To compete with German automakers, Cadillac has launched its first nationwide advertising standards for individual dealerships. These standards, which have to be met by all dealerships nationwide, include national ad requirements. For example, terms such as "below-invoice" and "off sticker" are banned. There also has to be a minimum of a quarter-inch space between the newspaper ads of Cadillac and Chevrolet.
The rules will take effect beginning February. In an interview with Automotive News, Cadillac marketing boss Don Butler said that Cadillac communication should always be in a “very luxurious way” and there shouldn’t be any “screaming discounts” or “below-invoice sales." He said that even dealers who carry multiple franchises have had to follow these advertising standards for some time now.
Cadillac’s new rules take effect on the following dates: Feb. 1 for print ads, March 1 for TV and radio spots and April 1 for digital ads. A warning is issued to those who violate the rules for the first time.
Dealers who commit a second offense will have their reimbursements for ad expenses cut. Both dealers and GM contribute to this money pool termed as the local marketing allowance. Dealers who violate these rules for the third time in a 12-month period forfeit a whole month’s worth of cooperative ad money. They also won’t qualify anymore for year-end awards like the GM Dealer of the Year award.