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Jan 5
Ford and GM Lose Market Share

December sales numbers are in, and both Ford and GM lost market share (compared to December 04) primarily to Japanese manufacturer Toyota. Honda, Nissan and Hyundai made modest gains for the month. Auto sales have softened overall since August, when all three US auto manufacturers jumped on the employee pricing promotion bandwagon. That bandwagon raised sales, incidentally, but clobbered profits. According to the Wall Street Journal, GM’s “top North American sales and marketing executive, Mark LaNeve, said he now regrets launching the employee-discount program that drove GM sales to record levels last summer, and doesn't plan to repeat such promotions this year.” auto.jpg

Marketing Blurb cannot pretend to understand all the complexities of the auto industry, but I can say this. Women purchase more cars than men--about 65% of total units by most estimates. This statistic is not just influencing the purchase of cars, mind you; this is writing the check and titling the vehicles. Now then, what percentage of auto advertising is directed at women? This is not a trick question, and to be honest, I don’t know the answer. But I do have a suggestion for the industry. Fire your advertising agencies. Find out what women want. Do that, come back, and let’s compare results next December.

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