Automobile Marketing- Introduction

Automobiles are high valued items than other goods that are sold. The business is also relatively low margin but high volumes drive profitability. It creates huge number of jobs from the automobile part manufacturers, to the factories to the salesmen employed in dealer showrooms. The automobile business is highly competitive and is also driven by discounts. New product launches costs hundreds of crores (it also includes the product failure). Besides marketing on price, promotion, the car is both a highly technical product that has huge brand aspiration values as well.

Thus, automobile manufacturers compete on not just multiple technical parameters like engine size and horse power, but the power of brand as well. Thus, Indica is branded the Indian car, while Santro Xing is the sunshine car. These multiple factors for driving sales make automobile marketing both a challenge and a fascinating example of the power of marketing to drive customers towards purchase decisions.