Omni Automotive Advertising Blog

After 70 years, GM has lost its global auto sales crown to Toyota in 2008. This comes after GM won the battle for sales in the U.S. over Toyota. But they did not win the war. The official worldwide sales: Toyota, 8.97 million units and GM, 8.36 million units.

Peter DeLorenzo, founder of the blog AutoExtremist, had to this to say:

It was inevitable, as Toyota has been on a relentless surge since 2000. But is it news? Not so much, as GM has mentally been the No. 2 car company in the world for quite some time now.

In the midst of the economic tumble and massive job layoffs, Hyundai is now offering assurance to their customers. In the above ad and the ad after the jump, Hyundai declares that if you lose your income, within a year after buying a new Hyundai, you can simply return the car. According to the Hyundai website, the program covers up to $7,500 in negative equity and lets the buyer off the hook for further payments without any negative impact to his/her credit.

In these uncertain times, there are two huge factors that worry consumers when buying a new vehicle:

1. Financial security. Why would I want to make a huge investment if I might lose my job in the next 6 months?

2. The security of the manufacturers. If these Auto Companies need a bailout to survive, how long will they still be able offer such amenities as long warranties and leases if they start running out of money again?

Hyundai addresses both concerns in both the ads.

I would not be surprised to see some major dealer groups offer this same kind of program. A car’s depreciation once it drives off the lot is an bloated lie. If a customer puts a minimum down and makes at least two payments, the negative equity should be minimal. But the confidence you give the consumer would be unmeasurable.

See the 2nd ad after the jump.

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“Bah-humbug,” said the copywriter to another cold non holiday ad.

What day is it? Tis the day Nissan delivers.

This is a post of all the automotive marketing news of the past week.

• Suzuki is doing whatever it takes to get you into a new car (other than of course, making a car I actually want to get into). See their new spots here and here.
• What’s the buzz around Mini. Fly funerals. Yeah, it’s as weird as it sounds.
• Speaking of Mini, here’s a horror spot that revolves around shopping carts. Not as weird as the above link, but equally as cool.
• More Mini. Here’s a Mini rocket.
• Childbirth is on the rise because couples want to get into the new Volkswagen Routan.
• Here’s a cool Volkswagen ad with a dog.
• Grip is important. At least Audi thinks so.
• Woman love shoes. That’s the basis behind this Chevy Traverse ad.
• The Lincoln MKS has liftoff. Yet another indie band shilling for a car.
• Ford sees a flat 2009 in Auto Sales in the United States. Investor says Ford best placed among the Big 3 to come out on top.
• And last but not least… Toyota’s ads sure have come a long way from the 1980’s.

That’s it for this week’s free for all. If you have any tips or ads you think would be a great addition to the free for all, please email at alopez@omni-advertising.com.

Paul Williams over at Marketing Profs Daily fix just wrote a fantastic article detailing how Discounting Prices erodes your brand. Definitely worth the read.

But if you don’t have time to read the article, here’s a quick summary.

Basically, Williams argues that offering deep discounts and huge markdowns changes the customer perception of the value of your product. If you slash the price on new car from $17,000 to $14,000, the customer views the vehicle as $14,000 car. Even after the price goes back up, the customer will still view the car as a $14,000 car, not a $17,000 car.

Williams say the best way to woo customers without endangering your brand is to offer more value with your product, like lifetime tires, oil changes, etc. This will attract customers without hurting your brand.