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	<title>McNaughton Automotive Perspectives &#187; Strategy</title>
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	<link>http://autoperspectives.com/blog</link>
	<description>Building and re-building great automotive brands.</description>
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		<title>Cadillac breaks new ground in auto industry marketing with an old idea.</title>
		<link>http://autoperspectives.com/blog/2010/08/06/cadillac-breaks-new-ground-in-auto-industry-marketing/</link>
		<comments>http://autoperspectives.com/blog/2010/08/06/cadillac-breaks-new-ground-in-auto-industry-marketing/#comments</comments>
		<pubDate>Fri, 06 Aug 2010 15:56:30 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[The Agency Business]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[ad agencies]]></category>
		<category><![CDATA[Cadillac]]></category>
		<category><![CDATA[Chevrolet]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[VW]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1169</guid>
		<description><![CDATA[This may be one time where an agency and its client has had the courage to look back and acknowledge that something done before perfectly captures the essence of their brand and be willing to re-introduce it.]]></description>
			<content:encoded><![CDATA[<p>I was speaking with a colleague the other day and we were trying to think of an instance where an automobile manufacturer (or any brand for that matter) looked back into its own history and re-introduced a brand tagline that had been thrown in the bin.</p>
<p>We couldn’t think of any and we began to talk about what a mistake that was.  We were able to rattle off a number of instances, where great automotive brands walked away from positioning or taglines that perfectly encapsulated their brands.  Mercedes-Benz left behind “Engineered like no other car in the world.”  Volkswagen threw away “Drivers wanted.”  Chevrolet moved away from “Heartbeat of America.”  A few months ago, BMW, one of the most consistent marketers in the industry, looked as if they were moving away from “The Ultimate Driving Machine” in favor of  “Joy.”  In the case of BMW, this has been hotly denied and “TUDM” still appears at the end of the ads but it has certainly been demoted.</p>
<p>Why does this happen?  Why does it seem so difficult for marketers to realize that they have a real asset that needs to be protected and nourished?  A lot has to do with the constant pressure to increase volume and the find something new to “take the brand to the next level.”  The other factor is the constant churn of marketing management and agencies.  New marketing leadership needs to demonstrate that it is moving the business forward and that means doing something new.  Every agency is genetically coded to do something “new and unexpected” to burnish their reputation.  Bringing back an old idea can also be seen as a copout.</p>
<p>So it struck me this morning when I read an <a href="http://adage.com/article?article_id=145272" target="_blank">article in Advertising Age</a> where Joel Ewanick was interviewed and he said that Fallon (Cadillac’s new agency) had developed the brand’s soon to be introduced tag-line: “The new standard of the world.”</p>
<p><span id="more-1169"></span>Here’s what’s fascinating, that slogan was developed in 1908, shortly after Cadillac won the prestigious Dewar Trophy for excellence in manufacturing.  The original line was simply “Standard of the world.”  The line may never have been a “tag-line” in advertising but it was certainly part of the company’s logo and therefore used from a marketing perspective:</p>
<p><a rel="attachment wp-att-1170" href="http://autoperspectives.com/blog/2010/08/06/cadillac-breaks-new-ground-in-auto-industry-marketing/cadi1908/"><img class="aligncenter size-full wp-image-1170" title="cadi1908" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/cadi1908.jpg" alt="" width="106" height="122" /></a></p>
<p>This makes it different from Mercedes-Benz new global campaign, which uses an idea from the company’s archives,  “The best or nothing” (Das beste oder nichts). This statement was first written by Gottlieb Daimler but until now was not used for marketing, so they haven’t brought back an old idea.</p>
<p>I think “The new standard of the world,” admittedly with a slight modification, may be one time where an agency and its client has had the courage to look back and rather than reinventing the wheel (pun intended), acknowledge that something done before perfectly captures the essence of their brand and be willing to re-introduce it.</p>
<p>Good for them.  “The new standard of the world” already positions Cadillac more clearly than it has been in decades.  It will be interesting to see where they go from here.</p>
<p>Please comment if you can think of any other instances where an idea has been resurrected.</p>]]></content:encoded>
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		<slash:comments>9</slash:comments>
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		<item>
		<title>Audi makes a rare marketing misstep</title>
		<link>http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/</link>
		<comments>http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/#comments</comments>
		<pubDate>Mon, 02 Aug 2010 20:21:54 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Audi]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[positioning]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1133</guid>
		<description><![CDATA[Why would one of the most well-regarded progressive luxury automotive brands in the world make the silly mistake of blatantly copying their nearest competitor?]]></description>
			<content:encoded><![CDATA[<p>In recent years, Audi has done a terrific job marketing its brand. Sales are up globally and will probably exceed 1.0MM units this year (<a href="http://online.wsj.com/article/SB10001424052748703999304575398752012946736.html?mod=WSJ_auto_IndustryCollection#articleTabs%3Darticle" target="_blank">WSJ 8/2/10</a>).  In the US, Audi came through the recession on a tear and has never looked back.  Great products, great design, with quality that has improved and is now comparable to the best in the business. The Audi brand is aspirational and prestigious in most global markets. While it has lagged its competitors in the US, it has gained in prestige in recent years and many would say it has achieved the vaunted Tier-1 status in this country.</p>
<p>So why would one of the most well-regarded progressive luxury automotive brands in the world make the silly mistake of blatantly copying their nearest competitor?</p>
<p>A few weeks ago I was in the UK and I happened to walk by Leicester Square in London and was excited to see an Audi display in the park. I went over to have a look and discovered that the display was part of the UK&#8217;s introduction of the A1.</p>
<p><a rel="attachment wp-att-1134" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/dsc02203/"><img class="aligncenter size-medium wp-image-1134" title="DSC02203" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/DSC02203-300x225.jpg" alt="" width="300" height="225" /></a></p>
<p>The display was called &#8220;AreaA1&#8243; and it was getting a lot of attention from Londoners.  It was the first time I had the opportunity to see the A1 in person.  It&#8217;s a wonderful car and I hope the folks at Audi of America make the decision to bring it to the US.  It was so crowded, that it was hard to get a picture&#8230;.at least a good picture:<span id="more-1133"></span></p>
<p><a rel="attachment wp-att-1135" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/dsc02208/"><img class="aligncenter size-medium wp-image-1135" title="DSC02208" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/DSC02208-300x225.jpg" alt="" width="300" height="225" /></a></p>
<p>However, I turned to the other half of the display and was profoundly disappointed by one of the key AreaA1 marketing ideas:</p>
<p><a rel="attachment wp-att-1136" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/dsc02206/"><img class="aligncenter size-medium wp-image-1136" title="DSC02206" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/DSC02206-300x225.jpg" alt="" width="300" height="225" /></a></p>
<p><a rel="attachment wp-att-1137" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/dsc02205/"><img class="aligncenter size-medium wp-image-1137" title="DSC02205" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/DSC02205-300x225.jpg" alt="" width="300" height="225" /></a></p>
<p>What you&#8217;re looking at is an Audi &#8220;Art Car&#8221; painted by Damien Hirst. The &#8220;art&#8221; was fantastic (my photography is not) but it still left me wondering &#8220;why?&#8221;  Why would Audi commission an artist to paint a car when their most direct competitor did it first and has done so many times.  Why would Audi copy BMW?  Why would a brand that has worked so hard to earn a seat at the Tier 1 luxury segment table do something in marketing that screamed &#8220;look at us, we&#8217;re just like BMW!&#8221;</p>
<p>According to Wikipedia, a BMW was first used as a canvas in 1975 when French racecar driver and auctioneer <span style="color: #000000;">Hervé Poulain</span><span style="color: #000000;"> </span>commissioned Alexander Calder to paint a 3.0CSL:</p>
<p><a rel="attachment wp-att-1138" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/bmw-art-car-calder_csl/"><img class="aligncenter size-full wp-image-1138" title="BMW art car-Calder_CSL" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/BMW-art-car-Calder_CSL.jpg" alt="" width="180" height="120" /></a></p>
<p>Since 1975, BMW has commissioned 17 different artists to create &#8220;art cars.&#8221;  I think it fair to say that by now BMW &#8220;owns&#8221; the concept of art cars in the luxury segment. Wikipedia even has an entry entitled &#8220;<a href="http://en.wikipedia.org/wiki/Bmw_art_cars" target="_blank">BMW Art Cars</a>.&#8221;</p>
<p>That isn&#8217;t to say that other luxury marques should not somehow participate in the arts. After all, Mercedes-Benz famously commissioned Andy Warhol to create a series of artworks.  But Audi, one of the industry&#8217;s most innovative and progressive companies should find its own way of connecting to the arts, not simply copy BMW.</p>
<p>Unfortunately Audi of America fell into the same trap when it sponsored Art Chicago in 2007. Audi introduced the Audi RS4 Art car created by Brazilian-born Pop artist Romero Britto:</p>
<p><a rel="attachment wp-att-1141" href="http://autoperspectives.com/blog/2010/08/02/audi-makes-a-rare-marketing-mis-step/audi_rs4_art_car_by_romero_britto_f/"><img class="aligncenter size-medium wp-image-1141" title="audi_rs4_art_car_by_romero_britto_f" src="http://autoperspectives.com/blog/wp-content/uploads/2010/08/audi_rs4_art_car_by_romero_britto_f-300x220.jpg" alt="" width="300" height="220" /></a></p>
<p>When a competitor has consistently over time used a particular tactic and has become well known for it you can&#8217;t differentiate your brand by doing the same thing. You will simply communicate that you are just like the other guys and probably do more to build their brand.  You don&#8217;t build a distinct and special brand by copying a competitor.</p>
<p>Having said that, Audi UK&#8217;s art car was subsequently auctioned off at Elton John&#8217;s charity event for about $525,000, the proceeds will go to the Elton John Aids Foundation.  That might be the only good reason for Audi to copy BMW marketing.</p>]]></content:encoded>
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		<slash:comments>3</slash:comments>
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		<title>www.momentoftruth.com&#8212;Buick on the cusp of a marketing breakthrough!</title>
		<link>http://autoperspectives.com/blog/2010/07/30/www-momentoftruth-com-buick-on-the-cusp-of-a-marketing-breakthrough/</link>
		<comments>http://autoperspectives.com/blog/2010/07/30/www-momentoftruth-com-buick-on-the-cusp-of-a-marketing-breakthrough/#comments</comments>
		<pubDate>Fri, 30 Jul 2010 17:02:39 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Communications]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Buick]]></category>
		<category><![CDATA[Digital]]></category>
		<category><![CDATA[marketing]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1107</guid>
		<description><![CDATA[www.momentoftruth.com---Buick on the cusp of a marketing breakthrough!]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-1127" href="http://autoperspectives.com/blog/2010/07/30/www-momentoftruth-com-buick-on-the-cusp-of-a-marketing-breakthrough/screen-shot-2010-07-30-at-1-05-43-pm/"><img class="aligncenter size-large wp-image-1127" title="Screen shot 2010-07-30 at 1.05.43 PM" src="http://autoperspectives.com/blog/wp-content/uploads/2010/07/Screen-shot-2010-07-30-at-1.05.43-PM-1024x705.png" alt="" width="450" height="309" /></a></p>
<p>How many times have I sat in meetings with manufacturers and discussed the need to get consumers engaged with their brand in the digital space? Too many times to count and the concerns are always the same.  What if they say things we don&#8217;t like?  What if they say something untrue?  What will they expect of us?  How will we respond? Inevitably the lawyers weigh-in and the reasons &#8220;why not&#8221; stack up like cordwood.</p>
<p>So I think it noteworthy that Buick has found a way to get beyond the reasons &#8220;why not&#8221; and to give consumers an uncensored voice regarding the new Buick Regal at <a href="http://www.momentoftruth.com" target="_blank">www.momentoftruth.com</a>.  This is a terrific website with tons of information from a variety of sources, the company, general media, buff books, blogs and real consumers.  The use of Twitter and Facebook feeds, Youtube videos and Flickr is terrific and makes the site feel very credible.  The net effect is that you feel as if you&#8217;re getting a chance to see the entire body of opinion regarding the new Buick Regal in one stop.</p>
