SlideShare a Scribd company logo
1 of 6
Download to read offline
Luxury Car Brands Not Tapping Full Potential of Social Media

Study by MH Group Communications and Forum Strategies & Communications examines
social media presence of global luxury automobile companies; finds German automakers
dominate while Japanese and American brands are largely absent

NEW YORK, NY; October 12, 2009 —Luxury car makers are not maximizing the full
potential of social media in their communications efforts, according to a new study
announced today by independent New York-based consultancies MH Group
Communications and Forum Strategies & Communications. The study, “Luxury Auto
Brands and their Presence in Social Media,” is a comprehensive analysis of luxury auto
brands and their presence within social networks.

Using the MH Group Communications Community Index and Conversation Index
measurement methodologies to determine the size and activity level of communities
around specific auto brands across Facebook, Twitter, YouTube, and Flickr, the study
found that German automakers dominate the luxury auto business category, while
Japanese and American brands are largely absent and unimpressive within social media.

In the study’s overall rating, the nine luxury auto brands considered ranked as follows in
terms of their engagement in social networks:

   1.   BMW
   2.   Porsche
   3.   Audi
   4.   Mercedes
   5.   Cadillac
   6.   Lexus
   7.   Acura
   8.   Infiniti
   9.   Lincoln

Porsche had the highest community rating in the Community Index with a score of 5,448,
followed by BMW at 3,681 and Audi at 3,612. In the Conversation Index measurement,
BMW held a sizeable lead over competitors with a conversation rating of 6,164 for the
period studied. (For further details, please see the attached charts.)

However, the study also concluded that the industry has yet to tap the full potential of
social media by utilizing an integrated and holistic approach, and are focusing their efforts
on YouTube and Facebook rather than the full spectrum of social media platforms where
benefits could be gained.
Additionally, the study found that the task of breaking through in social media for luxury
car brands is complicated by the fact that all the brands face an extraordinary amount of
online clutter as they try to attract a focused social media community. Unofficial
Facebook pages, Twitter feeds, YouTube channels and Flickr communities created and
managed by fans, vehicle dealers and individuals who incorporate a vehicle name in their
online identities siphon attention and offer conflicting brand messages.

“Communications flow as easily between different social media platforms as within any
specific platform,” said Mark Hass, CEO of MH Group Communications. “In this
environment, a successful campaign within one social media platform is not sufficient to
advance and protect the brand online. Luxury auto companies need to harness the
synergies of using multiple social media platforms in an integrated campaign to obtain the
full benefits of the technology.”

Other Key Findings:
The study revealed that social media conversations around luxury auto brands focused on
four key topics, each of which offer specific challenges/opportunities:

   •   Admiration: The luxury auto sector enjoys a privileged admiration consumers
       express for most luxury brands. Being part of an “exclusive” club, these owners
       and fans err on the side of adoration when discussing their vehicles. Challenge:
       Where is the tipping point, when the club no longer feels so exclusive because of the
       social media involvement of everyday consumers?

   •   Sales and Deals: The auto industry’s huge investments into e-commerce and the
       dealer-based, decentralized sales network make deal talk the dominant topic of
       social media conversation. Challenge: Brand management in this environment is a
       challenge, given that the community drives the conversation, rather than the
       brand, in contrast to pre-social media days, when sales messaging was focused
       around brand web sites.

   •   Questions about Features, Service, Availability: Social media are a powerful
       tool for brands to monitor questions about their vehicles and address them directly
       and immediately. Opportunity: This should be viewed as an opportunity to extend
       a brand’s customer service commitment, rather than just treat social media as a
       marketing tool.

   •   News and Vehicle Announcements: There is a virtuous cycle of amplification
       among these brands, auto bloggers and social media networks, in which news is
       shared by the brands with influential bloggers, reposted or tweeted within social
networks by readers of those blogs, and further echoed within smaller SM groups.
       Opportunity: Links to blog posts, rather than traditional media, are shared most
       often by consumers.


Goodwill persists for luxury auto brands in the social media conversation:
While most other business sectors have brands that have been damaged by negative social
media commentary, most luxury goods brands, including autos, enjoy mostly positive
social media relationships. In fact, 90% of the commentary and content created about
these brands is positive, since luxury brand consumers perceive that they receive a high-
level of service and value by being associated with the brand.

