Auto Brand Letdown

I had a friend of mine send me a link today from Money Magazine online regarding the disposition of distressed Hummer brand vehicles, now that GM has exorcised that brand from the portfolio. His question was not about the car, but a quote from Robyn Eckard, a “spokesperson” from Kelly Blue Book’s KBB.com that reads:


“People used to care about brands and what a brand says about them,” she said. “Nobody cares anymore.”


My buddy Rick wanted to know if that was true or if I thought she is an “idiot”.


My response was: [Yes, Robyn is an idiot. People care very much about what any brand has to say about them. If they did not, then there would only be one auto brand, and that would make GM, the United Auto Workers and Obama very happy, indeed. Any idiot can get quoted; it’s what they say that exposes them as such. I may write something up!]


Now, it may not be fair to call Robyn an idiot as a blanket statement, but the statement was…idiotic. Here’s why; Americans will always care what car brand they drive because it is in their blood. To think contrarily is absurd or a patent denial of consumer marketing science.


Think about this—if more American consumers didn’t care about what the brand had to say about them, then perhaps Hummer would still be around. Yes, if screaming big ego and, “damn the fuel economy and finding a parking space” was still in style for those who care about such things, then Hummer would be, well, humming along.


Good auto marketers understand trends and consumer conscience, which is why hybrids are in style (not for long and bummer for the new Nissan Leaf). People care about quality (watch Toyota and Lexus languish for years) and now value is the hot button. With Toyota’s resale value falling through the floor, maybe those Priuses will become a bargain.


So who stands to take share in the really brave new stick-your-neck-out-in-the-uncertain-economy? My call is Hyundai. (Please don’t let me be an idiot). Here’s why; it’s a frugal brand that delivers amalgamated visual queues and engineering from European leaders like Audi, BMW and Mercedes that attract conscientious American consumers—at a third of the sticker price. Only suckers buy new engineering to be green. It was cool five years ago, but now one runs into risk looking like you’re a trend follower that takes risks on unproven science. At least Toyota found a way to put the brakes on that one.


Now, if GM had its act together (not going to happen soon), then they would have been primed to take share from Toyota/Lexus with the combination of Chevy and either Buick/Cadillac. But alas, where is Cadillac now? Name me anything in the lineup that makes people talk about their brand at cocktail parties or takes your breath away at the valet…doesn’t happen. Buick has one winner—the crossover brand (literally in platform with Chevy), the Enclave and the new sedans are coming from Germany (so much for saving American engineering and manufacturing jobs).


Yes, sad to say to that Robyn from KBB.com was so far off the mark in her statement that she could be considered the equivalent of the Chevy Volt; and now where is that GM savior by the way and who’s talking about it about now? “Delivery on the promise” is still the American brand standard. Take that to the bank.


How quickly we move our attention from brands with big talk and no follow-thru…


— Mark Cain

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