are ramping up their marketing efforts, the folks in Dearborn and Auburn Hills are spending less this year. Ford
pulled back ad spending in the first quarter by 31% to $291 million, while Chrysler
took a deeper cut of 42%, to $186 million. Part of the reason for this decreased spending is the ugly reality of the new car
market coupled with lean funds to pay for promotion, but the two automakers also don't have many new products to tout. During that same period GM was the number two advertiser
in the U.S., with $535 million being shelled out for new products like the Cadillac CTS
and Chevy Malibu
. Toyota also spent big on the new Corolla
, as well as additional advertising for the Tundra
. Ford will likely open up the purse strings in the next couple months for advertising for the Lincoln MKS
, Ford Flex
and the all new F-150
. Chrysler will also have to spend on the all-new Dodge
Ram and Dodge Challenger, while also continuing to push the Dodge Journey.
While it makes sense to cut back on spending in anticipation of spending more money when new products arrive, it still doesn't look good that both the Blue Oval and Pentastar cut back so dramatically. When times get tough and car sales become harder to come by, it only makes more sense to up the marketing dollars to help dealers who need to move these vehicles of their showroom floor. And, you know, we could always use a few more ads, too.
[Source: The Detroit News]