“Given the positive online dialogue regarding luxury auto brands, the use of social media
can no longer be regarded as an afterthought, but must be viewed as a foundational
element that is part of any holistic communications strategy” said Jeffrey Sindone,
President of Forum Media, Forum Strategies & Communications.

About the study
MH Group Communications and Forum Strategies & Communications partnered to
perform this study because of their shared extensive experience and interest in the auto
industry and social media. The top-selling luxury auto brands and luxury brands owned
by major global automakers, including Acura, Audi, BMW, Cadillac, Infiniti, Lincoln,
Lexus, Mercedes and Porsche were studied to assess their level of involvement and
success in using social media. Researchers examined social media activity during August
2009 by the brands, as well as activity about the brands initiated by consumers, dealers or
others. More information about the study is available at http://mhgroupcom.com or
http://www.forumstrategies.com.

About MH Group Communications
MH Group Communication specializes in integrating traditional C-Suite corporate
communications services with the opportunities provided by emerging social networks
and other digital tools. It offers creative and contemporary programs that take advantage
of the dynamic environment surrounding consumer and stakeholder communications. For
more information on MH Group Communications please visit http://mhgroupcom.com.

About Forum Strategies & Communications
Forum Strategies & Communications aims to help clients better shape the social and
political landscape in which they operate through innovative, progressive public affairs
strategies, targeted and compelling communications and integrated corporate affairs
programs that get results. Its executive team has a track record of success on
controversial, high-profile issues, and brings decades of combined experience in: Strategic
issues and communications counsel, reputation-critical campaigns, multifaceted
communications programs, issue advocacy, reputation and branding campaigns. For more
information on Forum Strategies & Communications please visit
http://www.forumstrategies.com.

Contact:
Daniel P. Bingham
MH Group Communications
Daniel.bingham@mhgroupcom.com
408-621-5786

Jeffrey Sindone
Forum Strategies & Communications
sindone@forumstrategies.com
212-554-2157

                                         ###
Luxury auto luxury goods
Luxury auto luxury goods

More Related Content

What's hot

The Social Media Habits of the Fortune 500
The Social Media Habits of the Fortune 500The Social Media Habits of the Fortune 500
The Social Media Habits of the Fortune 500Michelle Batten
 
The End Of Email
The End Of EmailThe End Of Email
The End Of EmailSumit Roy
 
23 page briefing on social media uptake both sides of the pond
23 page briefing on social media uptake both sides of the pond23 page briefing on social media uptake both sides of the pond
23 page briefing on social media uptake both sides of the pondharry-rollason
 
Following Uncle Sam: National Social Media Marketing
Following Uncle Sam: National Social Media MarketingFollowing Uncle Sam: National Social Media Marketing
Following Uncle Sam: National Social Media MarketingLiam Dowd
 
Türkiye Sosyal Medya Pazarlama Trendleri
Türkiye Sosyal Medya Pazarlama TrendleriTürkiye Sosyal Medya Pazarlama Trendleri
Türkiye Sosyal Medya Pazarlama TrendleriErol Dizdar
 
Lucas Hulsebos - How Paid, Owned and Earned Media Work Together
Lucas Hulsebos - How Paid, Owned and Earned Media Work TogetherLucas Hulsebos - How Paid, Owned and Earned Media Work Together
Lucas Hulsebos - How Paid, Owned and Earned Media Work TogetherSanoma Belgium
 
Social Media Marketing: From The Perspective of Millennials
Social Media Marketing: From The Perspective of MillennialsSocial Media Marketing: From The Perspective of Millennials
Social Media Marketing: From The Perspective of MillennialsMichael Okimoto
 
Chapter 1 Power Point Comm*3533 Dr. Mirrer
Chapter 1 Power Point Comm*3533 Dr. MirrerChapter 1 Power Point Comm*3533 Dr. Mirrer
Chapter 1 Power Point Comm*3533 Dr. Mirrercalixteb
 
ComBlu State of Online Communities 2010
ComBlu State of Online Communities 2010ComBlu State of Online Communities 2010
ComBlu State of Online Communities 2010ComBlu, Inc.
 
