LILLIE GUYER | Automotive News
As automakers increase their marketing to African American, Hispanic and Asian American consumers, they also are making greater use of specialized ad agencies that have experience in reaching minority groups.
Racial and ethnic minorities make up a growing share of the nation's population and buying power. As a result, so-called one-stop shopping - expecting mainstream ad agencies to handle multicultural campaigns - no longer works, many auto and advertising executives agree.
Dave Rooney, the Chrysler group's media director, says the company's advertising spending in minority media has grown in the past two years. He would not disclose amounts.
GlobalHue, the nation's largest minority-owned advertising agency, handles the Chrysler group's multicultural marketing. The account is worth an estimated $140 million a year.
A seat at the table
To maintain consistency of brand and product messages in its advertising, Rooney says, Chrysler gives Global Hue, of Southfield, Mich., a seat at its strategic planning table along with its general ad agency, BBDO Detroit.
Allen Pugh, GlobalHue's executive vice president, says his agency seeks to "drive traffic" among minority buyers to the Chrysler, Jeep and Dodge brands by maintaining cultural sensitivity in the ads it produces.
"We take the brand essence and make it relevant" to minority consumers, Pugh says. "You can't just take what's done for the general market. You need to understand cultural relevance and needs."
He cites the example of a TV commercial from GlobalHue for the new Hemi V-8 Dodge Charger car. The commercial shows a sharp-looking African American man in business attire. It suggests the car transforms the driver into a superhero.
The commercial was used frequently during broadcasts of this year's NBA playoffs.
Multiple segments
In 2003, Toyota Motor Sales U.S.A. Inc. hired interTrend Communications Inc., of Long Beach, Calif., to create Asian American ad campaigns for Toyota.
"The automotive category is now the hottest category in the Asian arena," says interTrend Senior Vice President Robert Liu. Different groups of Asian Americans have different characteristics and needs, Liu says. Automakers and their marketers need to learn and address those needs, he adds.
"It's not just different languages," Liu says. "It's a unique lifestyle, culture and needs. It's building an emotional connection."
Asians are the second fastest-growing U.S. population group, trailing only Hispanics, the U.S. Census Bureau says. The Bureau estimates that last year there were about 41.3 million Hispanic Americans and 14.0 million Asian Americans in this country.
Research firm Competitrack, of Long Island City, N.Y., estimates that while automakers spend about $250 million a year to advertise in Hispanic media, they spend just $20 million to advertise in Asian-American media.