Top 10 accounts for nearly 75% of all new retail units
Chrysler & Jeep are only domestics in this list who did not lose share from 2004
Hyundai - 20 years of U.S. presence starting to payoff!
Hyundai Customer Satisfaction & Loyalty 1996 to 2005 Hyundai Momentum Source: R. L. Polk & Co. Manufacturer Loyalty Excelerator TM 1996 – 2004 Model Year; The University of Michigan, ACSI 1996 – 2005.
Auto Companies want to push marketing to the regions
Regional marketing agencies are growing and dealers can choose who they want
Promote ability to deliver on minority buyers
Understand the personality of the DMAs
Orlando: Top Growth Brands* *2004 to 2005 CYE New Retail Registrations - Among Brands w/ 500+ Units in 2004 Orlando Retail Growth: 9.6% Yes 28.1 Subaru … Overall Brand 19.8 28.1 17.4 1.8 13.5 Change in Retail Volume (%) Yes Mercedes-Benz … European Brand Yes Subaru … Asian Brand Yes Dodge … DCX Brand Yes Ford ...Ford Brand Yes Cadillac … GM Brand Was Growth in Orlando Stronger than U.S.? Brand Top…
San Francisco: Top Growth Brands* *2004 to 2005 CYE New Retail Registrations - Among Brands w/ 500+ Units in 2004 San Francisco Retail Growth: 0.8% No 44.5 HUMMER … Overall Brand 35.4 7.5 19.7 10.5 44.5 Change in Retail Volume (%) Yes Land Rover … European Brand No Toyota … Asian Brand Yes Chrysler … DCX Brand Yes Mercury ...Ford Brand No HUMMER … GM Brand Was Growth in San Francisco Stronger than U.S.? Brand Top…
Ask if / how programming can support loyalty strategies
Note where integrated programming ties to repeat buying behavior
Take a stab at estimates on gains from growing loyalty
*Base: Vehicle Owning Households with a Retained Vehicle Acquired New Under 10 Years Old (10/03 – 9/04). R. L. Polk & Co. 2004 Model Year Manufacturer Loyalty Excelerator TM Assumed average MSRP of 2005 MYr. vehicles: $30,798 (Domestic), $43,303 (European), $27,079 (Asian). Average MSRPs provided by Edmunds.com 52.2% 30.5% 57.4% Overall Make Loyalty $7.7B $1.6B $19.6B Revenue from Loyal Owners ($) $7.1B 547,110 Toyota $3.6B 120,277 Volkswagen $14.6B 1,109,796 Ford Lost Revenue from Defectors ($) Number of Returning Owners* Make
Must Do #3: Anticipate Auto Companies’ Marketing Strategy
GM: “Incentive Insomnia”; Defend truck markets still
Ford: “Red, White and Bold” Be profitable in N. Am.
DCX: Product and Styling Rule; Watch Jeep efforts
Toyota: Hyundai is the new Honda to them
Price may force their positioning on some entry models
Nissan: Expect growing dependence on interactive and highly specialized, niche marketing
Hyundai: Make friends with these franchises
All: Compact car segment will draw from youth and mature buyers find growing demand
Your Fit? Macro Issues: Profits * Demand * Global * Technology OEMs Buyers (Consumers) Dealers Media Relevancy in Purchase Cycle & Ownership Experience Accountability