The Automotive Climate In 2011
Despite the recession, the automotive sector has been showing signs of growth over the last 6 months. Thanks to increased export to countries such as China, UK car production has been positive.
UK car sales have remained steady throughout 2011 as the UK market continues to struggle with the recession that shows no signs of lifting. Thanks for finance, expensive cars are made affordable to people that cannot afford a one off payment, but small monthly payments over 2-3 years.
Automotive Marketing In 2011
By far the best form of marketing has to be advertising on TV, many of the leading car companies (Peugeot, Audi, Toyota etc.) use TV advertising to sow the seed of having a new car.
Commercial adverts are the most popular, as car companies can catch people in-between programs and advertise new models of cars.
Program sponsorship is becoming more popular (ITV drama, Firm4, Gold comedy etc.) as the cars are showcased before shows begin and at the end before the adverts (very often with a voice over).
Financial services and car companies are the main business sectors that use TV advertising in the UK in 2011.
Car businesses use a wide variety of visual advertising techniques to showcase the new models coming out in 2011/12 due to visual advertising working so well for encouraging the buying signals.
Billboard advertising works well as it can be targeted to specific ares of the country (maybe that have historically had good sales of new cars) or areas of affluence (pockets of the UK where the more wealthy live).
Digital media is often used by car businesses (such as in the underground, at train stations, airports etc.) again because the visual image of a new car will encourage the buying process.
Car companies are one of the main kinds of businesses to sponsor sports events (football, cricket, snooker etc.) due to the captive audience, most people watching the sports event will consider buying a new car at some point.
Although sponsorship advertising is very expensive, it is still a great way to generate brand awareness.
Outlook For The Automotive Market In 2012
All being well, there should not be much change in the development of the automotive industry moving into 2012. Despite markets being down and recession keeping consumer confidence low, car sales seem to be growing both overseas and in the UK.