Designing and building great cars is only part of the equation of being a successful global automaker, telling the world in a convincing way that your vehicles are the best is a major element of success that can require billions every year.
In 2010, General Motors spent $4.26 billion worldwide in its advertising efforts, up from $3.37 billion in 2009, according to AdAge estimates, but now the automaker has issued a request for proposal to possibly overhaul its entire client base worldwide.
“As part of its normal review of business processes, General Motors will request proposals on ways to improve the efficiency and effectiveness of its global operations for purchased media. The request for proposal (RFP) will be issued to several global media companies and will include all consumer-facing planning and buying operations in support of all media channels including print, digital, broadcast, SEO and social media,” said GM in a statement.
The RFP is believed to only apply to GM’s paid media efforts, but GM currently uses over 20 media-buying companies worldwide. The review is not expected to include creative agencies which have undergone changes and scrutiny already in the past few years.
“We’re looking for an innovative model that helps us become more effective in leveraging global marketing opportunities more efficiently,” said Joel Ewanick, GM VP-global chief marketing officer. “We will make a comprehensive assessment of all options before reaching a decision and in fact, may end up validating our current approach.”
The RFP could have a major impact on American jobs as about 2/3rds of GM’s worldwide advertising and sales promotion funds are spent in North America.
References
1.’GM set to review…’ view