Chapter 6 (social publishing)
Chapter 6 (social publishing)Chapter 6 (social publishing)
Chapter 6 (social publishing)Jawad Chaudhry
 
Social Media as Marketing Tools: Valuable for SMEs?
Social Media as Marketing Tools: Valuable for SMEs?Social Media as Marketing Tools: Valuable for SMEs?
Social Media as Marketing Tools: Valuable for SMEs?Efthymios Constantinides
 
Lead Generation in B2B Communities
Lead Generation in B2B CommunitiesLead Generation in B2B Communities
Lead Generation in B2B CommunitiesGeorge Krautzel
 
Social Media and Business
Social Media and BusinessSocial Media and Business
Social Media and BusinessRoshan Deniyage
 
Strategy in a digital world
Strategy in a digital worldStrategy in a digital world
Strategy in a digital worldLighthouse CEE
 
Brand strategy in a digital world
Brand strategy in a digital worldBrand strategy in a digital world
Brand strategy in a digital worldLighthouse CEE
 
Technorati 2013 Digital Influence Report
Technorati 2013 Digital Influence ReportTechnorati 2013 Digital Influence Report
Technorati 2013 Digital Influence ReportGonzalo Martín
 

What's hot (18)

The Social Media Habits of the Fortune 500
The Social Media Habits of the Fortune 500The Social Media Habits of the Fortune 500
The Social Media Habits of the Fortune 500
 
The End Of Email
The End Of EmailThe End Of Email
The End Of Email
 
23 page briefing on social media uptake both sides of the pond
23 page briefing on social media uptake both sides of the pond23 page briefing on social media uptake both sides of the pond
23 page briefing on social media uptake both sides of the pond
 
Following Uncle Sam: National Social Media Marketing
Following Uncle Sam: National Social Media MarketingFollowing Uncle Sam: National Social Media Marketing
Following Uncle Sam: National Social Media Marketing
 
Türkiye Sosyal Medya Pazarlama Trendleri
Türkiye Sosyal Medya Pazarlama TrendleriTürkiye Sosyal Medya Pazarlama Trendleri
Türkiye Sosyal Medya Pazarlama Trendleri
 
SMM 01
SMM 01SMM 01
SMM 01
 
Lucas Hulsebos - How Paid, Owned and Earned Media Work Together
Lucas Hulsebos - How Paid, Owned and Earned Media Work TogetherLucas Hulsebos - How Paid, Owned and Earned Media Work Together
Lucas Hulsebos - How Paid, Owned and Earned Media Work Together
 
Social Media Marketing: From The Perspective of Millennials
Social Media Marketing: From The Perspective of MillennialsSocial Media Marketing: From The Perspective of Millennials
Social Media Marketing: From The Perspective of Millennials
 
Chapter 1 Power Point Comm*3533 Dr. Mirrer
Chapter 1 Power Point Comm*3533 Dr. MirrerChapter 1 Power Point Comm*3533 Dr. Mirrer
Chapter 1 Power Point Comm*3533 Dr. Mirrer
 
ComBlu State of Online Communities 2010
ComBlu State of Online Communities 2010ComBlu State of Online Communities 2010
ComBlu State of Online Communities 2010
 
ENG 4340 Week 10
ENG 4340 Week 10ENG 4340 Week 10
ENG 4340 Week 10
 
Chapter 6 (social publishing)
Chapter 6 (social publishing)Chapter 6 (social publishing)
Chapter 6 (social publishing)
 
Social Media as Marketing Tools: Valuable for SMEs?
Social Media as Marketing Tools: Valuable for SMEs?Social Media as Marketing Tools: Valuable for SMEs?
Social Media as Marketing Tools: Valuable for SMEs?
 
