Global marketing strategy in the automobile industry

The global marketing strategy in the automobile industry describes the methods by which the automotive industry markets their products to individuals around the globe.

Globalization
“Globalization is reshaping business strategy on a scale never before seen in modern history and nowhere is it more obvious than in marketing”. American companies are rethinking the way they market and do business because of new global competition. With everything going global, if a company wants to be able to compete they need to market to the entire globe. One issue companies face is trying to “think globally, act locally”. It can be difficult to come up with a concept that can be used all over the globe and still appeal to everyone. Companies are forced to make the decision whether to have a strategy that is standardized, involving one main concept, or customized, which is tailored for different regions. With different marketing strategies, such as customized and standardized, each company has the opportunity to pick a method that best suits their needs. Doing business globally can be challenging at times because the rules are different and change frequently. However, those who can make it work have the opportunity to gain a great advantage.

Examples
Cadillac
Cadillac is one of the automotive companies which is pursuing a global marketing strategy. Their ads incorporate appealing spokespeople who do not draw too much attention away from the vehicle, including Kate Walsh, an actress on the television show Private Practice who appears in Cadillac's recent television commercials. Cadillac's marketing strategy is to appeal to the emotional aspects, which can be used in any part of the globe. For instance, in the commercial for the CTS sedan Walsh asks, “When you turn on your car, does it return the favor?”

Lexus
In 2004 Lexus began its global marketing journey. The company’s main message is “Passionate Pursuit of Perfection”. Lexus decided to branch out this domestic idea and take it worldwide. They realized that using the American ads would not have had as great an impact in other parts of the world so they came up with the idea to modify the theme of perfection. Their approach involved the customization strategy which meant the same concept would be used internationally but each region became tailors who were able to make alterations that best suited each area. Their approach seems to be a success because the number of vehicles sold in regions other than North America accounted for 65.5% of total sales with Japan making up approximately 40% of that total.
Chrysler
Chrysler's first experience with a global strategy came in 2000 with the launch of the PT Cruiser. This was their transition from focusing on domestic to foreign consumers. The company brought together marketing individuals from each international region to help put together a global message. This idea of having one concept not only provided the company with one primary message but it also saved money. Before the single marketing concept, each ad in every country would be tweaked to add a local feeling, which required more time and money. With the new strategy, Chrysler used the same television and print advertisements for the PT Cruiser internationally, with the only changes being the language and location of the steering wheel. In recent news, Chrysler’s global attraction has definitely increased. In 2007, Chrysler experienced the highest number of sales outside of North America in the company’s history, with an increase of 15%; the top markets outside North America included Italy, Venezuela, and the United Kingdom.

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