<p>GM is using technology that searches the web for mentions of the Buick Regal, aggregates it, edits out the profane and posts the rest. The result is really fun and full of interesting commentary.  It&#8217;s not quite a dialogue with consumers but it&#8217;s a step in the right direction.</p>
<p>I admit that I had to wade through a lot of positive comments to find the few negative ones, but they&#8217;re there.</p>
<p>Good for Buick, maybe the reality is that most of the response to their new vehicle is positive!</p>]]></content:encoded>
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		<title>How &#8220;naughty&#8221; do you want your Volvo?</title>
		<link>http://autoperspectives.com/blog/2010/07/29/how-naughty-do-you-want-your-volvo/</link>
		<comments>http://autoperspectives.com/blog/2010/07/29/how-naughty-do-you-want-your-volvo/#comments</comments>
		<pubDate>Thu, 29 Jul 2010 19:50:18 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[safety]]></category>
		<category><![CDATA[Volvo]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1084</guid>
		<description><![CDATA[I think we all like and accept that people can be a little "naughty" from time to time without losing their essential character.  I think the same holds true for Volvo.]]></description>
			<content:encoded><![CDATA[<p>Volvo has, since the &#8217;70s  all but owned &#8220;safety&#8221; in the automotive segment.  Not a bad place to be&#8230;do you know anyone who&#8217;d prefer an unsafe car?</p>
<p>Brilliant work by Scali, McCabe, Sloves took Volvo from the choice of professors in tweed jackets to the boomer choice for family hauling. The Volvo wagon was a staple in the suburbs on both coasts.  Volvo was even featured in the movie &#8220;Crazy People&#8221; where Dudley Moore played an ad man who decided that being honest was a good idea and suggested that Volvos were &#8220;Boxy but good:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/b_ArDB7AJAI" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/b_ArDB7AJAI"></embed></object></p>
<p>While the brand became part of popular culture and owned safety, it has struggled with that one-dimensional view for years. Volvo has its loyalists who love the brand and it&#8217;s products but it also has more than its share of detractors for whom the truth of &#8220;boxy but good&#8221; was a real barrier to purchase.  The challenge has always been how do you retain and nurture the safety reputation while also convincing a broader swath of the car buying population that the brand is cool and emotionally appealing.<span id="more-1084"></span></p>
<p>This challenge is not exclusive to Volvo.  Mercedes-Benz and BMW have also worked hard to get &#8220;beyond&#8221; their reputations for engineering and performance respectively.  The fact is that all these brands represent safety, engineering, performance, quality and luxury at very high levels.  That said, when you&#8217;re lucky enough to &#8220;own&#8221; a reputation for one of the category&#8217;s real drivers, then it&#8217;s an asset you need to protect.</p>
<p>But it&#8217;s difficult.  In Volvo&#8217;s case they have wanted to be respected for more than safety and conservative styling because they needed to appeal more broadly to sell more cars.  Over the years they have improved the styling, offered a number of performance variants, expanded beyond sedans and wagons to include crossovers and convertibles.  Yet, consumers, their perception of the brand and sales have not responded in kind.  Part of the problem is that its safety position is so strong and so rational.  Safety is critical and incredibly important to consumers but it is also not cool or sexy.</p>
<p>I believe that when you &#8220;own&#8221; a positioning, particularly a primary driver, you must &#8220;speak&#8221; through that lens about other topics or you risk creating dissonance with consumers.  I think this is why Volvo&#8217;s efforts to convince us that they have performance credentials have seemed to fall on deaf ears.  Performance conflicts with our expectation of safety.</p>
<p>Recently, Volvo has been running a campaign that I think has found an appropriate &#8220;voice&#8221; that allows the safety brand to get into more emotional areas without confusing us. The idea that there is something called a &#8220;Naughty Volvo&#8221; allows the brand to go a little beyond safety without asking us to re-jigger our entire perception of the brand.  I think we all like and accept that people can be a little &#8220;naughty&#8221; from time to time without losing their essential character.  I think the same holds true for Volvo:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/ZvTfefbcBv8" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/ZvTfefbcBv8"></embed></object></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/19xYjDWocvc" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/19xYjDWocvc"></embed></object></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/49BYibBV8Gk" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/49BYibBV8Gk"></embed></object></p>
<p>While I like the &#8220;naughty&#8221; commercials, particularly the ascending levels of naughtiness, I must admit that Volvo&#8217;s recent effort to isolate Europe&#8217;s &#8220;naughtiest&#8221; city really got me thinking about the brand a bit differently:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/Lbs-lTp9ROg&amp;feature" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/Lbs-lTp9ROg&amp;feature"></embed></object></p>
<p>What a nice way to communicate that there&#8217;s something unexpected about Volvo. Throw a party in multiple cities with the car at the heart of it, invite all the right people, give them an opportunity to be a little naughty and see what happens.  A good combination of young, cool, contemporary, fun, a few good natured national stereotypes, and just a bit of naughty results in Paris being crowned the &#8220;Naughtiest City&#8221; in Europe.</p>
<p>What&#8217;s the point?  <em>Everybody</em> has a naughty side.  Including Volvo.</p>
<p>Got it.</p>]]></content:encoded>
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		<slash:comments>2</slash:comments>
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		<title>Corvette vs. Jeep Grand Cherokee.  Ads not product.</title>
		<link>http://autoperspectives.com/blog/2010/07/22/corvette-vs-jeep-grand-cherokee-ads-not-product/</link>
		<comments>http://autoperspectives.com/blog/2010/07/22/corvette-vs-jeep-grand-cherokee-ads-not-product/#comments</comments>
		<pubDate>Thu, 22 Jul 2010 21:25:05 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Communications]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[ad agencies]]></category>
		<category><![CDATA[Chevrolet]]></category>
		<category><![CDATA[Corvette]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[positioning]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1055</guid>
		<description><![CDATA[Time will tell, but my guess is that Chevrolet will be glad that it aired the new Corvette commerical and Jeep less so.]]></description>
			<content:encoded><![CDATA[<p>We wouldn&#8217;t expect one of the buff books to have a comparo between the 2011 Corvette and the 2011 Jeep Grand Cherokee but in marketing circles there&#8217;s an active discussion going on comparing their new advertising.</p>
<p>Chrysler&#8217;s new ad for the Jeep Grand Cherokee first appeared about a month ago and seeks to stir Americans&#8217; pride in our heritage as builders and innovators:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/PqbSNy9jU2U" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/PqbSNy9jU2U"></embed></object></p>
<p>Chevrolet&#8217;s new ad for Corvette appeared last week on the All-Star game and draws a parallel between our country&#8217;s space program and the 2011 Corvette:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/FJW9Up0nJT4" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/FJW9Up0nJT4"></embed></object></p>
<p>Some critics have gone as far as saying that Chevrolet should not have aired the Corvette commercial because it was too similar to the Jeep spot.  There are certainly similarities between the executions.<span id="more-1055"></span></p>
<p>Both commercials try to connect contemporary products to historically relevant American values.  Jeep draws a connection between our heritage as a &#8220;nation of builders, craftsmen, men and women for whom straight stitches and clean welds are a matter of pride&#8221; and the Jeep Grand Cherokee.  Corvette draws a parallel between the scientists, engineers and visionaries of the NASA space program and those who built the 2011 Corvette.</p>
<p>Beyond the connection to American values, there are a number of executional similarities; for example, the use of historical footage and a narrative voice-over using a similar tone and manner.</p>
<p>It really shouldn&#8217;t surprise anyone that Jeep and Corvette should happen to have developed similar commercials, after all, they are uniquely American brands.  Both iconic in their own right and products of distinctly American ingenuity.  It makes sense that these brands would try to leverage their &#8220;American-ness.&#8221; Corvette and Jeep also have well-established positionings and stand for something in Americans&#8217; minds.  Corvette is America&#8217;s high performance sports car and Jeep is the vehicle you can go anywhere and do anything in.</p>
<p>What I find most interesting, isn&#8217;t that these two great American automotive brands came up with similar commercials, but that one company chose to support its long-standing brand idea, while the other walked away.</p>
<p>The Corvette commercial clearly articulates Corvette&#8217;s positioning: unbridled, peddle-to-the-metal, all American sports car performance. &#8220;It&#8217;s nice to know that America still builds rockets&#8221; strikes a patriotic cord, but it is in perfect lock step with Corvette&#8217;s brand essence.</p>
<p>On the other hand, nowhere in the Jeep commercial do we see the idea that Jeep can go anywhere or do anything.  No notion that Jeep opens up possibilities that other vehicles don&#8217;t and represents that uniquely American sense of freedom.  Jeep is now emblematic of American craftsmanship, engineering and manufacturing: &#8220;the things that make us American are the things we make.&#8221;</p>
<p>So while we can debate whether or not the Corvette commercial is too similar to the Jeep commercial and whether or not they should have aired it, I think a much more interesting discussion is the wisdom of sticking with or walking away from an established long-term positioning.</p>
<p>Time will tell, but my guess is that Chevrolet will be glad that it aired the new Corvette commercial and Jeep less so.</p>]]></content:encoded>
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		<title>2011 Jeep Grand Cherokee: &#8220;Imagined, drawn, carved, stamped, hewn and forged here in America.&#8221; Sort of.</title>
		<link>http://autoperspectives.com/blog/2010/07/12/2011-jeep-grand-cherokee-imagined-drawn-carved-stamped-hewn-and-forged-here-in-america-sort-of/</link>
		<comments>http://autoperspectives.com/blog/2010/07/12/2011-jeep-grand-cherokee-imagined-drawn-carved-stamped-hewn-and-forged-here-in-america-sort-of/#comments</comments>
		<pubDate>Mon, 12 Jul 2010 16:26:26 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[Chrysler]]></category>
		<category><![CDATA[Jeep]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[Wieden & Kennedy]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1037</guid>
		<description><![CDATA[when you wave the flag in advertising and ask us to emotionally rally round it because this Jeep is American made, it feels a little smarmy when you learn that it's not exactly the case.]]></description>
			<content:encoded><![CDATA[<p>Jeep is introducing the 2011 Grand Cherokee and it seems it is quite a vehicle:</p>
<p style="padding-left: 30px;">&#8220;The newest generation of Jeep&#8217;s iconic luxury SUV can still rock-crawl with the best of them, but it looks a whole lot nicer doing it, both inside and out.&#8221;  AutoWeek  7/5/10</p>
<p>The new advertising is impressive and seeks to re-invigorate some distinctly American values:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/Mi0SbrrGaiw" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/Mi0SbrrGaiw"></embed></object></p>
<p>Let&#8217;s face it, as Americans we are feeling a little down.  The worst recession in generations is a big part of the problem.  Nagging unemployment, a recovery that is sputtering and concern over the looming deficit are not helping.</p>
<p>So I think Jeep&#8217;s strategy of appealing to values we all hold dear makes some sense. What American isn&#8217;t proud of our heritage as a &#8220;nation of builders, craftsmen, men and women for whom straight stitches and clean welds are a matter of pride.&#8221;  We built the railroads, invented the airplane, built the Empire State Building, and created the original Jeep.</p>
<p>The idea that &#8220;the things that make us American are the things we make&#8221; strikes an emotional cord.  A cord that makes us feel proud, and right now a little pride would help.  The Jeep Grand Cherokee is something we can all be proud of because it was &#8220;imagined, drawn, carved, stamped, hewn and forged here in America.&#8221;</p>
<p>Powerful stuff, beautifully executed, leaves the viewer saying &#8220;yeah, bring it on.&#8221;</p>
