Inventories of unsold cars and light trucks have swollen to their highest levels since the recession while sales growth in the U.S. market has slowed significantly in the past five months. That combination could mean larger discounts and incentives and lower profit margins in 2014. According to Automotive News, all three domestic automakers started February with more than a 100-day supply of unsold vehicles. Industry-wide automakers had 88 days’ worth of vehicles at the start of February, the highest February inventories have been since 2009, when the industry was at its nadir.
A woman and her horse: the pairing that GM hopes will persuade female consumers to consider the Chevrolet line of trucks. At a time when truck ads are pushing masculinity to absurd heights, it’s a bold move. Even so, it’s a fundamentally conservative approach to a difficult marketing problem.
Porsche of Beachwood, a Penske Automotive Group store outside of Cleveland, has come up with a new way of marketing the dealership and brand. The dealer makes its facilities available for free to groups and families putting on catered events. So far they have hosted about 25 affairs: bar mitzvah parties, runway fashion shows, fundraisers, dinners and after-parties. “We have not done a wedding reception yet, but I imagine it’s just a matter of time,” says Jason Grimm, the dealership’s general manager. (Read More…)
Last week we ran a post of mine about the Jam Handy Organization, a motion picture studio located in the Detroit area that created many of General Motors’ promotional films for decades. A couple of the readers liked my idea of posting some more of those vintage films as a recurring feature here on TTAC. Jam Handy, though, wasn’t the only person who recognized the potential of using motion pictures to promote the sale of automobiles.
Following on the heels of General Motors CEO Dan Akerson’s recent resignation, Chevrolet’s chief marketing officer for the United States Chris Perry has called it a day effective immediately.
An imposing, expensive log home dominates a clearing, reclaimed from the rugged pine-infested wilderness that surrounds it. Smoke rises from the chimney, overlaying the picturesque mountain peak in the background. In front of the home, a man leans over the open engine bay of his obviously new truck. The chrome gleams, despite the trail mud artistically bespattered on the sides. As the camera zooms in, he looks up from the engine bay and smiles. His tousled hair, unshaven stubble, and harmonious blend of over-25-under-40 facial features comport well alongside his worn cowboy boots, perfectly soiled jeans and carefully rumpled flannel shirt. He wipes his hands with a rag, looks back at the house for just a moment, and then turns to the camera.
In a rather terse and self-consciously matter-of-fact column released earlier today, Jalopnik’s Matt Hardigree drew a line in the sand: the website will not honor any product embargoes not related to new-car drive events and opportunities. He’s careful to point out that it’s business advantages, not ethical considerations, underlying the change in policy.
Buried in an article about the East-West schism between wagons and BMW’s ungainly Gran Turismo series of pseudo-crossovers was a bit of news destined to horrify the BMW diehards that represent a slim but vocal minority of its customer base. Despite indications that it would not be appearing on our shores, BMW will in fact be launching a front-drive car in North America, as per Automotive News Europe
Next year, BMW will add a minivan-styled compact model targeted at young families, sports enthusiasts who need space for their equipment and older buyers who like cars that are easy to get in and out of and have a high seating position. The minivan will be based on the Active Tourer concept and is set to debut in production guise at the Geneva auto show in March. Most likely it will be called the 2-series Active Tourer. It will be underpinned by BMW’s new UKL front-wheel-drive architecture that debuted this week on the third-generation Mini.
I’ve always had a soft spot for Volvo, that’s probably why I’ve owned two and chose European Delivery on one of them. But Volvo has a problem. It’s not the product. It’s not even the brand positioning. It’s a lack of advertising and visibility. Let’s dive deep into my mind as I pontificate about Volvo’s destiny.
A herd of automotive journalists get led off into a dark room filled with oversized furniture and cheap snacks.
It is where the ritual slaughter of truth takes place. A screen bigger than Wilt Chamberlain’s …. flashes in front of them as discordant music pulses and the beautiful people beam out their irrational exuberance of owning the upcoming 2014 model.
The actors and actresses on the screen are all young, sexy, virile, obscenely joyful, and about as genuine as a thirty-three dollar bill. Which is A-OK for me. Because after the fifteen minutes of corporate infomercials filled with empty code words such as “Value”, “Best In Class”, and “Award Winning”, the head honcho of the press junket let’s me, and everyone else, off the hook with the biggest lie in the car business.
“We believe our core audience will be young people in their 20’s and 30’s.”