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Mercedes learns from TV success

M-B: E Class Will Use GLK Ad Strategy

 
Mercedes-Benz will launch the E-class sedan and coupe in the third quarter with a marketing strategy similar to its approach for the just-launched GLK SUV.

The GLK's TV campaign, event sponsorship and alternative marketing have paid off, Steve Cannon, vice-president of marketing for Mercedes-Benz USA, told Automotive News.

"Our volume is down and our marketing budget will be down slightly" for 2009, said Cannon.  "We are targeting more and really pushing every investment and making sure that it delivers.  If we can't demonstrate that, we cut it."

Since the January launch, Mercedes-Benz has sold 3,218 GLKs.  In February, 1,918 GLKs were sold vs. 707 competing Acura RDXs.

To launch the GLK, Mercedes-Benz spent most of its first-quarter marketing dollars on TV advertising, including events such as the Super Bowl pregame show, the Academy Awards and the NCAA men's basketball tournament.

Rather than spend during the Super Bowl itself, Mercedes decided "very late and for about 25 percent of the cost" to buy five spots during the pregame show, said Cannon.  Of the estimated 91 million people who watched the Super Bowl, 85 percent saw those commercials, he said.

"That is why television is still the most relevant in this difficult environment," Cannon said.  "People are staying home and watching more television."

During Super Bowl festivities, Mercedes-Benz used 15 GLKs to transport VIPs and celebrities.  Regional marketing teams now use those vehicles at city festivals and outdoor events such as a Napa Valley concert series in California and New York Fashion Week.

Said Cannon: "One enhances the other.  You get the big reach with television, but you get the buzz and interaction" at events.

Alternative marketing included a three-month trial through February with TiVo, a digital video recorder maker.  And to "test the water in the blogosphere," Mercedes-Benz gave a GLK to a Momadvice.com blogger for a weeklong review.

"Moms talk about safety and about interior and cargo room," said Cannon.  "We were trying something outside the traditional space."

 

 

      
Originally Posted: 3/23/2009 1:53:52 PM
Last Updated: 3/23/2009 2:00:34 PM