<p>Only two things bother me about this commercial.<span id="more-1037"></span></p>
<p>First what happened to the Jeep brand?  Where is the go anywhere do anything in a Jeep idea?  Isn&#8217;t that an essential part of the Jeep brand? AutoWeek seems to think so, in their review of the vehicle, they reference the fact that the Grand Cherokee can &#8220;rock crawl with the best them.&#8221;  I recognize that the vast majority of SUV owners never go off-road, but knowing that you can take on anything in a Jeep seems an essential part of the brand&#8217;s promise.</p>
<p>The second thing that created dissonance for me was learning that the Grand Cherokee was built on the current M-Class platform from Mercedes-Benz.</p>
<p style="padding-left: 30px;"><span style="font-weight: normal;">&#8220;A lot of the new five-seat, two-row Grand Cherokee chassis is shared with Mercedes&#8217; next-generation ML-Class SUV – a byproduct of development that began under the DaimlerChrysler regime.&#8221;  <a href="http://autos.aol.com/article/2011-jeep-grand-cherokee-review/" target="_blank">AOL Autos 7/11/10</a></span></p>
<p>It turns out that the 2011 Jeep Grand Cherokee was &#8220;imagined&#8221; and &#8220;drawn&#8221; when Daimler owned Chrysler.  While I&#8217;m sure the Grand Cherokee was conceived and ultimately built in America, they chose to use a platform originally engineered in Germany.</p>
<p>Let&#8217;s not debate whether the advertising is factually accurate; I&#8217;m sure it follows the letter of the law.</p>
<p>The problem is that when you wave the flag in advertising and ask us to emotionally rally round it because this Jeep is American made, it feels a little smarmy when you learn that it&#8217;s not <em>exactly</em> the case.</p>]]></content:encoded>
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		<title>SAAB is re-building its brand after years of neglect.</title>
		<link>http://autoperspectives.com/blog/2010/07/07/saab-is-re-building-its-brand-after-years-of-neglect/</link>
		<comments>http://autoperspectives.com/blog/2010/07/07/saab-is-re-building-its-brand-after-years-of-neglect/#comments</comments>
		<pubDate>Wed, 07 Jul 2010 15:04:51 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[GM]]></category>
		<category><![CDATA[SAAB]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=1018</guid>
		<description><![CDATA[Whenever you do something this fresh and different in the automobile business it will be subjected to the naysayers who scream for something more conventional. Can't you hear the cries for more sheet metal?  SAAB should ignore them.]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-1033" href="http://autoperspectives.com/blog/2010/07/07/saab-is-re-building-its-brand-after-years-of-neglect/2011newsaab9-5/"><img class="aligncenter size-medium wp-image-1033" title="2011NewSaab9-5" src="http://autoperspectives.com/blog/wp-content/uploads/2010/07/2011NewSaab9-5-300x166.jpg" alt="" width="300" height="166" /></a></p>
<p>Now that SAAB has shed the shackles of General Motors they are getting on with the business of re-building the brand.</p>
<p>Two weeks ago they announced (<a href="http://wheels.blogs.nytimes.com/2010/06/22/saabs-future-can-be-found-in-saabs-past-says-its-new-designer/" target="_blank">NYT&#8217;s 6/22/10</a>) that they have hired a new head designer who has said that: “We want to return to the Saab DNA.” Just last week they announced (<a href="http://www.mediapost.com/publications/?fa=Articles.showArticle&amp;art_aid=131085" target="_blank">Media Post 6/29/10</a>) that they were ramping up marketing investment, going back on TV and in print with a new campaign.</p>
<p>After years of being part of GM where the SAAB brand was neither appreciated nor nourished it appears to be getting it&#8217;s footing back. The SAAB brand has always stood for independence and a willingness to break convention.  SAAB has always had a devoted group of loyalists, some of whom played a <a href="http://www.autoblog.com/2010/01/05/saab-owners-gather-in-wintery-detroit-urge-gm-to-sell-brand/" target="_blank">vocal role</a> in the brand&#8217;s most recent resurrection, PGM (Post General Motors).  Historically, SAAB has had all the foundation stones of a great automotive brand; a point-of-view, good interesting product, a genuine enthusiast group willing to proselytize, a group of loyal owners and marketing that conveyed its essential character.</p>
<p>As part of the GM stable of brands, SAAB&#8217;s essential character became a barrier to increased sales volumes.  &#8220;Different&#8221; didn&#8217;t mean special or unique, it became &#8220;quirky&#8221; or &#8220;weird.&#8221;  As we all know, very few people buy &#8220;quirky&#8221; or &#8220;weird.&#8221;  So SAAB product became less distinct, not necessarily bad, just less unique.  SAAB&#8217;s marketing also became more expected, more traditional.  Consumers were subjected to campaign after campaign that hung its hat on the idea that SAAB also makes jets&#8230;as if that was ever what the car company was about.</p>
<p>Last week this all changed.  <span id="more-1018"></span>SAAB started marketing in earnest again asking us to &#8220;Change Perspective.&#8221;   Here&#8217;s the European version of the television commercial (the US version is not yet on YouTube):</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/0hc0buYIZXI" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/0hc0buYIZXI"></embed></object></p>
<p>This commercial is like a breath of fresh air,  SAAB is returning to its roots but in a cool contemporary way.  Well produced, interesting to watch, the music is great (&#8220;The time is now&#8221; by Asha Ali) and it&#8217;s on strategy: &#8220;When you have a different perspectives on things, you don&#8217;t end up with just another car, you end up with a SAAB.&#8221;  Got it.</p>
<p>The <a href="http://changeperspective.saab.com/" target="_blank">website</a> is equally as engaging as you learn more about SAAB&#8217;s perspective on driving, safety, power and fuel.  All seamlessly connected and speaking from the same position:  SAAB has a different perspective, uniquely Swedish, but relevant to the world.  I can&#8217;t wait to see the print.</p>
<p>Whenever you do something this fresh and different in the automobile business it will be subjected to the naysayers who scream for something more conventional. Can&#8217;t you hear the cries for more sheet metal?</p>
<p>SAAB should ignore them.</p>
<p>Well done SAAB, McCann Erickson Detroit and Lowe Brindfors.</p>]]></content:encoded>
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		<title>Hyundai Equus.  Can Hyundai succeed with a D-class model?</title>
		<link>http://autoperspectives.com/blog/2010/06/22/hyundai-equus-can-hyundai-succeed-with-a-d-class-model/</link>
		<comments>http://autoperspectives.com/blog/2010/06/22/hyundai-equus-can-hyundai-succeed-with-a-d-class-model/#comments</comments>
		<pubDate>Tue, 22 Jun 2010 17:02:52 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Automotive Retail]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Audi]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[customer experience]]></category>
		<category><![CDATA[D-Segment]]></category>
		<category><![CDATA[dealers]]></category>
		<category><![CDATA[Hyundai]]></category>
		<category><![CDATA[luxury]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[Tier 1]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=954</guid>
		<description><![CDATA[The D-segment of the luxury automotive market is tough. So what makes Hyundai think they can introduce the Equus into this rarefied air and succeed?]]></description>
			<content:encoded><![CDATA[<p><a rel="attachment wp-att-967" href="http://autoperspectives.com/blog/2010/06/22/hyundai-equus-can-hyundai-succeed-with-a-d-class-model/2011-hyundai-equus/"><img class="aligncenter size-medium wp-image-967" title="2011-Hyundai-Equus" src="http://autoperspectives.com/blog/wp-content/uploads/2010/06/2011-Hyundai-Equus-300x188.jpg" alt="" width="300" height="188" /></a></p>
<p>The D-segment of the luxury market is tough.  The best luxury manufacturers in the world bring their best technology, design and engineering to the table and the result is the world&#8217;s best 4-door sedans: BMW 7-Series, Mercedes-Benz S-Class, Lexus LS, are perennial best sellers.  It&#8217;s tough to break-in, Audi has struggled for years to build volume in the segment with its A8 despite having what many would say is the best product.</p>
<p>So what makes Hyundai think they can introduce the Equus into this rarefied air and succeed?</p>
<p>Let&#8217;s get one thing out of the way.  From a product perspective, the Hyundai Equus will be a very able competitor to the best luxury sedans in the business.  Hyundai has demonstrated that they build exceptional quality cars at multiple price points, the most recent being the Genesis, a near to mid luxury entry.  The Equus is already getting good reviews and at $55,000 will offer D-class luxury at a very reasonable price.</p>
<p>The issue for Hyundai is not the product or the price.<span id="more-954"></span></p>
<p>Already critics are saying Hyundai cannot compete with the Tier 1 luxury marques; Mercedes-Benz, Lexus, BMW and arguably Audi. Hyundai announced that they would not open a separate luxury franchise; instead they will sell the Equus in their existing showrooms. This announcement was met with cynicism.  Traditional thinking says that a Tier 1 luxury brand needs its own stand-alone franchise/stores, and that luxury customers, particularly in the D-segment, want to be coddled in Taj Mahals built as shrines to their brand of choice. Luxury customers certainly don&#8217;t want to be shopping for or servicing their cars in the same place as mass-market customers&#8230;e.g. a Hyundai dealership.</p>
<p>This conventional thinking assumes that the only way Hyundai can succeed in the luxury segment is to follow the Lexus model and become a Tier 1 luxury brand.  I think Equus will be a success and will re-write the rules of D-Class luxury.  Hyundai won&#8217;t be a Tier 1 luxury brand; they will be a new form of luxury.</p>
<p>Americans&#8217; perception of luxury and prestige is changing.  Some argue that the near collapse of the financial markets and the recession have changed our sensibilities forever.  Last year, the <a href="http://online.wsj.com/article/SB117976612960309689.html?mod=WSJ_auto_RightSecondHighligts" target="_blank">Wall Street Journal reporter Matthew Dolan</a> was interviewed and commented that Americans have moved from “conspicuous to careful consumption.” He went on to say that “the luxury of the past is not the luxury of the future.”</p>
<p>Hyundai will certainly take advantage of these changing sensibilities but that&#8217;s not the only reason they will succeed.   There has always been a segment of the car buying population that wanted the engineering and quality of the luxury segment but wasn&#8217;t interested in the &#8220;prestige&#8221; image.  These folks didn&#8217;t want to overtly make a statement; they were looking for something subtler, something that made sense to them. The traditional trappings of Tier 1 do not drive them, they are looking for a quality product and a reasonable value. For years they bought Audis and thought that they had a made a &#8220;smarter&#8221; choice than their peers who bought Mercedes-Benz, BMW or Lexus.</p>
<p>Changing perceptions of luxury and an ample number of people interested in a quality luxury automobile but not in the &#8220;badge&#8221; marques will offer more than enough opportunity for the Equus.  This combined with Hyundai&#8217;s increasing reputation for quality, some decent marketing and reasonable pricing should be more than enough to gin up floor traffic for the Equus.</p>
<p>But that&#8217;s where the battle will begin for Hyundai and the Equus, it will either succeed or fail based on what the customer experiences as they walk into the showroom.</p>
<p>These consumers are not the traditional Tier 1 D-segment customers and they won&#8217;t worry that they are going to a Hyundai store to look at a $55,000 luxury car.  I think they&#8217;ll get beyond that fact that their luxury car is in the same showroom with a model that starts at less than $10,000.   I don&#8217;t think they&#8217;ll mind sitting in a less sumptuous lounge while they&#8217;re waiting for service and probably won&#8217;t care if espresso isn&#8217;t available.</p>
<p>What will make or break the deal is how they are treated when they walk in the door.  If they are greeted by a knowledgeable professional who is well trained and can accurately sell the virtues of the Equus versus its competitors in an interesting and informative way, that will be a good start.  If the showroom is bright, uncluttered and the product conveniently on display that will help.  If they see a customer lounge that is comfortable and clean with free Wi-Fi and a decent high definition television that will create the right impression.  In short, if they see a customer focused environment, staffed with quality people who are focused on the customer&#8217;s needs, I think they&#8217;ll fore-go the usual Tier 1 frills in favor of a top-notch vehicle at a reasonable price delivered and serviced by competent pros.</p>
<p>The only question for Hyundai is can their dealer body deliver that customer experience.  Recently I was at my local Hyundai store with my son who was in the market for a car.  The salesman that helped us knew little about his own products let alone the competition.  All he talked about was the 10 year, 100,000 mile warranty, the Assurance program and the price.  We had to go outside to see the car we were considering and there was no offer of a test drive. That won&#8217;t fly with a D-segment car.  The dealers are going to need to significantly up their game.</p>
