Wednesday, May 25, 2022
News Automakers Cut Back on Adverts for December

Automakers Cut Back on Adverts for December

With low inventories, car companies have severely rolled back promotions for the usually busy 4th quarter

  • Supply chain complications mean that there’s less stuff to sell.

  • Typically, the Holidays are used to promote plenty of deals, but not this year.

  • Automakers and dealerships have made big cuts in advertising since last summer.

On your daily commutes, you no doubt drive by one or more dealerships. You’ll have likely noticed that lots are practically empty – a very unusual sight when we’re used to seeing them overflow with new vehicles. This is a result of the ongoing supply chain issues that have plagued automakers all year.

The fourth quarter, between September and December, has historically been a busy season for new vehicle advertising for automakers. Some car companies go out of their way to create unique campaigns to celebrate the Holiday season and promote their vehicles. So far, however, many manufactures have scaled back on spending – they have very little to sell.

“We will not be promoting the holiday season as we have been,” said Rory Harvey, vice president of Cadillac brand, as reported by Reuters (subscription required). With the supply of vehicles at a third of normal levels, he said, “why would you?”

Some companies, such as Ford and Lexus, are going ahead with Holiday campaigns but overall, tens of millions of dollars will not be spent compared to 2019 numbers. Lexus’ “December to Remember” advertising campaign will go ahead.

“For us to change it dramatically, it’s too important to the brand. It’s part of our DNA,” said Lexus’ U.S. vice president for marketing Vinay Shahani.

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Matt St-Pierre
Trained as an Automotive Technician, Matt has two decades of automotive journalism under his belt. He’s done TV, radio, print and this thing called the internet. He’s an avid collector of many 4-wheeled things, all of them under 1,500 kg, holds a recently expired racing license and is a father of two. Life is beautiful. Send Matt an emai


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