How automotive marketers should be using social media in a downturn

By Jesse Pickard

It’s no secret that automotive marketers will be slashing budgets over the next year. Social media programs, often classified as experimental, may likely end up on the chopping block, but perhaps wrongly so. In 2009, marketers mustn’t drop social media all together in a recession; instead they should refine what social media means to their organization by adopting the following three strategies:

1. It’s time for utility, not entertainment
In 2009 marketers must focus on social media programs that are rooted in utility, rather than entertainment.  The next year should be devoid of hokey microsites that ask fans to vote on catchphrases or house quirky viral videos. A 2009 social media program should focus on providing on-the-fence auto buyers with the exact information they need to make a purchase. Bolstering community forums and vehicle ratings and reviews would be two ways to accomplish this.  Josh Bernoff of Forrester concurs with this strategy, recently noting in a report that social applications work “better than advertising at helping people in the consideration phase.”

Brands like Comcast and HR Block are currently focusing on utility-heavy initiatives by actively monitoring and responding to mentions of their products on Twitter.  For example, if a user asks a question about a particular Comcast service or device, Frank Eliason, or a member of his team, will use the comcastcare’s Twitter account to communicate directly with that individual and provide him or her with an answer.

2. Draw from social media success stories
Social media programs have a reputation for being unpredictable, immeasurable and prone to failure. Gartner analyst Adam Sarner has predicted that half of the online social-networking initiatives created for marketing or customer relations purposes will fail.  Yet social media programs are not all created equal. Marketers can look to the past and find certain types of programs that have seen continued success over the years.  One of these areas is community-powered customer support. For a small investment, an OEM can create an infrastructure that allows owners to ask and answer questions, reducing the number of expensive call center phone calls.  AT&T does this successfully with its customer-powered wireless support forums. Automotive marketers should also feel comfortable implementing social shopping programs, which have consistently resulted in higher purchasing rates over the past few years.

3. Turn consumer passion into dollars
Car brands have some of the most enthusiastic and passionate customers. Do a quick Google search of any automotive marque and you will find a host of highly active car enthusiast communities and message boards.  In the past, this passion has largely gone unutilized by car brands for fear of losing control of the message. In tough economic times, marketer’s options are limited.

Cultivating consumer passion may be the only way to create new features and services. For example, OEM’s could make use of gear heads by letting them diagnose and fix problems and offer preventative car-care advice. Given the existing passion around car brands, this would merely require a reputation system that recognizes top contributors.  Best of all, this social media program would have a clear tie to saved costs. The majority of vehicular problems cost automakers money because they must honor lengthy warranties. Avoiding a problem through preventative care allows the manufacturer to save money on parts and services.  Toyota’s Masters of Africa community makes use of the passion of 4×4 enthusiasts by creating a forum for people to share best practices on topics such as car modifications.

In the long run, social media marketing will benefit from the impending tough economic times. Shot-in-the-dark awareness campaigns that lack utility and measurable results will be cut without hesitation, leaving behind only the best programs that have real business results. As a result, social media will gain legitimacy and acquire a new reputation of efficiency. 2009 will be the year social media finally grows up.

Related links:

• Strategies for interactive marketing in a recesssion; Forrester Research, 02.06.08
• Comcastcares; Twitter profile
• Customer service is the new marketing; headlightblog.com, 11.02.08
• Analyst: Half of ’social media’ campaigns will flop; CNET News, 10.06.08
• AT&T Wireless Forums
• Masters of Africa

Image credits:

• Comcast Cares image appears courtesy of the comcastcares profile page on Twitter
• Toyota Masters of Africa image appears courtesy of the group’s Facebook page

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