Learnings from the 20th Century: Launch Messaging Strategies for 21st Century Car Brand

In the next few years, the automotive industry will see the launch of several new car brands.  The last time the US auto industry saw as many new brands coming to market was probably the late 1980's and early 1990's. During that time, Suzuki, Acura, Lexus, Saturn, Infiniti, Hyundai, Yugo, and Sterling, to name a few, were launched. Can new brands learn anything from the launch of those 20th Century brands?

It's easy to dismiss those launches as irrelevant today. After all, the 20th century brands'  reason for being was to capitalize on broad demographic and economic shifts. Today, the new automotive brand launches are inspired by dramatic changes in technology that will fundamentally alter the way cars are used. Technology has also completely reshaped the media landscape, making the 20th century 60 second network TV launch spot obsolete.

But yet, there still may be strategic lessons to be learned. In looking at the list of brands above, 4 did not survive. Of the surviving 4, the two who were arguably were most successful were Lexus and Hyundai. Lexus, because it managed to earn a spot in the top tier of luxury brands. Hyundai, because it has been able to challenge the volume market leaders, and make a significant dent in their market share.

How did they do it? From a product/pricing perspective, both were excellent value plays at either end of the market. Lexus had a superior product, yet undercut the European leaders by ~$10,000, and Hyundai offered an adequate product that cost almost half the price of other new cars. 

But what perhaps jumpstared their success, was their communication strategy. Both came out strongly with insight driven messages that created by value by depositioning their competitors. Lexus' 'The relentless pursuit of perfection' played on the dirty little secret that owners of top tier luxury cars of the day knew too well...their cars were not so bullet proof. Hyundai's 'Cars that make sense' made smug Japanese buyers reconsider what they had thought to be the smartest choice in the marketplace. What likely sealed the deal for these brands was how they demonstrated these messages by bringing them to life in provocative ways.

Lexus' iconic 'Ball Bearing' and 'Champagne Glass' ads demonstrated perfection by going against every automotive advertising convention. The cars weren't shown on the road. No one was even driving them. Yet, you knew they were closer to perfection than the luxury car in your driveway.

Hyundai relentlessly pounded the value message by finding compelling ways to quantify the better sense of choosing a Hyundai.

Of course, from a media perspective, these brands found the most impactful platform of the day, network TV to spread their message. Their media buys targeted their customers as best they could through demographics and rudimentary psychographics. But while media was important, messaging is what set them apart. 

The brands that didn't make it, were much less clear in articulating and demonstrating their positioning. While Saturn promised 'A different kind of car, a different kind of company', they were unable to convincingly demonstrate how they were different. Sterling touted its British heritage, without offering any tangible benefit of that heritage. Suzuki introduced the Samari as 'the most extraordinary event in your lifetime'...really? And Yugo--well, it was a Yugo. All of these brands also borrowed conventional cues from typical car commercials--acceleration/performance, romancing sheetmetal, winding roads, etc. 

Of course, message alone cannot build a brand. There were problems beyond advertising for all the brands that met their demise. Despite a great start, Hyundai also went through some rough patches over the years. But none of that diminishes the huge and swift impact of the Lexus and Hyundai launch messaging.

So how can today's start ups use these examples to develop an effective messaging strategy?

• Establish a clear, insight driven launch message that depositions the existing competition.
• Amplify that positioning by creating provocative, news/shareworthy content that makes the audience pause to rethink the entire category

How can new car brands implement these principles? Most new car brands are likely to differentiate themselves on some combination of autonomous driving, seamless connectivity, and cleaner powertrains, here are a few thought starters:

• Autonomous plus connected means you can use your time in your vehicle to be more productive. For brands who want to create value through superior 'productivity', how about a 24 hour challenge at the same time of the 24 hour LeMans race. Enlist writers, artists or musicians to create something from inside the car, while the car drives them. . Create film that juxtaposes the productivity of the creative process against the monotony of track laps. 
• As electric battery technology gets better, electric cars are likely to have better range than traditional internal combustion (I/C) cars. For brands staking their claim on the benefits of superior battery technology, what about an endurance challenge in a desolated, remote location between their car and a trusted I/C brand? It could instantly transfer the onus of range anxiety from electric to I/C.
• Autonomous also means safer. For brands deciding to leverage the value of 'safer', how about conducting and filming live 'human vs machine' reflex challenges? 

Of course, these brands should leverage new technologies to precisely target the right people at the right time to maximize impact and earned media. But without a solid messaging strategy that changes the game in their favor, they're more likely to be Sterling than Lexus. Because winding roads, motorsports, gorgeous sheet metal and Super Bowl ads just won't cut it.