<p>If they do, I think Hyundai has a good chance of succeeding with the Equus and possibly becoming Mathew Dolan&#8217;s &#8220;luxury of the future.&#8221; But it&#8217;s not about &#8220;becoming&#8221; Tier 1, nor is it about providing the traditional trappings of &#8220;prestige&#8221; automotive brands. It&#8217;s about recognizing that there&#8217;s a new sensibility, a new perspective on luxury and meeting the expectations of these customers. It&#8217;s a great opportunity to re-invent a piece of the luxury segment.</p>]]></content:encoded>
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		<title>The &#8220;Chevy&#8221; vs. &#8220;Chevrolet&#8221; dust-up.  What it means for a global brand.</title>
		<link>http://autoperspectives.com/blog/2010/06/11/the-chevy-vs-chevrolet-dust-up-what-it-means-for-a-global-brand/</link>
		<comments>http://autoperspectives.com/blog/2010/06/11/the-chevy-vs-chevrolet-dust-up-what-it-means-for-a-global-brand/#comments</comments>
		<pubDate>Fri, 11 Jun 2010 17:54:08 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Communications]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[Chevrolet]]></category>
		<category><![CDATA[Chevy]]></category>
		<category><![CDATA[GM]]></category>
		<category><![CDATA[Mercedes Benz]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=941</guid>
		<description><![CDATA[At the heart of this dust-up is a real issue.  How to most effectively manage a global automotive brand.]]></description>
			<content:encoded><![CDATA[<p>The last twenty-four hours has been full of articles, blogs, tweets, surveys, all questioning the wisdom of the folks at Chevrolet who were apparently seeking to remove &#8220;Chevy&#8221; from the brand&#8217;s lexicon (<a href="http://www.nytimes.com/2010/06/10/automobiles/10chevy.html?partner=rss&amp;emc=rss" target="_blank">NYTs 6/10/10</a>).  Predictably, people were shocked and the Chevrolet folks accused of varying levels of insanity, some even questioning their patriotism.</p>
<p>Thankfully, as the day wore on, Chevrolet made an effort to explain that it had been mis-understood (<a href="http://media.gm.com/content/media/us/en/news/news_detail.print.GMCOM.html/content/Pages/news/us/en/2010/Jun/0610_Statement" target="_blank">see the press release</a>) and that the memo leaked to the New York Times had been &#8220;poorly worded.&#8221; Unfortunately for the folks at GM, this whole incident has just added fuel to the fire for those folks who want to find fault with every thing the company tries to do.  If you take the GM folks at their word, what they were trying to do really isn&#8217;t crazy.</p>
<p>At the heart of this dust-up is a real issue.  How to most effectively manage a global automotive brand.</p>
<p>Here&#8217;s a video of Alan Batey explaining that indeed &#8220;Chevy&#8221; is just fine but that &#8220;Chevrolet&#8221; is the global brand:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/LaQXQmkMFGc" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/LaQXQmkMFGc"></embed></object></p>
<p>Put aside Mr. Batey&#8217;s understandable defensiveness and his desire to assure us that &#8220;Chevy&#8221; is OK.  <span id="more-941"></span>The issue is that Chevrolet is now sold in more 130 countries around the world, that it sells twice as many vehicles outside the US as it does within and that the brand is relatively underdeveloped in newer areas of distribution.  The folks at GM think it would be a good idea if they referenced their brand consistently around the world and they have decided that it is &#8220;Chevrolet.&#8221;  They&#8217;re right, their brand&#8217;s name should be consistent globally.  &#8220;Chevrolet&#8221; it is.</p>
<p>I think the folks at Chevrolet are struggling with how to best execute a global brand.  On one hand they want to be known as one thing throughout the world, on the other they have a &#8220;local&#8221; market where &#8220;Chevy&#8221; is a powerful cultural connection to their brand.</p>
<p>The mistake that so many automotive manufacturers make is to conclude that their brand must be the &#8220;same&#8221; everywhere and this often turns into a global advertising campaign.  Mercedes-Benz just announced that it is starting a &#8220;global campaign&#8221; (&#8220;<a href="http://online.wsj.com/article/SB10001424052748704312104575298271412947044.html?mod=WSJ_auto_IndustryCollection" target="_blank">Mercedes-Benz Plans new ad push.&#8221;  WSJ 6/10/10</a>).  BMW launched it&#8217;s global &#8220;Joy&#8221; campaign earlier this year.  Invariably this top down approach to marketing is only marginally successful because it ignores local market sensibilities and assets (<a href="http://wp.me/pGyRI-7q" target="_blank">see earlier blog post</a>).  For example, BMW&#8217;s &#8220;Joy&#8221; is not an adequate substitute for &#8220;The Ultimate Driving Machine&#8221; in the US.</p>
<p>With this in mind, here are four guiding principles for managing a global automotive brand:</p>
<ol>
<li><span style="text-decoration: underline;"><span style="text-decoration: underline;">The strategic underpinnings and core values of an automotive brand must be consistent throughout its areas of distributio</span>n.</span> The essence of a brand should not change from market to market.</li>
<li><span style="text-decoration: underline;"><span style="text-decoration: underline;">It is far less important that the execution of the brand positioning be literally the same in every market</span>.</span> In fact, tailoring executions to culture and brand experience in the local market (assuming it is on brand strategy) opens the possibility of more powerful communications.</li>
<li><span style="text-decoration: underline;">A good corporate ID program should be in place and guide execution.</span> Use of particular typefaces and basic design standards are critical communicators of an automobile manufacturer&#8217;s design sensibilities and adherence to them globally will ensure an appropriate level of consistency without impinging on local messaging.</li>
<li><span style="text-decoration: underline;">The sharing of production assets (e.g. photography &amp; film) wherever possible makes perfect sense.</span> This will save a few production dollars and ensure a level of executional consistency that is appropriate.</li>
</ol>
<p>Let&#8217;s look at Chevrolet point by point.</p>
<p>Ever since the bankruptcy, GM has been promising that they will focus on positioning their four remaining brands.  This job has yet to be done for Chevrolet. Representing 70% of the New GM&#8217;s revenue, this body of work needs to be done right and I&#8217;m sure the new VP of Marketing is focussed on the task.  Until the Chevrolet strategic underpinnings are agreed, there is no brand, global or otherwise.</p>
<p>I am hopeful that the acknowledgment that we love &#8220;Chevy&#8221; is recognition that local market sensibilities are important and that &#8220;Chevy&#8221; is an asset to be leveraged, at least in the US.  This iconic American brand holds a special place in the hearts of many Americans and a lowest common denominator global campaign would do it such a dis-service.</p>
<p>The dust-up over &#8220;Chevrolet&#8221; vs. &#8220;Chevy&#8221; rightly belongs in point number three.  From a corporate identity point of view, &#8220;Chevrolet&#8221; is the brand and it will be used consistently through out the world.</p>
<p>The fourth point should be relatively simple to execute.</p>
<p>So, while the &#8220;Chevrolet&#8221; vs &#8220;Chevy&#8221; discussion has been entertaining over the last day or so, it really isn&#8217;t all that important.  What&#8217;s important is that they get the brand&#8217;s strategic positioning locked-in and recognize the importance of leveraging local assets in the markets where they exist.  At that point Chevrolet will be well on the way to becoming a powerful global brand.</p>]]></content:encoded>
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		<title>Infiniti:  From &#8220;rocks and trees&#8221; to &#8220;brush-strokes,&#8221; can it become a Tier I luxury brand?</title>
		<link>http://autoperspectives.com/blog/2010/06/09/infiniti-can-it-become-a-tier-i-luxury-brand/</link>
		<comments>http://autoperspectives.com/blog/2010/06/09/infiniti-can-it-become-a-tier-i-luxury-brand/#comments</comments>
		<pubDate>Wed, 09 Jun 2010 21:31:50 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[Acura]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[Infiniti]]></category>
		<category><![CDATA[Lexus]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[positioning]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=887</guid>
		<description><![CDATA[I was glad to see Infiniti stand behind its current "Brush-Stroke" campaign because for the first time since "rocks and trees" I think they are beginning to make the brand something special.]]></description>
			<content:encoded><![CDATA[<p>Yesterday&#8217;s <a href="http://www.autonews.com/article/20100607/RETAIL03/306079976/1280" target="_blank">Automotive News</a> had a brief piece about Infiniti marketing that struck me as interesting.  In it, they reported that &#8220;Infiniti has told its dealer advisory group that it is committing to a five-year run for the new &#8216;Way of Infiniti&#8217; campaign&#8211;a long-term pledge intended to reassure retailers that the brand will have a consistent message.&#8221;</p>
<p>I immediately thought to myself &#8220;Good for them.&#8221;</p>
<p>Infiniti from the very beginning has had a difficult time establishing a brand identity and finding a way to execute it in communications. Introduced in 1989, Infiniti was Nissan&#8217;s response to the introductions of the other Japanese luxury marques, Acura and Lexus.  The original Q45 was a sporty performance alternative to the Lexus. Unfortunately, Infiniti got off to a rough start when it introduced the car and brand with the infamous &#8220;rocks and trees&#8221; campaign created by its agency Hill, Holliday, Connors, Cosmopulos.</p>
<p>The &#8220;rocks and trees&#8221; campaign sought to present Infiniti as the result of the unique Japanese culture and sensibility.  The campaign attempted to make its Japanese origin an asset, similar to the way that the German brands have used their &#8216;German-ness.&#8217;  The Infiniti ads were very different than any automotive company had ever done (they didn&#8217;t even show the car initially).  <span id="more-887"></span>I still think the campaign deserved high marks for breaking new ground and attempting to make the fact that it was a brand from Japan important. Unfortunately, the campaign was panned by the automotive marketing community, blamed for anemic sales, resulted in the agency getting fired and ultimately resulted in a much more traditional approach to communications.</p>
<p>In the years that followed, Infiniti communications bounced from expected campaign to expected campaign without ever establishing a clear identity for the brand.  Infiniti was relegated to Tier II status in the US luxury market.  Tier I luxury brands like Mercedes-Benz, BMW and Lexus are considered more prestigious, have higher levels of customer loyalty, higher resale/residual values and not surprisingly have better established brand identities.</p>
<p>It&#8217;s been unfortunate for Infiniti because they have consistently offered well-engineered products with some very distinct designs. The product has delivered on Tier I expectations but the brand&#8217;s reputation or image did not.</p>
<p>I was glad to see Infiniti stand behind its current &#8220;Brush-Stroke&#8221; campaign because for the first time since &#8220;rocks and trees&#8221; I think they are beginning to make the brand something special.  Here are some recent commercials:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/p1kbzpYRogg" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/p1kbzpYRogg"></embed></object></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/q4sMO-1fAiA" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/q4sMO-1fAiA"></embed></object></p>
<p>And a couple of print ads:</p>
<p><a rel="attachment wp-att-891" href="http://autoperspectives.com/blog/2010/06/09/infiniti-can-it-become-a-tier-i-luxury-brand/infiniti-ad-2/"><img class="aligncenter size-full wp-image-891" title="infiniti ad 2" src="http://autoperspectives.com/blog/wp-content/uploads/2010/06/infiniti-ad-2.png" alt="" width="486" height="644" /></a></p>
<p><a rel="attachment wp-att-890" href="http://autoperspectives.com/blog/2010/06/09/infiniti-can-it-become-a-tier-i-luxury-brand/infiniti-ad-1/"><img class="aligncenter size-full wp-image-890" title="Infiniti ad 1" src="http://autoperspectives.com/blog/wp-content/uploads/2010/06/Infiniti-ad-1.png" alt="" width="488" height="644" /></a></p>
<p>The use of the Japanese sumi-e painting style is a nice way of connecting the brand to Japanese culture and sensibilities while adding a distinctive executional element.  I don&#8217;t find the tag-line &#8220;Inspired Performance&#8221; particularly, forgive me&#8230;.inspired.  But it is clear and I get the message.  The brand&#8217;s Facebook Fan page and the Twitter posts are also consistent strategically as was their NCAA basketball sponsorship of &#8220;Inspired Performances.&#8221;   Put it all together and Infiniti is a uniquely Japanese performance luxury car with the full measure of technology and features that you would expect.</p>
<p>With this campaign, Infiniti is re-establishing its roots in Japanese performance.  I don&#8217;t think that this campaign is going to win any advertising awards (if that happens to be how you measure success) but I do think it is on strategy for this brand, and is well executed.</p>
