle it, let someone else take over.
LINKS:
Ad Age: Chevrolet to Begin Review for New Shop Assignments
Ad Age: Domination Wanted: VW Dumps Crispin in Bid to Triple U.S. Sales
If the manufacture isn’t clear about who they’re, then how can an ad campaign/agency solve all their problems.
Confidence you say. So who wants to buy a new car from a car company who’s struggling and went bankrupt? Sales will eventually return for GM when the public has confidence in GM and when the public is sure about keeping their jobs too..
Does VW sell great fun spirited German cars, or are they a midsized luxury car maker?
If VW isn’t sure about who they’re, then their customers are likely just as confused.
Jordan Zimmerman hits the nail on the head every time.
Successful agencies must identify and understand the benefits and advantages of buying from a car from their client. And then, if capable, they can create strategic ideas to communicate those benefits and advantages effectively to the “right” customers.
What we are seeing is agencies being booted because they don’t understand the invaluable processes and requirements to driving a successful advertising effort for their clients. I agree, we will see more of this happen. We’ve reached a time when more than ever agencies must be over-performing and creating tangible results for their clients.
The days of “trial and error” practices are over. If they can’t perform — they’re done. The same applies to car manufacturers.
Regarding Mr. Z’s statement that, “The industry is unapologetically driven by sales more than any other industry out there. Driving intention alone isn’t enough. If your work isn’t selling enough cars, it is a failure. ”
With this industry being driven by sales, why can’t the industry concentrate on developing and training professional salespeople? Dealers should stress better relationships with prospective consumers and discontinue “low ball’ selling techniques and other closing gimmicks… Most consumers would rather go to the Dentist than buy a new car…Let’s instill empathy and integrety into the selling process…