Lead Generation in B2B Communities
Lead Generation in B2B CommunitiesLead Generation in B2B Communities
Lead Generation in B2B Communities
 
Social Media and Business
Social Media and BusinessSocial Media and Business
Social Media and Business
 
Strategy in a digital world
Strategy in a digital worldStrategy in a digital world
Strategy in a digital world
 
Brand strategy in a digital world
Brand strategy in a digital worldBrand strategy in a digital world
Brand strategy in a digital world
 
Technorati 2013 Digital Influence Report
Technorati 2013 Digital Influence ReportTechnorati 2013 Digital Influence Report
Technorati 2013 Digital Influence Report
 

Similar to Luxury auto luxury goods

Turning social feeds into business leads
Turning social feeds into business leadsTurning social feeds into business leads
Turning social feeds into business leadsGetfly CRM
 
Sectorreport automotive-160226002037
Sectorreport automotive-160226002037Sectorreport automotive-160226002037
Sectorreport automotive-160226002037Wilson Job
 
The Automotive Industry Through the lens of social
The Automotive Industry Through the lens of socialThe Automotive Industry Through the lens of social
The Automotive Industry Through the lens of socialBrandwatch
 
Social technology quarterly Vol 1 issue 3
Social technology quarterly Vol 1 issue 3Social technology quarterly Vol 1 issue 3
Social technology quarterly Vol 1 issue 3Kuliza Technologies
 
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docx
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docxCase study 5 chapter 91. 2. Answer the Case Study Questions (f.docx
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docxwendolynhalbert
 
Leveraging Social Media for Business - By Gaurav Kapoor
Leveraging Social Media for Business - By Gaurav KapoorLeveraging Social Media for Business - By Gaurav Kapoor
Leveraging Social Media for Business - By Gaurav KapoorRegalix
 
Social media marketing (3)
Social media marketing (3)Social media marketing (3)
Social media marketing (3)reshna ullas
 
Automakers become social for the long drive
Automakers become social for the long driveAutomakers become social for the long drive
Automakers become social for the long driveJustine Javelosa
 
BrandZ Top 100 Most Valuable Global Brands 2010 Summary
BrandZ Top 100 Most Valuable Global Brands 2010 SummaryBrandZ Top 100 Most Valuable Global Brands 2010 Summary
BrandZ Top 100 Most Valuable Global Brands 2010 SummaryCaroline Simon
 
Demographic Social Snapshot
Demographic Social SnapshotDemographic Social Snapshot
Demographic Social SnapshotDaniel McKean
 
Prospects and tasks for web 2.0 business final
Prospects and tasks for web 2.0 business finalProspects and tasks for web 2.0 business final
Prospects and tasks for web 2.0 business finalphoebeluo88
 
DDC Social Media Research Report
DDC Social Media Research ReportDDC Social Media Research Report
DDC Social Media Research ReportEliza Linford Kelly
 
LoyaltyAdvocacyInfluenceResearchReport copy
LoyaltyAdvocacyInfluenceResearchReport copyLoyaltyAdvocacyInfluenceResearchReport copy
LoyaltyAdvocacyInfluenceResearchReport copyKevin Root
 
Etude PwC sur la co-création dans l'industrie automobile (2013)
Etude PwC sur la co-création dans l'industrie automobile (2013) Etude PwC sur la co-création dans l'industrie automobile (2013)
Etude PwC sur la co-création dans l'industrie automobile (2013) PwC France
 
Paid to Made media Whitepaper FINAL1
Paid to Made media Whitepaper FINAL1Paid to Made media Whitepaper FINAL1
Paid to Made media Whitepaper FINAL1Brian Dargan
 
Social Media Trends 2020 Report by Hootsuite
Social Media Trends 2020 Report by HootsuiteSocial Media Trends 2020 Report by Hootsuite
Social Media Trends 2020 Report by HootsuiteDavid Martinez Calduch
 

Similar to Luxury auto luxury goods (20)

Luxury Auto External
Luxury Auto ExternalLuxury Auto External
Luxury Auto External
 
Turning social feeds into business leads
Turning social feeds into business leadsTurning social feeds into business leads
Turning social feeds into business leads
 
Sectorreport automotive-160226002037
Sectorreport automotive-160226002037Sectorreport automotive-160226002037
Sectorreport automotive-160226002037
 
The Automotive Industry Through the lens of social
The Automotive Industry Through the lens of socialThe Automotive Industry Through the lens of social
The Automotive Industry Through the lens of social
 
Social technology quarterly Vol 1 issue 3
Social technology quarterly Vol 1 issue 3Social technology quarterly Vol 1 issue 3
Social technology quarterly Vol 1 issue 3
 