<p>More importantly, if the manufacturer and the dealers are serious and really do commit to this campaign for five years I think they have a real chance of establishing a clear Infiniti brand identity and perhaps even making it into Tier I.</p>]]></content:encoded>
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		<title>Mercedes-Benz: will they bring back &#8220;Engineered like no other car in the world.&#8221;?</title>
		<link>http://autoperspectives.com/blog/2010/05/25/mercedes-benz-will-they-bring-back-engineered-like-no-other-car-in-the-world/</link>
		<comments>http://autoperspectives.com/blog/2010/05/25/mercedes-benz-will-they-bring-back-engineered-like-no-other-car-in-the-world/#comments</comments>
		<pubDate>Tue, 25 May 2010 22:27:27 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Uncategorized]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[Engineered like no other car in the world.]]></category>
		<category><![CDATA[Mercedes Benz]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=864</guid>
		<description><![CDATA[After years of neglect, it seems to me that the marketers at Mercedes-Benz are returning to the brand's authentic roots and regaining their focus on engineering. ]]></description>
			<content:encoded><![CDATA[<p>For many years I have been concerned that many once great automotive brands have been allowed to fall into disrepair. Mercedes-Benz, a prime example, has been sliding ever since the early &#8217;90s when it walked away from &#8220;Engineered like no other car in the world.&#8221; Superior engineering was deemed &#8220;unsupportable&#8221; in a market filled with able competitors like Lexus.  Then unfortunately, Mercedes-Benz went through a period where its product quality was questionable.  It seemed that the strategists were right, Mercedes-Benz could no longer hang it&#8217;s hat on its engineering creds.</p>
<p>That conclusion has always bothered me.  I&#8217;ve always thought that Mercedes-Benz had a its own brand of engineering, it wasn&#8217;t always &#8220;better&#8221; than anyone else&#8217;s (although often it is), but I always felt it was &#8220;different&#8221; and therefore uniquely Mercedes-Benz.  It always seemed crazy to walk away from one of the four or five true category drivers.  But in an effort to &#8220;broaden&#8221; the appeal of Mercedes-Benz, they gave themselves credit for engineering and assumed that all their customers and prospects understood the core of the brand.</p>
<p>After years of neglect, it seems to me that the marketers at Mercedes-Benz are returning to the brand&#8217;s authentic roots and regaining their focus on engineering. Here are two commercials that have been on-air recently:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/CqC88t6oY5w" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/CqC88t6oY5w"></embed></object></p>
<p><span id="more-864"></span></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/2WLcDwP1Mt4" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/2WLcDwP1Mt4"></embed></object></p>
<p>I&#8217;m not for an instant suggesting that these are the most innovative executions in the world, but it does seem to me that they are strategically spot-on for Mercedes-Benz. These commercials speak from the position of engineering.  The E-Class commercial references that it is the &#8220;9th generation,&#8221; the product of &#8220;50,000 crash tests,&#8221; holds the &#8220;world record for longevity&#8221; and is &#8220;technologically advanced.&#8221;  While you&#8217;re watching the C-Class roll over in a crash test you hear copy asking &#8220;When you buy a car, what are you buying?&#8221; a few factoids later you hear &#8220;the deeper you look the more you see the real difference and the more you understand what it means to own a Mercedes-Benz&#8230;the engineering of Mercedes-Benz.</p>
<p>Keen observers may have noticed that Mercedes-Benz has been running print ads with relatively long copy full of facts and rationale that supports their engineering positioning.</p>
<p>I can hear some ad wonks saying that they have seen these commercials before and that there is nothing new about a long copy ad.  I would argue that these commercials do a very nice job of establishing Mercedes-Benz as a very special car company with quality engineering at its core.  It may not be new, but neither is the brand and it will work, particularly with the new generation of luxury car purchasers who don&#8217;t know Mercedes-Benz as well as their parents.</p>
<p>While Mercedes-Benz is getting back to their core values, they are not living in the past.  Their efforts to reach this new generation of luxury buyers through social media with the &#8220;Gen-Benz&#8221; online community and another program called &#8220;M-B Advisors&#8221; demonstrates that the Company is listening and learning.  The traditional advertising may be well, traditional, but the folks at Mercedes-Benz recognise that to truly build their brand for this new generation they need to create a dialogue and a community around the brand in a whole different way (<a href="http://www.mediapost.com/publications/?fa=Articles.showArticle&amp;art_aid=128529" target="_blank">MediaPost.com</a>).</p>
<p>Mercedes-Benz is doing a very nice job re-establishing its brand&#8217;s core values and teaching a new generation of customers what their brand represents.  If they keep this up, and perhaps restore &#8220;Engineered like no other car in the world&#8221; maybe we can take this great brand off the endangered list.</p>]]></content:encoded>
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		<title>New ideas from Chevy and Cadillac.  We&#8217;re still waiting for a brand idea.</title>
		<link>http://autoperspectives.com/blog/2010/05/12/new-ideas-from-chevy-and-cadillac-were-still-waiting-for-a-brand-idea/</link>
		<comments>http://autoperspectives.com/blog/2010/05/12/new-ideas-from-chevy-and-cadillac-were-still-waiting-for-a-brand-idea/#comments</comments>
		<pubDate>Wed, 12 May 2010 17:01:24 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[ad agencies]]></category>
		<category><![CDATA[BBH]]></category>
		<category><![CDATA[Cadillac]]></category>
		<category><![CDATA[Chevrolet]]></category>
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		<category><![CDATA[Publicis]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=839</guid>
		<description><![CDATA[Almost three heads of marketing later, we still have yet to see an ad  or an idea that positions these brands clearly in the marketplace.]]></description>
			<content:encoded><![CDATA[<p>Last year, fresh out of bankruptcy, General Motors ran the first ad with Ed Whitacre.  At the time, GM rationalised the Whitacre ad by saying:</p>
<p style="padding-left: 30px;">&#8220;The spot will set up a wider TV campaign featuring commercials about each of GM&#8217;s four surviving brands: Chevrolet, Buick, GMC and Cadillac.&#8221;  <a href="http://www.autonews.com/article/20090910/RETAIL03/309109906" target="_blank">Automotive News, 9/10/09</a></p>
<p>The implication being that the brand advertising would clarify the brands&#8217; identities. Almost three heads of marketing later, we still have yet to see an ad  or an idea that positions these brands clearly in the marketplace.  Three of the four GM brands have not put a stake in the ground telling us what they stand for (GMC is the exception and that work was done years ago).</p>
<p>Last week it leaked out that Chevy was going to have the tag-line &#8220;Excellence for all.&#8221; That idea has been roundly criticized as a strategy looking for an execution.  We used to describe an idea like this by saying its &#8220;strategy is showing.&#8221;  The point of course is that it lacks passion, emotion, bravado, something magical that makes you feel something about the brand, rather it&#8217;s as if research wrote the line. Chevrolet is truly one of America&#8217;s most storied and iconic brands, surely it deserves better.</p>
<p>Predictably the industry was quick to blame Publicis (Chevrolet&#8217;s new agency), I think that&#8217;s misplaced.</p>
<p>Ironically, exhibit number 1 in defense of Publicis is the new Cadillac campaign from Bartle Bogle &amp; Hegarty.  Just announced yesterday, here are a couple of the commercials:<span id="more-839"></span></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/_D9B3LJcdM0" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/_D9B3LJcdM0"></embed></object></p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/NDDiMqNDSpc" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/NDDiMqNDSpc"></embed></object></p>
<p>Nicely executed, nice music, mildly interesting to watch, but basically running footage. Certainly does not position Cadillac in a powerful way.  Another idea from another new agency that falls short of being something special.  There&#8217;s a pattern here folks.</p>
<p>BBH is one the smartest most creative agencies in the world.  They&#8217;ve done wonderful work for Audi in the UK so they understand automotive.  The New York office has done the work for Ally Bank (the old GMAC) which is very smart and very powerful.</p>
<p>So what&#8217;s going on at GM?  Two great brands in Chevrolet and Cadillac with scads of new, well-received product.  Two new agencies that are bringing huge levels of enthusiasm, smarts and creativity to their new client assignment.  And the result is&#8230;.work that is &#8220;OK&#8221; at best and certainly doesn&#8217;t move the company any closer to clearly positioning its two best brands.</p>
<p>The good news is that on May 24th, GM&#8217;s new Vice President of marketing arrives and with him a new perspective on re-building these great GM brands.  Hopefully, soon after Ewanick&#8217;s arrival, we&#8217;ll be re-introduced to Chevrolet and Cadillac as brands that clearly stand for something&#8230;something we&#8217;d be proud to be part of.</p>]]></content:encoded>
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		<title>What to do about automotive marketing?</title>
		<link>http://autoperspectives.com/blog/2010/04/30/what-to-do-about-automotive-marketing/</link>
		<comments>http://autoperspectives.com/blog/2010/04/30/what-to-do-about-automotive-marketing/#comments</comments>
		<pubDate>Fri, 30 Apr 2010 15:35:55 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Automotive Retail]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[Audi]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[GM]]></category>
		<category><![CDATA[Hyundai]]></category>
		<category><![CDATA[Jaguar]]></category>
		<category><![CDATA[Kia]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[Mini]]></category>
		<category><![CDATA[Porsche]]></category>
		<category><![CDATA[SAAB]]></category>
		<category><![CDATA[subaru]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=820</guid>
		<description><![CDATA[So the good news is that customers are returning to the stores, but are they coming back for the right reasons?]]></description>
			<content:encoded><![CDATA[<p>What a difference a year makes.  It’s 2010 and the auto industry is beginning to recover.</p>
<p>After an incredibly tough 2009, consumers seem to be coming back.  For the first time in recent memory, Americans’ perception of domestic automobiles seems to be on the mend (<a href="http://bit.ly/dnDiZb" target="_blank">Business Week 4/23</a>).  Ford’s bet that Americans will buy smaller, fully featured automobiles looks like it may pay off.  GM’s product plan created by soon-to-retire Bob Lutz is leading a resurgence for the General.  Hyundai and Kia, supported my excellent product quality, have taken advantage of recessionary sensibilities and grown share of market.  Audi , Subaru and Mini have come out of the recession on a tear.</p>
<p>On the other side of the ledger, Toyota continues to struggle with recalls and concerns about quality.  This has led to unprecedented incentives by Toyota and the predictable response by competitors to match them.  So a good number of consumers who had been sitting on sidelines during the recession have come back to dealerships looking to for a good deal.  After 2009, it’s a relief to see traffic in the stores but at the same time if the incentives continue that will not be good for the industry long term.  In 2009, some progress had been made at reducing the use of incentives, but the moment Toyota jumped in to defend its franchise, that opened the floodgates again.</p>
<p>So the good news is that customers are returning to the stores, but are they coming back for the right reasons?</p>
<p><span id="more-820"></span>Coming out of a deep recession, it makes sense that price point will be critical.  But eventually, consumer confidence will return and what, other than price, do we want consumers to consider?  What will create preference and support higher margins?  This seems a good time to step back and evaluate the current state of our automotive brands and evaluate them against a new generation of potential prospects.   Our industry’s brands are not what they once were.</p>
<p>Many once great automotive brands have been allowed to slip into an amorphous state.  In the 90’s as manufacturers chased volume and sought a bigger share of the then expanding pie, it was no longer enough to stand for one thing, they needed to be more things to more people.  This led to communications that were less clear, less defined and the process of weakening great brands began.</p>
<p>If you doubt the veracity of this statement, look at the luxury segment of the category, Volvo, Mercedes Benz, BMW, Jaguar, SAAB were once clearly positioned brands that stood for something.  Many among us can still rattle off these brands’ core values.</p>
<ul>
<li>Volvo—safety</li>
<li>Mercedes Benz—engineering</li>
<li>BMW—performance</li>
<li>Jaguar—design and performance</li>
<li>SAAB—individuality</li>
