Is advertising going to get you a quick sale?
No is the simple answer.
Let’s have a look at something Mark Ritson talked about recently; building on his article a year ago about Tesla’s refusal to invest in advertising. Where that has left them now is very interesting.
Schmidt Automotive Research completed some analysis on the state of play in Europe. And surprisingly it shows our traditional OEMs who are pushing electric vehicles out in to the market are overtaking Tesla. But here’s the thing they are advertising. Regularly, timely, targeted adverts appearing in a range of media. They are positioning themselves, their brand, their electric vehicle offering and environmental credentials.
Advertising campaigns will enable you to boost your image, so VW are the top distributor in the EV market. And here’s why.
In the UK their advertising included six hand painted murals advertising their new ID.3 car which has zero emissions. Strong messages, eye catching colour, not the usual LED screen or billboard we’re used to seeing car adverts on this Using a product called Airlite these unique OOH adverts appeared on buildings in our large cities. This paint product even has the highest environmental credentials as just 100m2 reduces air pollution. This is advertising done exceptionally well to engage car buyers who are moving faster towards electric vehicles than expected.
Here’s the thing though, to paraphrase Mark, Tesla sold a huge number of cars in 2020. It’s sales aren’t really the thing at play here. What’s at play is competitive advantage that is durable and ‘sustainable’. Tesla are relying on loyalty and that’s not really a thing today. Consumers can be magpie like; something newer and shinier or they can be early adopters; ‘I want to be the first to have THAT in my neighbourhood/work carpark/on the school run’.
In a recent 5-year study of 3,000+ USA companies it highlighted that advertisers who maintained or expanded their advertising over the five years saw their sales increase an average of 100%. Yes that’s FIVE YEARS of advertising to increase brand awareness; with strong consistent adverts those are the businesses whose sales will be strong today AND in the future.
When you advertise you aren’t selling to the person who is buying today, it’s to influence consumer buying decision days, weeks, months or even years away.