Around the Net

Suzuki Verging On Sales Breakthrough

  • Ad Age, Thursday, August 24, 2006 12 PM
American Suzuki Motor Corp. is hoping that a magic combination of timing, increased ad spending and luck will help it sell 100,000 vehicles in the U.S. this year--a milestone that would be a first for the automaker. Although the company was unable to sell even half that amount from 1989 through 1999, so far this year, sales are up to 65,000 units through July. Now, with a hefty ad budget of more than $100 million (compared to $77 million in 2004) and high gas prices that have turned consumers away from SUVs, Suzuki may be poised for a breakthrough. "We seem to have the right image and the right product at the right time," says vp, sales Tom Carney. Suzuki has been through boom-and-bust spells in the past, but Todd Turner, president of consultant CarConcepts, says he's encouraged because its current growth isn't coming from cheap, entry-level cars. "They are doing it with vehicles that cost $20,000-plus, and that indicates this turnaround has legs." But even if it hits its goal, the automaker will still lag far behind the category's biggest players. Toyota's Camry sells about 400,000 units annually in the U.S.

advertisement

advertisement

Read the whole story at Ad Age »

Next story loading loading..