Volkswagen U.S. marketing chief wants a 10% increase in its advertising

Article by Christian Andrei, on September 24, 2012

Volkswagen U.S. marketing chief Tim Mahoney said that the brand requires a 10% increase in its U.S. advertising budget in 2013 in order to keep pace with the rising sales. Mahoney said during the Automotive News Marketing Seminar last Tuesday that VW brand’s sales are higher by around 40% in the U.S. in 2012 on an ad budget that’s almost the same as the budget last year.

At the forum, he said that he will ask VW’s officials in Germany for a 10% increase in its advertising budget. From January to August, VW brand’s U.S. vehicle sales increased to 286,750 from 208,423 in the same period of 2011 because of strong sales of the Passat sedan and other models. Dan Creed, BMW’s marketing boss, said that an increase in BMW’s 2013 U.S. ad spending would be “small and modest.”

He declined to provide a specific percentage. Creed, vice president of marketing for BMW of North America, explained that BMW would have the resources it requires in 2013, considering that this year’s budget had a major U.S. buy to sponsor the Olympic Games in London and to purchase TV spots for the event. This amount will be freed up for various media next year.

BMW looked at its Olympic sponsorship as a major success that would place the brand’s vehicles before 217 million TV viewers. Meanwhile, Mercedes-Benz USA’s marketing chief, Bernie Glaser, was also cautious about his budget estimates for 2013. He said that the automaker’s advertising budget will mirror the growth experienced by the brand. Last August, Mercedes-Benz surpassed the BMW brand for luxury car sales superiority. Mercedes-Benz sold 20,557 vehicles while BMW sold 16,835 units.

If you liked the article, share on:


Login or Create new account to add a comment!


Tesla is making sure that all models under production will receive the necessary advanced hardware that will allow them to be autonomously driven. The fitment of these advanced hardware to...
by - October 27, 2016
Wondering how fast the 2017 Chevrolet Camaro ZL1 in actual driving? To provide customers a good idea on how fast the 2017 Camaro ZL1 could really get, Chevrolet recently had...
by - October 27, 2016
So, it is official! The new Honda Clarity FCV has the longest verified range of any zero-emissions vehicle currently on the road in the United States. One of the main...
by - October 27, 2016
Many have been anticipating Mercedes-Benz Vans’ newest luxury pickup truck, the X-Class. While Mercedes-Benz has yet to reveal the official production version of the X-Class, it was kind enough to...
by - October 27, 2016
We’ve seen quite a lot of intriguing stories in the age of Internet (where the most interesting part was revealed before the story unfolds). Some are from movies and novels...
by - October 26, 2016