Quick look. Car Brands

Growing Market Share in the Automotive Industry

The Car Industry. A quick look

Automobile Industry Market StudyThe car industry market may possibly be the most competitive consumer market in the world. Ironically, it is also mostly barren of brand meaning. In this automobile industry market study we look at the broad market.

There are categories of brands — Luxury cars, performance automobiles, etc. But, few brands have the sort of consumer meaning of say… Corona Beer. When consumers are asked what Corona represents they know. They say emphatically “kicking back” and “summer fun” because Corona means something to them.

Who Has Equity?

Only VOLVO and BMW can claim that sort of brand meaning. Mini is trying to create brand identity, but the jury is still out. The brand problem began when the car industry tried to represent everything to everyone. And, therefore nothing to everybody. By concentrating on car models rather than the brand they have no brands. Consumers are able to place more brand meaning on the Ford Taurus than they are on Ford in general. What is left is a missed brand opportunity.

Television advertising has simply made a bad branding situation worse for the customer. Commercial after commercial of high production quality ads crowd the TV. All depict shiny new cars speeding down winding highways. And, each brand blurs one into another, and the automotive market remains the same. The category is a prime example of brands trying to differentiate brand messages with table stakes.


This chart (not meant to represent real positions) demonstrates that there is little space between brands. The only gaps are the small spaces between created by models.

The Car Industry Category Problem

The car industry, as a category, has been selling fashion for years and yet they fail to make the full leap. Brand messages are therefore a swill of glamour shots interspersed with engineering details.

car industrycar industry

From a brand perspective, it is amazing that a market position like “SAFE” (read VOLVO) was available. Particularly considering the fact that no one would purchase a car that they thought unsafe. “Cool” does not cut it any longer. Because, consumers see that position claimed by just about anyone in any market. Reliability is a brand messages claimed by each and every brand as well.


What is left?

Ideally, each car industry manufacturer would carry the same brand equity. Similar to what Apple accomplishes in consumer products. The brand name should add value and meaning to the individual models.


car industry

By dividing table-stake values by customer precepts some opportunity may appear. But, as currently structured, no brand has positioned itself to be a player here. Established brands need to find the self-expression of a defined target market. That is if they wish to create brand loyalty and preference.


Read about BMW here

What does Ford have in common with CVS?

The problem with the auto industry

A blog about Nissan and Dodge

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