Social Media is Driving the Auto Industry – Part 1

In a recent article on Mashable, the following conclusion was drawn from a study of the automobile industry:

The auto industry “… is known for its glitzy TV ads and deep pockets, but social media is a field where money will only drive you so far. The big gains seem to come from out-thinking opponents, not outspending them.”

So, how exactly are the big auto companies out-thinking their competition?  This series of postings will examine their Social Media successes in detail.

GENERAL MOTORS

General Motors has made significant strides in the adoption of Social Media, through the creative use of videos, an enlarged Social Media budget, forthright discussions of its Chapter 11 situation, and the aggressive development of its Social Media followers in each of the prominent venues.

Christopher Barger, the Director of Global Social Media for General Motors, has much to be proud of from his expansive, well conceived and successful early campaigns.

As is strategically significant, Barger is using Twitter to proclaim the results of traditional advertising.  In a recent Twitter post Barger remarked that GM is achieving enormous success with its traditional venues as well.  Recently NielsonWire reported that for Super Bowl XLV:  “Two guys describing a woman’s wild ride in a silver Chevrolet Camaro was the most watched commercial of all time.  An estimated 119,628,000 viewers watched the ad, surpassing the previous record holder, a Doritos commercial from 2010 with 116,231,920 viewers.”

Video Usage

General Motors has a history of success with video, but one series in particular has been unusually well-received by the online audience.  Department 180 features cleverly produced video content across many models, and is interesting and entertaining as well as informative.

Social Media Budget is Expanding

As reported in an infographic included in the Mashable article, Barger has been blessed with an increasing budget, unusual in a recession economy.  This testifies that General Motors understands the effectiveness, efficiency and efficacy of Social Media.  Like similarly enlightened business giants, this fact alone should bode well for GM’s economic future.  As has been shown repeatedly over recent history, companies that place their resources in well-crafted Social Media outperform those that do not.

Chapter 11 Transparency

As has been noted by many Social Media practitioners, Social Media provides a very useful platform for discussing company obstacles and reputation difficulties.  A forthcoming and sincere discussion of problems as they occur is always the best approach.   The General Motors transparency regarding its financial situation, has increased trust and appreciation by its many Facebook and Twitter followers.  When GM reported on its Facebook page that  “January sales rose 23% from last year, driven by solid retail sales 36% higher than a year ago” the news was no doubt seen in a more favorable light than it would have been had not GM been upfront about Chapter 11.

To be continued …

This series of postings will continue on Monday, February 21st.  In the next installment I will discuss General Motors various model-level successes.  Future postings will examine Ford, Chrysler, Toyota, and Honda.  The final posting in the series will recap successes, a few less than successful campaigns and finally, what additional approaches the industry might use to enhance its Social Media impact.

Getting in touch with me is very easy

Have a question? Or just want to chat about your business? Simply call the number below. During normal business hours (8 AM – 5 PM Scottsdale, Arizona time) it is my direct line. Otherwise, just leave a message. If you would prefer to exchange email I would love to here from you. Just email michaelstewart@jerichotechnology.com or click the email badge below. I promise I will get back to you within 24 hours.

 

 

 

If you enjoyed this post, please subscribe to our email list.