vendredi 12 décembre 2014
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US Market Has Not Been Friendly To Suzuki
Suzuki Motor Corporation is slashing its promoting spending budget considering diminished sales and a shrinking spate of Suzuki dealers. Automotive News reports that in spite of a 13 percent increase in sales throughout the global automotive industry through the first quarter of 2012, Suzuki dropped 2 percent to just 6,561 sales.
Promoting not on the top of the list
Suzuki has made major changes of late to the way in which the brand is marketed. The Japanese automaker skipped both the Detroit and Los Angeles auto shows this year, and within the past two months, it has also suspended all social media activity on Twitter and Facebook. No national television commercials for the brand have aired since 2009. Top product planning and promoting executive Steve Younan left Suzuki in January and the business has no urgent promises to find a replacement.
Another sign of trouble for Suzuki came in January, when the automaker stopped receiving consumer satisfaction reports from J.D. Power and Associates. Automakers use the data compiled by J.D. Power to track dealer performance. A memorandum from Suzuki indicated that the automaker will seek a different vendor to provide this data, notes Automotive News. The position has reportedly not been filled yet.
Dealerships losing rating
About 12 percent of Suzuki dealerships were taken off the franchise list in 2011, or about 32 dealer franchises. Many sources explained that there have been fewer car dealerships annually since 2005.
While American Suzuki continues to cut programs, Suzuki dealerships feel the financial pain.
The silver lining
Near Chicago, Kay owns a bunch of dealerships with a lot of different big brands. Kay believes that poor consumer awareness has brought on the troubles at Suzuki.
James Morrell is a chairman on the Suzuki Dealer Advisory Board. He explained that there may really be some good in slashing the number of dealerships out there.
Promoting not on the top of the list
Suzuki has made major changes of late to the way in which the brand is marketed. The Japanese automaker skipped both the Detroit and Los Angeles auto shows this year, and within the past two months, it has also suspended all social media activity on Twitter and Facebook. No national television commercials for the brand have aired since 2009. Top product planning and promoting executive Steve Younan left Suzuki in January and the business has no urgent promises to find a replacement.
Another sign of trouble for Suzuki came in January, when the automaker stopped receiving consumer satisfaction reports from J.D. Power and Associates. Automakers use the data compiled by J.D. Power to track dealer performance. A memorandum from Suzuki indicated that the automaker will seek a different vendor to provide this data, notes Automotive News. The position has reportedly not been filled yet.
Dealerships losing rating
About 12 percent of Suzuki dealerships were taken off the franchise list in 2011, or about 32 dealer franchises. Many sources explained that there have been fewer car dealerships annually since 2005.
While American Suzuki continues to cut programs, Suzuki dealerships feel the financial pain.
The silver lining
Near Chicago, Kay owns a bunch of dealerships with a lot of different big brands. Kay believes that poor consumer awareness has brought on the troubles at Suzuki.
James Morrell is a chairman on the Suzuki Dealer Advisory Board. He explained that there may really be some good in slashing the number of dealerships out there.
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