<li>Porsche—performance sports cars</li>
</ul>
<p>For a long time the majority of consumers gave these brands credit for these values despite product and communications that seemed to go in other directions.  But now the problem has come to roost, there’s a whole generation of prospective customers that don’t know what these brands stand for, they weren’t alive when the seminal advertising that positioned these brands was running.</p>
<p>What to do?  Here’s a suggestion, form a small team of senior level marketing folks (independent consultants, agency partners) who are talented, understand brand building and the automobile business.  Make sure they are willing to commit themselves to genuinely understanding your brand in all its glorious detail and let them loose.  Tell them you want ideas that will clearly position your brand to a new generation of car purchasers who are a blank canvas.  Ask them to execute the idea across all media channels.  Ask for ways to use social media to create communities around your brand that take advantage of the enthusiasts who understand your brand so that their knowledge can educate the new generation.</p>
<p>Consumers are coming back into the stores, but most are coming back to get a good deal.  Manufacturers and their agencies need to re-build their brands.  With younger customers, they need to build them for the first time.  Incentives train people to buy based on the deal and consider the products commodity-like.</p>
<p>In a category where it is now difficult to buy a “bad” vehicle, the threat of commoditization is very real.  A strong desirable brand is the only thing standing between a manufacturer of differentiated products and a supplier of generic transportation.</p>
<p>Please let me know what you think.</p>]]></content:encoded>
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		<title>GM paid back the $6.7B loan, bring in the marketing guys?!</title>
		<link>http://autoperspectives.com/blog/2010/04/27/gm-paid-back-the-6-7b-loan-bring-in-the-marketing-guys/</link>
		<comments>http://autoperspectives.com/blog/2010/04/27/gm-paid-back-the-6-7b-loan-bring-in-the-marketing-guys/#comments</comments>
		<pubDate>Tue, 27 Apr 2010 22:36:01 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
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		<category><![CDATA[GM]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=815</guid>
		<description><![CDATA[I think it's great that they have repaid the loan and are showing progress, but this PR/advertising effort seems a little misplaced.]]></description>
			<content:encoded><![CDATA[<p>I know we live in a world dominated by spin and soundbites but there is something cynical about GM making a big deal about repaying the &#8220;loans&#8221; and &#8220;early&#8221; no less.  GM has the marketing &amp; PR folks going 24/7, they&#8217;ve even made a commercial:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/jbXpV0aqEM4" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/jbXpV0aqEM4"></embed></object></p>
<p>I think it&#8217;s great that they have repaid the loan and are showing progress, but this PR/advertising effort seems a little misplaced.  Does GM think that we&#8217;ve forgotten that the taxpayers provided another $43B for which the government got stock and now owns 60% of the company?</p>
<p>It&#8217;ll be one thing when there&#8217;s a public offering, the government sells it&#8217;s stake and gets its investment back plus interest.  That will be something to crow about. In the meantime making a big deal out of the fact that they paid us back roughly 15% of what we put in feels a bit like they&#8217;re trying to &#8220;sell&#8221; us something.</p>
<p>Rather than &#8220;sell&#8221; us that they&#8217;re succeeding, just get on with it, and when they&#8217;re no longer Government Motors, bring in the marketing guys.</p>
<p>In the meantime, marketing should be working on clearly positioning their remaining brands.  That will help sales and create value for the shareholders.</p>]]></content:encoded>
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		<title>&#8220;Old News&#8221; that&#8217;s worth hearing again, or maybe for the first time&#8230;</title>
		<link>http://autoperspectives.com/blog/2010/04/21/old-news-thats-worth-hearing-again-or-maybe-for-the-first-time/</link>
		<comments>http://autoperspectives.com/blog/2010/04/21/old-news-thats-worth-hearing-again-or-maybe-for-the-first-time/#comments</comments>
		<pubDate>Wed, 21 Apr 2010 19:45:14 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
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		<category><![CDATA[Acura]]></category>
		<category><![CDATA[Mercedes Benz]]></category>
		<category><![CDATA[safety]]></category>
		<category><![CDATA[technology]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=750</guid>
		<description><![CDATA[Sometimes I think we fall into the trap of thinking that many of our product based benefits are old news because everyone offers the same thing and we think that "everyone" knows it.]]></description>
			<content:encoded><![CDATA[<p>When I first saw this Acura commercial it got me thinking about what constitutes &#8220;old news&#8221; versus something relevant and important:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/LodrJK_1Myw" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/LodrJK_1Myw"></embed></object></p>
<p>This Acura commercial is about crumple zones and their ability to absorb energy in a crash while directing it around the passengers ensconced in a safety cage.  It&#8217;s a nicely executed commercial that provides people with information that gives them confidence that Acuras are safe.</p>
<p>But it isn&#8217;t new and it certainly isn&#8217;t exclusive to Acura.  Many of us would say that crumple zones are &#8220;old news.&#8221;</p>
<p>In 1952, Mercedes-Benz received a patent for a crumple zone in an automobile.  Up until that point rigidity was regarded as the key to protecting passengers in an automobile accident.  The 1959 Mercedes-Benz W111 series included crumple zones and was actively crash tested by the company.</p>
<p>I can still vividly remember the first time I actually saw a crash test.  It was at the Mercedes Benz Safety Center in the Sindelfingen plant outside Stuttgart.  I was amazed at the devastation created by a thirty mile an hour off-set crash.  Right then and there I learned the value of a crumple zone.</p>
<p>Today, every automobile manufacturer uses crumple zones to make their cars safer.</p>
<p>Yet here is Acura, using their version of a crumple zone to differentiate themselves from their competitors.</p>
<p>If every car has crumple zones, then what&#8217;s differentiating about Acura&#8217;s?<span id="more-750"></span></p>
<p>Not much.</p>
<p>What <em>is</em> different is the context in which Acura judged the importance of the technology and its use in communications.</p>
<p>Rather than simply saying to themselves that everybody has crumple zones and therefore crumple zones are old news, Acura recognized that:</p>
<ol>
<li><span style="text-decoration: underline;">Crumple zones were no longer a staple of automotive communications.</span> There was a period of time when you could read an ad from virtually any luxury segment manufacturer and inevitably read about the safety benefits of crumple zones.</li>
<li><span style="text-decoration: underline;">One of the by-products of the recession is that consumers are interested in having factual information</span> that helps them make informed judgements about the products that they buy.</li>
<li><span style="text-decoration: underline;">There&#8217;s a new generation of car buyers</span> who didn&#8217;t grow up during the years when car advertising was full of information designed to help you understand the benefits of automotive engineering.</li>
</ol>
<p>Acura seems to have said to itself: nobody is talking about crumple zones, people want facts and information to rationalize their decision and there&#8217;s a whole bunch of new prospects that don&#8217;t know much about automotive engineering&#8230;good time to use crumple zones to build our safety engineering creds!</p>
<p>Sometimes I think we fall into the trap of thinking that many of our product based benefits are old news because everyone offers the same thing and we think that &#8220;everyone&#8221; knows it.  Contrary to conventional wisdom, exclusivity is not essential to strong communications and just because it has been done before doesn&#8217;t mean there isn&#8217;t relevant and powerful way to do it today.</p>
<p>Please comment, I&#8217;d be interested in your thoughts.</p>]]></content:encoded>
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		<title>Everything “Old” Is “New” Again by Curvin O&#8217;Rielly</title>
		<link>http://autoperspectives.com/blog/2010/04/14/everything-old-is-new-again-by-curvin-oreilly/</link>
		<comments>http://autoperspectives.com/blog/2010/04/14/everything-old-is-new-again-by-curvin-oreilly/#comments</comments>
		<pubDate>Wed, 14 Apr 2010 21:04:07 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
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		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=730</guid>
		<description><![CDATA[Guest blogger and one of the ad industry's most respected creatives,  Curvin O'Rielly, offers a timely and timeless perspective on automotive advertising.]]></description>
			<content:encoded><![CDATA[<p><em>Curvin O&#8217;Rielly has been kind enough to allow us to publish this article on McNaughton Automotive Perspectives.  For those of you who don&#8217;t know Curvin, he is one of the most respected copywriters in the advertising business.  Among his automotive  accomplishments was the creation of the Saturn brand with his colleagues at Hal Riney and Partners.  As you will see, Curvin&#8217;s perspective on automobile advertising is both timely and timeless. </em></p>
<p><em><strong>Everything “Old” Is “New” Again</strong></em></p>
<p><strong>By Curvin O’Rielly</strong></p>
<p>In 1982, when I was a young creative director at BBDO in New York, I was asked to write an article about the automobile business for Magazine Age.</p>
<p>The article was well received. I even won an American Business Press award for it. The question is, has it stood the test of time?</p>
<p>Well, some of the details I included in the article are as dated as the wide ties we used to wear (the ones you’re saving, hoping they come back into style again), or the disco music we used to listen to (admit it; you boogeyed to disco), or the haul-ass iron we used to drive, the cars with more horsepower than their suspension systems and brakes could reasonably handle (unless they were well-engineered vehicles from Europe).</p>
<p>What’s still true about my article, unfortunately, is that the automobile industry is once again in deep trouble. This time, it’s poised at the abyss, owing in part to the economic tremors that came close to causing a complete meltdown. At the abyss, too, because it was smart (or so it prided itself) but then not smart enough. I mean, surely those at the wheel had to have seen all the danger signs on the road they were heading down, just as they had to have known they were racing toward a disaster of epic proportions.</p>
<p>That said, here are the observations I made 28 years ago, with some minor rewrites here and there.</p>
<p>•••<span id="more-730"></span></p>
<p><strong>“Panic-Induced Mediocrity”</strong></p>
<p><strong><span style="font-weight: normal;">When I took on the task of writing this article, it seemed easy enough. After all, I’ve written hundreds of ads. Many of them long, fact-filled, carefully reasoned pieces of copy about cars. Labors of love, really. And who could doubt my personal involvement in the product? I’ve owned 18 cars in my life, including one just for racing.</span></strong></p>
<p>The more I mulled over the possibilities, however, the more it seemed as if I’d only be giving the same critique of automobile advertising that everybody else does.</p>
<p>But then, on January 26, 1982, the day this article was written, I looked at my two morning newspapers. On page 4 of The New York Times business section was a news report headlined, ‘Auto Sales by Big 3 Down 14%.’ And next to a similar report on page 6 in The Wall Street Journal was a story headlined ‘Board of DeLorean to Discuss Finances; Auto Maker Denies Its Survival Is at Stake.’</p>
<p>One word jumped out at me: ’survival.’ Not so much for its use in the DeLorean Motor Cars situation or how it may relate to the rest of the auto business, but how it impacts automobile advertising.</p>
<p>Given the fact that the auto business is in the midst of its worst continuous sales slump in years, the threat of it not surviving is imaginable to some, though its demise is unlikely to ever occur. Nonetheless, the mere threat alone has caused some people to panic. Not hysterically so, but certainly with a degree of nervousness. And inarguably that nervousness has resulted in a certain amount of mediocrity in auto advertising.</p>
<p>To be completely fair, mediocre advertising is probably the least crucial factor of all the parts that make up the current auto sales problem, but mediocre advertising is also the only factor that is quickly and easily controlled.</p>
<p>What’s wrong, specifically?</p>
<ul>
<li>Marshmallow’ strategies that may have been appropriate when the market was booming but seem highly inappropriate now that the universe of car buyers is shrinking. More strategies need to be written with a ‘take no prisoners’ goal.</li>
<li>Executions that look as if it’s business as usual; that don’t address the consumer’s current concerns.</li>
<li>The visible hand of too many authors. Copy, in other words, that reads as though a committee of hacks wrote it. (And completely mangled it in the process.)</li>
