Auto
Toyota, reputation, and the old adage, “when it rains, it pours”
What a difference a year can make, right? Toyota, a company that was once considered the cream of the crop in the automotive world, is in the middle of potentially reputation-changing dilemma. The company even claimed the world’s largest car manufacturer position in 2008, largely due to the equivalence of the Toyota brand with high quality and dependability.
Fast forward two years and the company’s brand name hold a different position. Will Toyota’s current problems with defective gas pedals on a number of Toyota and Lexus models and malfunctioning breaks on the newest Prius model forever tarnish the company’s reputation?
Comments, though later retracted, from U.S. Transportation Secretary Ray LaHood have not helped Toyota’s brand situation. The company has been under the microscope with what is known, what has been hidden and what other problems may arise. And what about upcoming lawsuits? Future manufacturing problems?
I think it is safe to say that Toyota is far from being out of the woods, but do you think the company is doing enough to save its position as a reputable, reliable auto maker? How could they better communicate and reassure their publics?
Auto trends: GM deeply discounts Saturn & Pontiac vehicles
GM announced on December 29, 2009 its intention to offer “deep discounts” on its remaining new Saturn and Pontiac vehicles. The company wants to move out the remaining inventory of the two discontinued GM brands.
According to CNN Money, GM agreed to pay dealers $7,000 for every new Saturn or Pontiac that was sold with a five-day period. The caveat was that the inventory would have to first be moved into the dealer’s rental or service fleets (pre-owned car inventory), in turn making them the first owners of the vehicle. This arrangement allowed dealerships to sell certain Saturn and Pontiac models at up to 46% off the manufacturer’s suggested retail price. This offer lasted until January 4, 2010 for dealers.
The offer created an opportunity for dealers to move inventory while giving consumers a great deal on a new car. Despite the discontinuation of the two brands, GM is committed to ensuring drivers and prospects that both Saturn and Pontiac models can be serviced at any GM dealership in the future.
Did anyone take advantage of the reduced pricing and purchase a new Saturn or Pontiac before the offer expired? I’m interested to see how it worked out.
The Chevy Revolution Continues
Chevy has continued with its “Revolution” marketing strategy, gearing up to release three new automobiles in the next two years.
In less than one year (October 2010), Chevy will take its biggest risk with the release of its Chevy Volt to the public. The release of this electric car could also be the company’s largest payoff. First seen in the direct marketing space in August 2007, Chevrolet has continued to create hype for its first electric car through direct mail and email. We expect even more activity in upcoming months.
Chevy is also planning on introducing the 2011 Cruze during the third quarter of 2010 as a rival to the Honda Civic and other fuel-efficient economy cars. The Chevy Cruze is expected to have more interior space than the Honda Civic and come with a 1.4L Turbo engine, built with performance and fuel efficiency in mind. Marketing for the Cruze was first observed by Mintel Comperemedia in October 2008.
Finally, Chevrolet has plans to enter the mini-car market in 2011 with the Chevy Spark. The 2011 Spark has yet to be marketed within the US through direct mail or email. However, I expect we’ll start seeing Spark advertising soon.
With these new innovative products, Chevy is the automaker to watch in 2010. I’m also curious to see what the competition will do. Any predictions?
Auto manufacturers rethink diesel
It’s yet another challenge for the US and international auto industries. As President Obama pushes his plan to alleviate our dependency on oil, auto manufacturers have been tasked with improving fuel efficiency and reducing pollution. Hybrids are definitely hitting the spot, but they aren’t the only solution.
Enter the diesel engine. (Vrroom, vroom.) Powerful? Check. Fuel efficient? Check. Low emissions? Check. Tough sell for the American public? Check. Many people still associate diesel with high emissions and sulfur smells, but manufacturers are determined to change that.
Using an email marketing campaign, Audi previewed its Audi Q7 TDI clean diesel to US drivers a month before it was even available on the market. Volkwagen, Ford and BMW are also using direct mail and email marketing to position their diesel vehicles as modern, high-performing and good for the environment.
If automakers can successfully reintroduce today’s drivers to diesel, they’ll not only help alleviate our dependency on crude oil, but also continue the push for clean, fuel-efficient automobiles. Do you think they’ll have success? What would it take to make diesel as trendy and appealing as hybrids?