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docx
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docxCase study 5 chapter 91. 2. Answer the Case Study Questions (f.docx
Case study 5 chapter 91. 2. Answer the Case Study Questions (f.docx
 
Leveraging Social Media for Business - By Gaurav Kapoor
Leveraging Social Media for Business - By Gaurav KapoorLeveraging Social Media for Business - By Gaurav Kapoor
Leveraging Social Media for Business - By Gaurav Kapoor
 
Social media marketing (3)
Social media marketing (3)Social media marketing (3)
Social media marketing (3)
 
Automakers become social for the long drive
Automakers become social for the long driveAutomakers become social for the long drive
Automakers become social for the long drive
 
Brand z
Brand zBrand z
Brand z
 
BrandZ Top 100 Most Valuable Global Brands 2010 Summary
BrandZ Top 100 Most Valuable Global Brands 2010 SummaryBrandZ Top 100 Most Valuable Global Brands 2010 Summary
BrandZ Top 100 Most Valuable Global Brands 2010 Summary
 
Social Media Guide
Social Media GuideSocial Media Guide
Social Media Guide
 
Demographic Social Snapshot
Demographic Social SnapshotDemographic Social Snapshot
Demographic Social Snapshot
 
Prospects and tasks for web 2.0 business final
Prospects and tasks for web 2.0 business finalProspects and tasks for web 2.0 business final
Prospects and tasks for web 2.0 business final
 
Automotive snapshot
Automotive snapshotAutomotive snapshot
Automotive snapshot
 
DDC Social Media Research Report
DDC Social Media Research ReportDDC Social Media Research Report
DDC Social Media Research Report
 
LoyaltyAdvocacyInfluenceResearchReport copy
LoyaltyAdvocacyInfluenceResearchReport copyLoyaltyAdvocacyInfluenceResearchReport copy
LoyaltyAdvocacyInfluenceResearchReport copy
 
Etude PwC sur la co-création dans l'industrie automobile (2013)
Etude PwC sur la co-création dans l'industrie automobile (2013) Etude PwC sur la co-création dans l'industrie automobile (2013)
Etude PwC sur la co-création dans l'industrie automobile (2013)
 
Paid to Made media Whitepaper FINAL1
Paid to Made media Whitepaper FINAL1Paid to Made media Whitepaper FINAL1
Paid to Made media Whitepaper FINAL1
 
Social Media Trends 2020 Report by Hootsuite
Social Media Trends 2020 Report by HootsuiteSocial Media Trends 2020 Report by Hootsuite
Social Media Trends 2020 Report by Hootsuite
 

