Automotive ad pro Jack Griffis told me about a dealer he worked with who visualized his market as “Joe and Gladys”. Every commercial they produced was crafted on the premise of how Joe and Gladys would respond. This made me think about how our 2012 market perceives the current gas price surge as compared with 2008, and there are two huge differences.
First, there is no comparison between the vehicles designated as ‘economy’ cars in 2008 and the 2012 models. When it comes to vehicle content and value available today – the Unique Selling Propositions [USP] – it is no contest: warranty protection is longer and more comprehensive, regular service and maintenance are now no charge, vehicles are available with Bluetooth and satellite and individual climate control and hands-free devices and GPS and the list goes on.
And when you read about the consumer’s still-confident mindset, now is the time to powerfully present the Tier III mantra: a reason to buy, a reason to buy today and first and foremost to buy from your store. Remember, it is the responsibility of Tier I and Tier II advertising to talk-up the USP and MPG so don’t let your message miss the mark: your hottest merchandise with an attractive price will generate traffic!
Here is a suggestion to help your sales team see beyond MPG to the USP. Pull a 2002 model off your used car lot and park it side-by-side with a 2012, then discuss the value advances in the past decade. And why compare vehicles with 10 years of difference? Because “Joe and Gladys” will most likely pull up in a 2002 model – the average age of today’s vehicle – and yes, they are ready to trade with you!
This is the third in a series on gas prices and how they affect automotive retail. View part one. View part two.
This is one in a series sharing my admiration for the genius of Leo Burnett, who after years of studying is in my estimation the most creative ad man of the past century.
“I have learned to respect ideas, wherever they come from. Often they come from clients. Account executives often have big creative ideas, regardless of what some writers think.”
This is why I admire Mr. Burnett – the creator of many of advertising’s most memorable campaigns was also a skilled listener. What a powerful admission: “I have learned to respect ideas wherever they come from.” In his famous “When to Take My Name off the Door” speech to employees in 1967, Mr. Burnett said remove my name “when you lose your humility and become big-shot wisenheimers….a little bit too big for your boots.” We do not have a Creative Suggestion Box in our office but I have learned when an employee asks if I have a minute to discuss an idea, they get my respect. And yes, as an account executive, I appreciate Mr. Burnett saying we are capable of ‘big’ creative ideas.
I’ll tell you about the next ‘big idea’ that you need to take advantage of on Monday in our March newsletter.
Leo Burnett (October 21, 1891 – June 7, 1971) was an advertising executive who created the Jolly Green Giant, the Marlboro Man, Toucan Sam, Charlie the Tuna, Morris the Cat, the Pillsbury Doughboy, the 7up “Spot”, and Tony the Tiger.
He was named by Time magazine as one of the 100 most influential people of the 20th century.
The tsunami that rocked Japan and eventually disrupted the entire retail automotive market occurred March 11th of last year, and will undoubtedly be remembered as the Big Blow of 2011. In my book, the Big Blow of 2010 is The Credit Crunch and for 2009 it could be The Bailout or is it The Subprime Mortgage Crisis that resulted from the 2008 Big Blow which was…I hope you get my point. There is not dealer I meet with who can’t produce yearly financial statements and show you some ‘car scars’.
So here we are in 2012 and judging from Internet headlines and network TV interviews with economic experts [generally from some ‘Institute’}, we have the first Big Blow of 2012: MPG VS FUGP! That’s right, miles per gallon versus fluctuating upward gas prices and yes there are other words to describe this petrol price problem. But it is what it is and the need for efficient and effective marketing is a necessity today as much as ever.
I wrote earlier about the resilience shown by today’s consumer – confidence is still high, and with the growing number of newly-created jobs it is not false hope. And just as we experienced in every FUGP moment, whether it was in 2008 or last year, the consumer will consider more economical transportation as a fallback. Now look out those big plate glass windows and take heart because you have what the buyers want; at the same time, consider if they are going to shop you or the competition. Stick to the plan, in fact, pump up the plan to promote hot merchandise. Absolutely trucks and SUV demand could diminish, but there will still be buyers who need those vehicles.
In my decade of experience, one truth is so rock-solid and I quote, “I have never seen a problem that could not be solved by increased traffic.” The baseline premise is clear, hot traffic solves cold merchandise.
This is the second in a series on gas prices and how they affect automotive retail. View part one.
Here we go again, my friends, staring down the oil barrel of rising gas prices and pondering the question of do we or don’t we advertise? I assure you my sentiments are not half-empty and anyone who even considers dropping out is misinterpreting the big picture. When the Wall Street Journal and USA Today are both in agreement that ‘consumer confidence is rising despite higher gasoline prices’, my half-full mentality kicks in to say now is the time for Tier 3 dealers to advertise like never before with the best possible deals.
