All for car recovery

Sales for the marque are down 12.8% year on year in 2009 to date, according to the Society of Motor Manufacturers and Traders. Meanwhile, its marketing strategy seems to be in disarray after its head of marketing, Mary Newcombe, moved into a non-marketing role. She will now be responsible for training across the Volkswagen Group’s dealership network.

Newcombe’s reassignment follows the launch of a pan-European TV ad created by Leagas Delaney Prague, backing the launch of Skoda’s Yeti SUV. It is understood that this ran instead of one created by Fallon, which was also responsible for the ‘Cake’ ad that featured the saccharine sound of Julie Andrews warbling her way through Rodgers and Hammerstein’s My Favourite Things.

Skoda was once a byword for cheap and cheerless motoring. However, it has managed to rid itself of its former Eastern Bloc reputation through advertising that emphasised its newfound technical prowess. It is a shame that this focus seems to be drifting, a trend that is apparently having an impact on the marque’s sales. So how can Skoda get back up there with raindrops on roses? We asked Dan Hagen, managing partner at MPG, who has worked with Hyundai Kia, and Mike Welsh, chief executive at Publicis Dialog , which handles Renault’s belowthe-line work, for their advice. “Skoda hasn’t had a great year, but nor has the automotive sector overall. The latter is down about 15% year on year, so Skoda is toeing the line — and doing better than many.”

Only a few brands, notably Kia and Hyundai, are showing positive signs in a tough market, and the demise of the government’s scrappage scheme in February spells a tough incoming year. Skoda’s focus on the Yeti has put it into competition with the bigspending and highly successful Nissan Qashqai. The sector is likely to become cluttered in the New Year, with launches and revamps from many manufacturers. The consumer view is still relatively bleak, as unemployment and inflation are likely to rise in 2010, putting a further squeeze on household spending power. It’s probable that the 50%-plus of us who commute by car will seek another year out of our existing motors. Lastly , what influence will social marketing , fuel efficiency and green requirements have on the industry?

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