Luxury auto luxury goods

  • 1. Luxury Car Brands Not Tapping Full Potential of Social Media Study by MH Group Communications and Forum Strategies & Communications examines social media presence of global luxury automobile companies; finds German automakers dominate while Japanese and American brands are largely absent NEW YORK, NY; October 12, 2009 —Luxury car makers are not maximizing the full potential of social media in their communications efforts, according to a new study announced today by independent New York-based consultancies MH Group Communications and Forum Strategies & Communications. The study, “Luxury Auto Brands and their Presence in Social Media,” is a comprehensive analysis of luxury auto brands and their presence within social networks. Using the MH Group Communications Community Index and Conversation Index measurement methodologies to determine the size and activity level of communities around specific auto brands across Facebook, Twitter, YouTube, and Flickr, the study found that German automakers dominate the luxury auto business category, while Japanese and American brands are largely absent and unimpressive within social media. In the study’s overall rating, the nine luxury auto brands considered ranked as follows in terms of their engagement in social networks: 1. BMW 2. Porsche 3. Audi 4. Mercedes 5. Cadillac 6. Lexus 7. Acura 8. Infiniti 9. Lincoln Porsche had the highest community rating in the Community Index with a score of 5,448, followed by BMW at 3,681 and Audi at 3,612. In the Conversation Index measurement, BMW held a sizeable lead over competitors with a conversation rating of 6,164 for the period studied. (For further details, please see the attached charts.) However, the study also concluded that the industry has yet to tap the full potential of social media by utilizing an integrated and holistic approach, and are focusing their efforts
  • 2. on YouTube and Facebook rather than the full spectrum of social media platforms where benefits could be gained. Additionally, the study found that the task of breaking through in social media for luxury car brands is complicated by the fact that all the brands face an extraordinary amount of online clutter as they try to attract a focused social media community. Unofficial Facebook pages, Twitter feeds, YouTube channels and Flickr communities created and managed by fans, vehicle dealers and individuals who incorporate a vehicle name in their online identities siphon attention and offer conflicting brand messages. “Communications flow as easily between different social media platforms as within any specific platform,” said Mark Hass, CEO of MH Group Communications. “In this environment, a successful campaign within one social media platform is not sufficient to advance and protect the brand online. Luxury auto companies need to harness the synergies of using multiple social media platforms in an integrated campaign to obtain the full benefits of the technology.” Other Key Findings: The study revealed that social media conversations around luxury auto brands focused on four key topics, each of which offer specific challenges/opportunities: • Admiration: The luxury auto sector enjoys a privileged admiration consumers express for most luxury brands. Being part of an “exclusive” club, these owners and fans err on the side of adoration when discussing their vehicles. Challenge: Where is the tipping point, when the club no longer feels so exclusive because of the social media involvement of everyday consumers? • Sales and Deals: The auto industry’s huge investments into e-commerce and the dealer-based, decentralized sales network make deal talk the dominant topic of social media conversation. Challenge: Brand management in this environment is a challenge, given that the community drives the conversation, rather than the brand, in contrast to pre-social media days, when sales messaging was focused around brand web sites. • Questions about Features, Service, Availability: Social media are a powerful tool for brands to monitor questions about their vehicles and address them directly and immediately. Opportunity: This should be viewed as an opportunity to extend a brand’s customer service commitment, rather than just treat social media as a marketing tool. • News and Vehicle Announcements: There is a virtuous cycle of amplification among these brands, auto bloggers and social media networks, in which news is shared by the brands with influential bloggers, reposted or tweeted within social
  • 3. networks by readers of those blogs, and further echoed within smaller SM groups. Opportunity: Links to blog posts, rather than traditional media, are shared most often by consumers. Goodwill persists for luxury auto brands in the social media conversation: While most other business sectors have brands that have been damaged by negative social media commentary, most luxury goods brands, including autos, enjoy mostly positive social media relationships. In fact, 90% of the commentary and content created about these brands is positive, since luxury brand consumers perceive that they receive a high- level of service and value by being associated with the brand. “Given the positive online dialogue regarding luxury auto brands, the use of social media can no longer be regarded as an afterthought, but must be viewed as a foundational element that is part of any holistic communications strategy” said Jeffrey Sindone, President of Forum Media, Forum Strategies & Communications. About the study MH Group Communications and Forum Strategies & Communications partnered to perform this study because of their shared extensive experience and interest in the auto industry and social media. The top-selling luxury auto brands and luxury brands owned by major global automakers, including Acura, Audi, BMW, Cadillac, Infiniti, Lincoln, Lexus, Mercedes and Porsche were studied to assess their level of involvement and success in using social media. Researchers examined social media activity during August 2009 by the brands, as well as activity about the brands initiated by consumers, dealers or others. More information about the study is available at http://mhgroupcom.com or http://www.forumstrategies.com. About MH Group Communications MH Group Communication specializes in integrating traditional C-Suite corporate communications services with the opportunities provided by emerging social networks and other digital tools. It offers creative and contemporary programs that take advantage of the dynamic environment surrounding consumer and stakeholder communications. For more information on MH Group Communications please visit http://mhgroupcom.com. About Forum Strategies & Communications Forum Strategies & Communications aims to help clients better shape the social and political landscape in which they operate through innovative, progressive public affairs strategies, targeted and compelling communications and integrated corporate affairs programs that get results. Its executive team has a track record of success on controversial, high-profile issues, and brings decades of combined experience in: Strategic issues and communications counsel, reputation-critical campaigns, multifaceted communications programs, issue advocacy, reputation and branding campaigns. For more
  • 4. information on Forum Strategies & Communications please visit http://www.forumstrategies.com. Contact: Daniel P. Bingham MH Group Communications Daniel.bingham@mhgroupcom.com 408-621-5786 Jeffrey Sindone Forum Strategies & Communications sindone@forumstrategies.com 212-554-2157 ###