Traditional motor shows appear to be on the way out ‘down under’ after a survey of Australian automotive industry marketing managers found an overwhelming majority believe such shows are no longer viable in the country.
According to local industry publication GoAutoNews, the ‘snap study’, conducted by Melbourne-based marketing and communications consultancy InterCapital Group (ICG), covered only a small proportion of the 60-plus brands represented in Australia’s highly competitive new vehicle market (which recently has been running at about 1m units a year) with only 10 respondents from car companies or distributors – though some represent multiple brands.
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ICG director John Kananghinis, a former head of marketing and corporate affairs at BMW Group Australia, told GoAutoNews the study was statistically valid and achieved a representative sample of top 10 mass market brands as well as major prestige brands, covering 69.3% of passenger car and SUV sales.
Kananghinis said the respondents, all of whom completed the survey on the guarantee of anonymity, were at general manager level in all but two cases and that the results provided a snapshot into the current attitude of key industry executives toward participation and investment in motor shows and related events.
Eight of the 10 top marketing managers surveyed reportedly did not believe the conventional show format – which has attracted widespread criticism in the industry and led to the cancellation of the Australian International Motor Show this year and next – was still a valuable and viable marketing tool.
Only one manager categorically ruled out participation in a major motor show in the future, but two said their involvement was unlikely and five said they would only “consider” returning to such a show. Just two said it was “most likely” that their company would return.
Kananghinis said he knew there was a change in perception of motor shows occurring in the industry, but “the collapse of AIMS spurred us to quantify the views of those making the budget decisions”.
“The results are confirmation that for a market of our size, the traditional motor show is a thing of the past,” he said. “There is still a desire to get ‘bums on seats’ but brand or sector specific customer experience events are seen to be more focused and cost-effective options than traditional ‘big barn’ shows.
“The respondents indicated that the dollars required to be present in the expected manner simply can’t be justified. This is particularly so when there are more direct ways to get a product in front of better-targeted customers.”