This is not 2008! When gas prices shot up back then the domestics lost share because they were selling a greater percentage of trucks and SUVs; the imports were sitting pretty selling smaller vehicles. But this time around the playing pieces have definitely changed with domestics holding some very formidable MPG performers. And be assured the buying public knows that Cruze gets 33 and Ford has 3 models over 40 just as well as they know Prius delivers 40 plus miles per gallon.
Just like every factory is predicting big sales increases [some in the neighborhood of 23%], every dealer I talk to is expecting to increase, but guess what – the pie is only so big! Now is the time to step up and use your hottest product to generate traffic. By merchandising the vehicles the public wants to buy, you will see next-day traffic in the showroom and that is where you control your own destiny.
In closing, USA Today in an article published February 28th pointed out that ‘economists were caught off guard’ by the jump in the consumer confidence index. And I’ve always put that crowd in the ‘half-empty’ category. Don’t let your dealership be caught off-guard as our market grows tired of vehicles they have now driven on average for over 10 years!
This is the first in a series on gas prices and how they affect automotive retail.
This is one in a series sharing my admiration for the genius of Leo Burnett, who after years of studying is in my estimation the most creative ad man of the past century.
“Make it simple. Make it memorable. Make it inviting to look at. Make it fun to read.”
Has the creative process ever be more clearly outlined? This quote was made over 50 years ago when TV was a novelty and the internet an imaginary domain of my sci-fi hero Flash Gordon! The creative direction Mr. Burnett gives is so fundamental, yet I humbly admit to missing the point for years – less is more! Our agency now has imposed a word-count limit – a :30 TV “bombs-away” information buffet just does not resonate with today’s viewer!
And I do not want to appear assumptive, but today I believe Mr. Burnett would further comment, ‘Make it connective!’ His iconic “Jolly Green Giant” appeared on TV, in print ads, grocery aisle POP and on every label. Connective – make sure your simple, memorable, inviting message covers every base your market touches!
Leo Burnett (October 21, 1891 – June 7, 1971) was an advertising executive who created the Jolly Green Giant, the Marlboro Man, Toucan Sam, Charlie the Tuna, Morris the Cat, the Pillsbury Doughboy, the 7up “Spot”, and Tony the Tiger.
He was named by Time magazine as one of the 100 most influential people of the 20th century.
The Business Journals Digital Network recently invited John Paul to contribute to their “How-to Marketing” series. His insights on retail traffic reached a nation-wide audience via The Business Journals’ 42 websites and 62 publications.
I’m sure you all still have smiles on your faces after yesterday’s Automotive News alert that J.D. Power bumped it’s SAARs projection up to 14 million. We saw the numbers trending up months ago and have been vocal about our expectations of a very strong 2012.
Don’t expect it to just happen, though. We’re on the verge of the biggest 60 day cycle our industry has seen in years, and if you don’t have a strategic plan for success you’re going to find yourself scratching your head in July thinking “what did I miss?” Now is the time for you to connect the dots.
Our entire team at Strong is singularly focused on capitalizing on every possible success 2012 has in store for us.
And yes, the smile on my face is pretty big too.
This is one in a series sharing my admiration for the genius of Leo Burnett, who after years of studying is in my estimation the most creative ad man of the past century.
“A good ad which is not run never produces sales.”
Mr. Burnett was confident in his creative – he knew a ‘good ad’ and what it took to ‘produce sales’. I envision him discussing media budgets with a client and saying, “This is what it will take to move the market and it’s your call?”
Whatever the client’s answered, the above quote is the proper response! Under-spending with high expectations is not reality, and over-spending can diminish any modicum of success.
Today we have plentiful market research to determine an efficient budget for effective advertising – a good agency provides it, a good client demands it, and the result of a good ad…it creates traffic to produce sales!
Leo Burnett (October 21, 1891 – June 7, 1971) was an advertising executive who created the Jolly Green Giant, the Marlboro Man, Toucan Sam, Charlie the Tuna, Morris the Cat, the Pillsbury Doughboy, the 7up “Spot”, and Tony the Tiger.
He was named by Time magazine as one of the 100 most influential people of the 20th century.
This may not be everyone’s method for doing research on the internet, but I try to set aside time to just wander through an assortment of sites. The results can be eye-opening to say the least – some sites are so far ahead of others from lay-out to ease of use. And the big thing, the ‘good-better-best’ assessment is almost immediate.
If your website is bringing you the leads you want, I agree that if it’s not broke, don’t fix it. But if your clicks and viewing time and ultimate lead generation are not up to par, now is the time to get an evaluation of what, if any, changes are necessary for improved operation. As a dealer, your internet operation may not keep you from losing sleep.
But remember this: your website is the virtual dealership a potential customer can shop all night long – your ‘www’ needs to have some ‘wow’ to keep you in the mix.
Automotive ad pro Jack Griffis told me about a dealer he worked with who visualized his market as “Joe and Gladys”. Every commercial they produced was crafted on the premise of how Joe and Gladys would respond. This made me think about how our 2012 market perceives the current gas price surge as compared with 2008, and there are two huge differences.