<li>A lack of adherence to the basics of advertising.</li>
</ul>
<p>Let’s dwell on that last point. Advertising, the basics say, is no more than salesmanship in print. The job of art and copy is to tell consumers what a product is and why they need it or should want it above all other choices.</p>
<p>Facts should matter, but emotions should matter more, inasmuch as Mark Twain’s advice about facts and emotions was perfect: ‘Emotions are among the toughest things to manufacture out of whole cloth; it is easier to manufacture seven facts than one emotion.’</p>
<p>At the moment in automobile print advertising, however, the emotional part – creativity – has increasingly become the skill of ornamentation and copywriting the craft of obfuscation. The auto industry has a story to tell but the message isn’t coming through.</p>
<p>Go to any magazine and study the car ads. A good percentage of them are written as through a random recitation of available features constitutes a powerful sales argument. How many times, for example, have you read ‘rack-and-pinion steering’ in a car ad? Or seen the phrase ‘MacPherson struts’? Hundreds, probably. But can you explain the advantage of either of those engineering features? You can’t, can you? Neither can the millions of potential car buyers reading car ads.</p>
<p>And those aren’t the only empty phrases in auto copy. Here’s an assortment of other phrases lacking in horsepower, all chosen without bias from the current crop of auto ads: ‘automotive breakthrough of the decade’; ‘first-class opulence’; ‘quick-handling… road-hugging… responsive’; ‘nimble… easy to maneuver…  with a smooth, refined ride’; ‘escape to where you long to be’; ‘tomorrow’s technology…’; and so on.</p>
<p>Copy like this – copy written with blah blah, meaningless phrases – leads to erroneous conclusions by the reader, if they lead to a conclusion at all.</p>
<p>Graphic gymnastics has taken the place of substantive thought in art direction. Is ‘punk/nouveau’ anymore than a graphic gimmick? Of course it isn’t. So why such dependence on it? Why so many ads with silver as a fifth color? Why so many charts and illustrations against graph-paper backgrounds? Why are so many of the photos of car in ads presented in the same cliché-ridden poses? Is there really only one way to photograph a car? Only one angle to use? If an element of design isn’t contributing to the message, eliminate it.</p>
<p>These are tough times in the car business and, therefore, tough times in the automobile advertising business as well. There’s only one way to proceed: sanely.</p>
<p>In other words, don’t panic in the face of the enormity of the task.</p>
<p>Recognize that selling the heritage and value of, say, Chevrolet is infinitely more rewarding long-term than selling a model name like Bel Air, Impala, Biscayne – all names, by the way, that have disappeared. [Update: Chevy brought the Impala back.]</p>
<p>Recognize that there is a long-term. Invest in ideas. Good ideas survive bad executions, but the worst idea cannot be saved by the most brilliant execution.</p>
<p>Finally, recognize that ‘the way it’s always been done’ may have sold cars only because almost anything sold cars when everybody was employed, when interest rates were manageable, when ’sticker shock’ didn’t exist, when it didn’t cost so much to just live, and when the future didn’t seem so cloudy.</p>
<p>Further panic will only yield further mediocrity. And then the cycle will only escalate. Unless… well, unless something wonderful happens. Unless the people responsible for doing auto ads and the people responsible for approving auto ads begin to stand up, one by one, and say ‘enough.’</p>
<p>I, for one, am waiting for it to happen. It has to happen. Given my admittedly narrow perspective of the American economy, they have to do it or we’ll all be up the creek.”</p>
<p>•••</p>
<p>So that’s what I wrote 28 year ago. It was an innocent world then. Print, radio, television; those were our tools, along with our ability to find a valuable piece of territory for a brand to settle and eventually own.</p>
<p>Everybody in adverting has a favorite story about Bill Bernbach, the legendary founder of the creative revolution. Mine is the one, possibly an apocryphal tale, about the day Nathan Orbach, founder of the eponymous department store, told Bernbach that he had a great idea.</p>
<p>“I got a great gimmick,” Orbach supposedly said. “Let’s tell the truth.”</p>
<p>Maybe we need that now. Truth instead of hype.</p>
<p><em><a rel="attachment wp-att-747" href="http://autoperspectives.com/blog/2010/04/14/everything-old-is-new-again-by-curvin-oreilly/curvinorielly/"><img class="alignleft size-thumbnail wp-image-747" title="curvinorielly" src="http://autoperspectives.com/blog/wp-content/uploads/2010/04/curvinorielly-136x150.jpg" alt="" width="136" height="150" /></a>Curvin O’Rielly is a branding consultant who lives in Saratoga Springs, NY. His automobile advertising credits include working as a copywriter on the BMW and Saab accounts, as well as serving as creative director on the Saturn business during its successful launch. He can be reached at <a href="mailto:curvin.orielly@corllc.com.">curvin.orielly@corllc.com.</a> </em></p>]]></content:encoded>
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		<title>Is Mini moving out of its niche?  How to avoid the automotive equivalent of a comb-over.</title>
		<link>http://autoperspectives.com/blog/2010/04/07/is-mini-moving-out-of-its-niche-how-to-avoid-the-automotive-equivalent-of-a-comb-over/</link>
		<comments>http://autoperspectives.com/blog/2010/04/07/is-mini-moving-out-of-its-niche-how-to-avoid-the-automotive-equivalent-of-a-comb-over/#comments</comments>
		<pubDate>Wed, 07 Apr 2010 16:21:13 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
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		<category><![CDATA[Mini]]></category>
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		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=629</guid>
		<description><![CDATA[At what point does a marque go too far and begin to lose its essential character?  Has Mini gone too far with the Countryman?]]></description>
			<content:encoded><![CDATA[<p>An article in the April 2nd edition of the New York Times was headlined: &#8220;<a href="http://wheels.blogs.nytimes.com/2010/04/02/new-york-auto-show-despite-expansion-mini-says-its-still-a-niche/" target="_blank">Despite Expansion, Mini Says It&#8217;s Still a Niche&#8221;</a> and confirmed something that had occurred to me at the New York Auto Show.</p>
<p>In New York last week I saw the new Mini crossover, the Countryman, for the first time in person.  All the Mini design cues are present in the Countryman and I think you&#8217;d be hard pressed to say that it wasn&#8217;t part of the Mini family.  But I was struck by how &#8220;big&#8221; it seemed, it didn&#8217;t seem small and taut the way all the other models do.  Part of the difference was that the Countryman&#8217;s ground clearance is higher, so its stance is really quite different than the other Minis.</p>
<p><a rel="attachment wp-att-697" href="http://autoperspectives.com/blog/2010/04/07/is-mini-moving-out-of-its-niche-how-to-avoid-the-automotive-equivalent-of-a-comb-over/mini-mini-countryman/"><img class="aligncenter size-medium wp-image-697" title="mini &amp; mini countryman" src="http://autoperspectives.com/blog/wp-content/uploads/2010/04/mini-mini-countryman-300x90.png" alt="" width="300" height="90" /></a></p>
<p>This got me thinking, at what point does a marque go too far and begin to lose its essential character?  Has Mini gone too far with the Countryman?</p>
<p>I suspect this is a little like losing your hair.  Little by little your hair recedes, almost imperceptibly, you make little adjustments as you go, thinking no one will notice, until one day you end up with comb-over and people are snickering behind your back. Little by little automotive brands seem to lose their way.<span id="more-629"></span></p>
<p>I suppose this is the ultimate judgment call in the automotive branding business.  All manufacturers feel the relentless pressure to grow their business and increase volume.  One way to do that is to create products that enable you to enter new segments.  Sometimes companies get this right and other times not.</p>
<p>Porsche, the archetypal sports car company, introduces the Cayenne to howls of protest from the &#8220;purists,&#8221; sells a ton of them and for a number of years could claim to be the most profitable manufacturer in the world.  Clearly a good business decision and it seems not to have diminished the brand.  One of the reasons that I think the Cayenne did not hurt the Porsche brand is because at the time it was introduced, no one was making a high performance SUV.  With the Cayenne, Porsche filled an unmet need&#8230;some folks wanted an SUV that offered real performance creds and Porsche led the industry from its traditional strength.</p>
<p><a rel="attachment wp-att-699" href="http://autoperspectives.com/blog/2010/04/07/is-mini-moving-out-of-its-niche-how-to-avoid-the-automotive-equivalent-of-a-comb-over/911-cayenne-panamera-2/"><img class="aligncenter size-large wp-image-699" title="911 Cayenne Panamera" src="http://autoperspectives.com/blog/wp-content/uploads/2010/04/911-Cayenne-Panamera1-1024x219.png" alt="" width="450" height="96" /></a></p>
<p>I think the Panamera will be a different story.  I don&#8217;t think the world is waiting for a Porsche 4-door sedan.  There are already terrific high performance sedans,  Audi RS6 &amp; S8, Mercedes-Benz AMG models, BMW&#8217;s M5 &amp; Alpina B7.  Porsche is following a well-worn path with the Panamera and it will be just another performance sedan.</p>
<p>VW and its much-maligned Routan is a good example of a product that stretched a brand the wrong way.  VW wanted to add a people mover to its line-up.  The wonderful VW Microbus Concept proved too expensive to produce so VW struck a deal with Chrysler and the Routan is the result.  A perfectly serviceable vehicle I&#8217;m sure, but very little VW character:</p>
<p><a rel="attachment wp-att-685" href="http://autoperspectives.com/blog/2010/04/07/is-mini-moving-out-of-its-niche-how-to-avoid-the-automotive-equivalent-of-a-comb-over/vwroutan-micro-bus/"><img class="aligncenter size-medium wp-image-685" title="VWRoutan &amp; Micro bus" src="http://autoperspectives.com/blog/wp-content/uploads/2010/04/VWRoutan-Micro-bus-300x106.png" alt="" width="300" height="106" /></a>Had VW been able to produce the Microbus it would have been more distinctive and reflective of the Volkswagen brand.  Instead the Routan competes with every other plain vanilla Japanese entrant and is struggling.</p>
<p>BMW, inarguably the best-defined brand in the automobile business has just announced that it will develop a front wheel drive platform and market front wheel drive cars.  Again, howls of protest from the enthusiast circles that rightly point out that the Ultimate Driving Machine has been based on several principles not the least of which was rear wheel driven handling and perfect 50/50 weight distribution front to back.  But there are good reasons to have a FWD in your product portfolio, particularly when you need to develop smaller more fuel-efficient models to meet CAFE standards.</p>
<p>Here&#8217;s the tough thing about having a well-developed brand, you can&#8217;t be all things to all people.  Some things fit and others don&#8217;t. When you do things that conflict with your brand&#8217;s core values or principles it diminishes your brand.</p>
<p>Is the Mini Countryman going to weaken the Mini brand?  Probably not, but what about the next variant?</p>
<p>Porsche Cayenne OK?  What about Panamera?  Feels like the Porsche brand doesn&#8217;t have that much elasticity.</p>
<p>Volkswagen Routan?  VW&#8217;s stated company goal is to become more &#8220;mainstream&#8221;  and increase US volumes dramatically. I guess Routan is mainstream, but I&#8217;m not sure that &#8220;mainstream&#8221; and strong brand go together.  It will be fascinating to see the new sedan built in the Chattanooga factory, will it still have essential VW character or will it be &#8220;mainstream?&#8221;</p>
<p>BMW and front wheel drive?  Maybe most people won&#8217;t know or care that the car is front wheel drive, but the legions of people who bought into BMW&#8217;s rear wheel drive rationale will be wondering what it means for the Ultimate Driving Machine.</p>
<p>It seems like growth is the enemy of automotive brands.  Little by little, the never-ending pursuit of volume forces companies into segments and compromises that make their brands less distinct, less clear.  Without question you can sell a few more cars, but is it worth it?  Would you be better off creating a new brand?  It&#8217;s a good question to ask as you consider each new segment and new product. If you take the question seriously and really consider the strength of the brand an important consideration then you can avoid becoming a comb-over brand.  A brand that has rationale for what&#8217;s doing&#8230;but it isn&#8217;t fooling anybody.</p>
<p>Please comment, I&#8217;d be interested in your thoughts.</p>]]></content:encoded>
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		<title>Hyundai&#8217;s Assurance Program does not a brand make&#8230;now what?</title>
		<link>http://autoperspectives.com/blog/2010/03/24/hyundais-assurance-program-does-not-a-brand-make-now-what/</link>
		<comments>http://autoperspectives.com/blog/2010/03/24/hyundais-assurance-program-does-not-a-brand-make-now-what/#comments</comments>
		<pubDate>Wed, 24 Mar 2010 17:56:57 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Communications]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[Hyundai]]></category>
