New car advertising spend rising
March 20, 2008 by Alborz Fallah
Last year saw Australians buy more cars than ever. The sales figures went Toyota (22.5 per cent market share), Holden (14.0 per cent) and Ford (10.3 per cent). Logically, the dollars spent advertising these brands should correlate to sales success, but such is the beauty of the advertising world that the figures hardly interact.
Figures released today by Nielsen media research show that new car advertising is on the rise, with an 8% overall increase in car manufacturer spending. Out of the top 50 advertisers for 2007, eight were car manufacturers, but not in the order expected.
Coming in first for manufacturers was General Motors (Holden, Hummer, Isuzu) which spent an estimated $70-75 million, an increase of 47% over 2006. No doubt the majority of that money was spent launching the VE commodore and the Hummer brand.
Mitsubishi Australia, of all manufacturers, came in second, with spending of about $65-70 million – a 44 per cent increase in spending over 2006. Mitsubishi’s advertising budget also included that of Trifty car rentals.
Coming in a close third was Toyota, the world’s largest manufacturer. Despite having the largest market share, Toyota actually decreased its advertising spend by 13% from 2006 (Aurion launch), down to around $65-70 million.
Ford spent $45-50 million in 2006. That figure is expected to rise dramatically this year as the blue oval launches the new Falcon.
Nissan and Renault came in fifth with $35-40 million while Mazda came in sixth with around $30-35 million. DaimlerChrysler (or now known as Daimler and Chrysler) and Honda also spent around $30-35 million.
The Federal government spent the most money thanks to the federal election, costing tax payers around $220 million. The rest of the top positions were taken care of by Coles (175), Telstra (135) Harvey Norman (130) and Woolworths (115) .
Print it: 
I am sure if u included all the motoring mags, media commentators etc on the take then Toyota’s budget would be double it’s nearest competitor.
If u know what I mean. keep the dream alive!
Are your sure you’re not on the take too Realcars. Every single post of yours mentions something about Toyota. It’s getting old, try to show you know something about cars once in while. It will go a long way towards your credibility, or lack thereof.
I don’t think we have met TITAN.
I challenge u to find a car related post on the net that doesn’t have a Toyota advertisement on it! Even the Trading post has a Yaris or whatever add in the corner whenever u check used cars out. Look at used four wheel drives and a Kluger add appears in the corner.
Had a look at a Korean car blog last night and there was yet another Yaris add in the corner of the page.
And until recently Lawsie the talking Toyota advertisement promoted their products on his syndicated radio show four hours / week days.
Check any major metro paper and the full page spreads for Toyotathon out number all the others put together week after week not to mention the 200 Killer wasps on tv day and night.
Does anybody else out there in the ether think that Toyota would spend more on advertising than any other make?
If they are not they must be getting greater value for their advertising dollar!
Anti-Spam word………………holden HA!
U know that Toyota Aurion Ad? Well u know how they say the new Aurion uses less fuel than a falcon or commodore. Well at the bowser there using or showing Ea or EB falcons or VR’s and VS commodores. Yeah toyota talk about 10 years ago why dont u!
Settle down Titan.
“Ford spent $45-50 million in 2006. That figure is expected to rise dramatically this year as the blue oval launches the new Falcon.”
I remember when the VE Commodore came out in 2006, GM pushed advertising really hard so I wonder what Ford will do.
There are full page newspaper ads, TV ads, radio ads etc. for every other car manufacturer out there too. What exactly is your point? Your constant insinuation that everything Toyota does is somehow dishonest or misleading is quite frankly juvenile.
^^^ not meant for you Oz but instead Realcars
Realcars and any other bloggers … it is Easter – long weekend – forget about cars and all the other hoo haa sh*t that goes with it.
Do what i am gonna do and switch of the computer, step outside and enjoy the Easter break with neighbours, friends and/or family as it will be much, much more enjoyable then responding to blogs.
Better still, head down to the beach or to the pub and purve on a good set of legs instead !!
Enjoy Easter … happy and safe motoring – and forget blogging for a few days !!
Cheers.
Hey duck, Exactly.
Than why don’t Ford and Holden do a pick on Toyota and use old RT104 Coronas all bashed up and compare them with the new Falcons & Commodores? :)
Titan because the anecdotal evidence suggests that Toyota must spend a lot more than everybody else.
Take the car site challenge and see if u can find one without a Toyota add on it!
….every music festival,nearly every sporting event etc etc
Toyota Oh what a feeling!
…evey country show. Toyota Oh what a feeling.
The Sydney Royal easter Show. Toyota Oh what a feeling
“The Flying Hilux on 2WS today at the easter Show. Oh what a feeling..
Gympie Muster…Oh what a feeling
Tammworth Country Music Festival… Oh what a feeling..
Regional Rodeos…. Oh what a feeling.
No way they spend less than the others no way!!!!
I assume your next move will be to argue that Nielsen accepted a payment from Toyota to publish false statistics…
that small business show Sundays on Nine Network…how to run your own business and what Toyota would suit it best…oh what a feeling
Fishing show with ET Oh what a feeling….
Toys, Mits and Holds are really good at spending on advertising but the cars are overrated, maybe they should spend more money on products people want rather than making a quick sale and destroying ownership satisfaction that you should recieve after purchase..
All I can say is that Toyota marketing execs must drive a harder bargain when it comes spending their advertising dollars if they spend less than the others as they must be getting at least ten times the value.
200 killer wasps, 200 killer wasps urrgggggggh!!!
Yes I agree, that ad is a sin. That said you haven’t forgotten it have you, so I guess it worked. Doesn’t mean they spent more though, so you could be right when you say they are getting more out of their advertising.
All that community sponsorship must cost something?
Anti spam Toyota Ha Ha Ha.
Of course it cost something. If you read the article you will see it cost them $65-70 million.
I give up!
Good i dear Oz., we should see how toyota would feel.
Duck, Toyota wouldn’t feel very pleased. LOL!
Kinda disputes the power of advertising those stats above. Poor old Holden
Realcars, your argument is that Toyota spent the most of all the car makers on advertising in spite of fact the article said they were number three. My argument disputes your claim however; I’m not saying they spent nothing. They spent 65 to 70 million as quoted (which is a huge amount of money and would cover what you’re referring to)
Anyway I would love carry this on but alas I’m going to enjoy my Easter break and I hope you and everyone else too have a happy and safe Easter.
Fair enough. ditto.
realcars,
mate,
just have a look at what GM’s and Mitsu’s budget catered for.
GM’s notes hummer and isuzu and mitsu’s includes for some silly reason Thrifty car rentals. perhaps thats why you dont see the #1 and#2 spenders as much as the money would suggest.
No Name,
Poor old holden?
well dont they lay claim to the number 1 seller in OZ?
all they really advertise is the commodore and that seems to work for them
Toyota spends less then Holden on advertising but sells nearly twice as many. Says alot about the cars.