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First-Quarter Ad Spending Up For Dealers, ManufacturersPosted 8/11/2003By Denise Caspersen In July's Stat Corner column, it was noted that the amount of warranty repair occurring at dealerships is declining - 10 percent in the past two years. As a follow-up, the amount of money dealers and manufacturers are spending is rising. Did you know General Motors Corp. is No. 2 in U.S. ad spending, just behind Procter & Gamble Co.? According to Competitive Media Reporting, GM spent $575.3 million in the first quarter of 2003. Although that is down 7 percent from 2002's first quarter, it is a large portion of ad dollars spent annually. Ford Motor Co. spent $323.6 million dollars in the first quarter of 2003. This is a 26.8 percent increase from the $255.2 million spent in the first quarter of 2002. Although Honda is not in the top 10 ad spenders, American Honda Motor Co. has teamed up with EdVenture Partners of Orinda, Calif., and made Honda's youth-oriented Element the focus of marketing and advertising courses at 28 colleges. Dealers increased their ad spending by 12.2 percent in 2002 to $4.4 billion with nearly 75 percent going to newspapers. Local newspapers received $3.2 billion; national newspapers received $43.1 million. The increased ad spending in local newspapers will likely continue.
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