		<category><![CDATA[Kia]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[subaru]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=566</guid>
		<description><![CDATA[Hyundai has a major challenge in front of it.  How do you take what was basically a tactic (the Hyundai Assurance Program) and turn it into a long-term brand equity]]></description>
			<content:encoded><![CDATA[<p>The big news in automotive marketing this week was that Joel Ewanick is leaving Hyundai and going to head up marketing at Nissan. Hyundai won 2009 marketer of the year under Ewanick&#8217;s leadership and the company implemented the breakthrough Hyundai Assurance Program.</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/8Ri0k8LIL78" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/8Ri0k8LIL78"></embed></object></p>
<p>The Hyundai Assurance Program was a stroke of brilliance at a time when the economy and the auto industry were in a tailspin.  It basically gave consumers a no risk way to purchase a vehicle.  If you bought a Hyundai and subsequently lost your job, you could return the car, no questions asked.  Truly brilliant and it propelled Hyundai through the recession and out the other end.  Hyundai&#8217;s 2009 sales grew 8% and its share of market was up 1.1 points.  This performance earned it elite status as one of only three automobile brands (Kia &amp; Subaru were the others) to increase volume in 2009, while the industry overall declined 21%*.</p>
<p>The Hyundai Assurance Program was an unqualified success in a tough marketing climate.  But now what?<span id="more-566"></span></p>
<p>Hyundai has a big challenge in front of it.  How do you take what was basically a tactic and turn it into a long-term brand equity.  The Hyundai Assurance Program gave consumers exactly what they needed when they felt threatened and vulnerable. As the the economy recovers and confidence returns, the Hyundai Assurance Program will lose some of its allure.  If you&#8217;re not worried about being fired, then you really don&#8217;t need the program.  Recognizing this, Hyundai extended the Assurance Program basically saying that we&#8217;re not out of the woods yet:</p>
<p><object classid="clsid:d27cdb6e-ae6d-11cf-96b8-444553540000" width="300" height="247" codebase="http://download.macromedia.com/pub/shockwave/cabs/flash/swflash.cab#version=6,0,40,0"><param name="src" value="http://www.youtube.com/v/5mZVV9ESVng" /><embed type="application/x-shockwave-flash" width="300" height="247" src="http://www.youtube.com/v/5mZVV9ESVng"></embed></object></p>
<p>Pretty good job of recognizing that this &#8220;tactic&#8221; needs to be adjusted, but it&#8217;s still a just a tactic, a promotion.</p>
<p>Hyundai has done a great job designing, engineering and building quality products.  They also have priced them very competitively in the market place. Hyundai has been building a nice business based on terrific quality products at fair prices. Quality products and pricing are the foundation stones of a powerful automotive brand, but the folks at Hyundai are not quite there yet.  I think that what they do with the goodwill generated by the Hyundai Assurance Program will determine if they build Hyundai into a brand that occupies a special place in consumers&#8217; minds.</p>
<p>This latest commercial hints at where the brand <em>could</em> go.  Imagine if Hyundai could be the automobile brand that &#8220;always has your back.&#8221; Great products at fair prices and a company that&#8217;s looking out for you. There&#8217;s a powerful brand promise.</p>
<p>The hard part will be keeping that promise and making delivery against it part of the fabric of the company and its dealers rather than just a promotional offer.  If they can do it, Hyundai will become an extraordinary automotive brand that has gone beyond product quality and price to forge an emotional connection with their customers.  This emotional connection will differentiate Hyundai and give it remarkable leverage versus Toyota and Nissan.  Getting the Assurance Program done was a critical first step, but what Hyundai does next will be telling.</p>
<h6><span style="font-weight: normal;">* Sales figures sourced from Automotive News&#8217; Data Center</span></h6>]]></content:encoded>
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		<title>We should be embarrassed:  Thoughts on the documentary &#8220;Art &amp; Copy&#8221;</title>
		<link>http://autoperspectives.com/blog/2010/03/12/we-should-be-embarrassed-thoughts-on-the-documentary-art-copy/</link>
		<comments>http://autoperspectives.com/blog/2010/03/12/we-should-be-embarrassed-thoughts-on-the-documentary-art-copy/#comments</comments>
		<pubDate>Fri, 12 Mar 2010 16:29:24 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Branding]]></category>
		<category><![CDATA[Communications]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[The Agency Business]]></category>
		<category><![CDATA[advertising]]></category>
		<category><![CDATA[ad agencies]]></category>
		<category><![CDATA[Honda]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[Volkswagen]]></category>
		<category><![CDATA[Volvo]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=514</guid>
		<description><![CDATA[Who should be embarrassed?  The auto industry and their communciations agencies.]]></description>
			<content:encoded><![CDATA[<p>Who should be embarrassed?  The auto industry and their communications agencies.</p>
<p>If you haven&#8217;t had a chance to see the documentary <a href="http://artandcopyfilm.com/" target="_blank">&#8220;Art &amp; Copy,&#8221;</a> you must.  Last night I saw it for the second time and enjoyed every minute.  If you have worked in the advertising business or are responsible for advertising on the client side it is well worth seeing.</p>
<p>It&#8217;s a chance to see some of the most talented people in the agency business talk about what makes great communications.  Hal Riney, Mary Lawrence, Jim Durfee, Lee Clow, George Lois, Jeff Goodby, Rich Silverstein, Dan Wieden and others talk about what they think represents great work and what inspires it.  They talk about great ideas: Braniff&#8217;s <a href="http://www.youtube.com/watch?v=H3_aNtQFsLk" target="_blank">End of the plain plane</a>, Apple&#8217;s <a href="http://www.youtube.com/watch?v=OYecfV3ubP8" target="_blank">1984</a> and <a href="http://www.youtube.com/watch?v=4oAB83Z1ydE" target="_blank">Think Different</a>, <a href="http://www.youtube.com/watch?v=OLSsswr6z9Y" target="_blank">Got Milk</a>, <a href="http://www.youtube.com/watch?v=JH8J8ct7taM" target="_blank">Reagan&#8217;s re-election campaign</a>, Nike&#8217;s <a href="http://www.youtube.com/watch?v=AQ_XSHpIbZE" target="_blank">Just Do It</a> and VW&#8217;s <a href="http://www.youtube.com/watch?v=UUlZmZ_sd_E">Think Small</a> among others.</p>
<p>At the end, these people and the work leave you inspired.  You&#8217;re reminded that at its best, advertising can change opinion, entertain, move people emotionally and to action.  Great work respects people and treats them decently.  Great work can build brands, companies and value.  Great work is really hard to create, get approved and execute, but when it all comes together, it can move mountains.</p>
<p>Here&#8217;s why we should be embarrassed.  <span id="more-514"></span>The automotive industry was hardly represented.  Bernbach&#8217;s original work for Volkswagen was deservedly featured.  Other than that, a few Volvo print ads, a Rebel spot from the 60&#8242;s and Honda&#8217;s &#8220;Hate Something/Change Something&#8221; from the UK gets referenced.</p>
<p>As an industry we have interesting, exciting, cool, emotional and sometimes wonderful products. The industry has been the largest advertising spender for decades.  Virtually every American needs at least one vehicle.  Buying a car or truck is the second largest expenditure the average American will make in his or her lifetime so they pay attention. Automobiles and trucks inspire songs, traveling by car has inspired books and movies.  The auto industry has shaped America, literally.</p>
<p>So, with all this said, when advertising industry luminaries are asked to talk about great work that has made a difference, the only automotive work mentioned is an almost 50 year old campaign for a little German car and a couple of print ads that are 40 years old.  As an industry, we <em>should</em> be embarrassed.  Where are the great automotive campaigns that changed not only the fortunes of brands and companies but also inspired people?  There have been some, but they&#8217;re old.</p>
<p>With a few exceptions, the automotive industry&#8217;s work in the last twenty years has been dismal.  A few ads and maybe one campaign have been great. Honda&#8217;s <a href="http://www.youtube.com/watch?v=_ve4M4UsJQo" target="_blank">Cog</a> and <a href="http://www.youtube.com/watch?v=VwRCBHhyrAA" target="_blank">Hate Something/Change Something</a> commercials from Wieden &amp; Kennedy London come to mind. VW&#8217;s <a href="http://www.youtube.com/watch?v=6Lk0IhWvnC4" target="_blank">Drivers Wanted</a> campaign (Arnold) will probably stand the test of time.</p>
<p>At a time when the US auto industry is recovering from a cataclysmic shift.  After a year when sales dropped more than 30%, we are now entering a &#8220;new normal.&#8221;  Sales will be 12-14MM units per year for the foreseeable future and competition will be extraordinary.  At a time when manufacturers need differentiated brands more than ever, most are weak.</p>
<p>Now is the time for the manufacturers and their agencies to do the kind of work that builds and differentiates brands, engages people emotionally and builds value not only for the companies but also for their customers.</p>
<p>Let&#8217;s do it now, so that people are inspired to buy our products.  We’ll all benefit, the manufacturers, the agencies, the economy and the customers.</p>
<p>That way when &#8220;Art &amp; Copy II&#8221; is in theatres near us, the auto industry will not only be featured, but also held up as an example of greatness.</p>
<p>Please let me know what you think&#8230;.</p>]]></content:encoded>
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		<title>Can Cadillac succeed in Europe?</title>
		<link>http://autoperspectives.com/blog/2010/03/09/can-cadillac-succeed-in-europe/</link>
		<comments>http://autoperspectives.com/blog/2010/03/09/can-cadillac-succeed-in-europe/#comments</comments>
		<pubDate>Tue, 09 Mar 2010 22:49:31 +0000</pubDate>
		<dc:creator>Cameron</dc:creator>
				<category><![CDATA[Auto manufacturers]]></category>
		<category><![CDATA[Strategy]]></category>
		<category><![CDATA[Technology/Product]]></category>
		<category><![CDATA[Audi]]></category>
		<category><![CDATA[BMW]]></category>
		<category><![CDATA[Cadillac]]></category>
		<category><![CDATA[Diesel]]></category>
		<category><![CDATA[marketing]]></category>
		<category><![CDATA[Mercedes Benz]]></category>

		<guid isPermaLink="false">http://autoperspectives.com/blog/?p=501</guid>
		<description><![CDATA[Amid all the drama surrounding GM, every so often I see something that strikes me a smart.  In Geneva, Cadillac announced it's aspirations for Europe ]]></description>
			<content:encoded><![CDATA[<p>Amid all the drama surrounding GM, every so often I see something that strikes me a smart.  In Geneva, Cadillac announced it&#8217;s aspirations for Europe (<a href="http://online.wsj.com/article/SB10001424052748704869304575104121963328534.html?KEYWORDS=cadillac+in+europe" target="_blank">WSJ 3/8/10</a> Sub required,  <a href="http://wheels.blogs.nytimes.com/2010/03/02/cadillac-returns-to-europe-with-new-strategy/" target="_blank">NYT 3/2/10</a>).</p>
<p>After a number of high profile failures to enter the European market in a big way, the folks at Cadillac want to be a niche player and are willing to accept the lower volumes that go along with such a strategy.  By keeping volumes low, and presumably margins high, they expect that they can be profitable from year 1.</p>
<p>I think this strategy is sound and will succeed.  Cadillac&#8217;s current design language is unique and appealing.  There has always been a segment of the automotive market that is interested in something different and Europe is no different than the United States in this regard.  In Europe where Mercedes-Benzes, Audis and BMWs are common and cover a multitude of uses including taxis, rental cars, executive cars and the vehicles of choice for captains of industry, there is an opportunity for something &#8220;different.&#8221;</p>
<p><span id="more-501"></span>For example, in a part of the world where station wagons (called &#8220;Estates&#8221; and sometimes &#8220;Avants&#8221;) are enormously popular, Cadillac has a terrific entry in the CTS Sport Wagon.  Ironically, in the U.S. the CTS Sports Wagon is expected to be a niche product at best, I bet it could be the brand&#8217;s best seller in Europe.</p>
<p>Here&#8217;s the challenge for Cadillac in Europe.  Quality.  European luxury car buyers have become accustomed to a very high quality standard and expect it to be met.  If Cadillac can meet this expectation, then I think they will be a successful niche brand and could probably expect measured year over year growth.  Long-term, they will need to figure out how to offer a diesel, but initially I think they can get the ball rolling without one.</p>
<p>The industry needs more niche brands and I&#8217;ll bet Cadillac can have a very nice piece of business in Europe, as long as they keep their volume aspirations in check.  Ultimately, that may be the biggest challenge of all.</p>
<p>Please comment below, I&#8217;d love to know what you think&#8230;</p>]]></content:encoded>
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