Kudos to GM
After years of being able to use GM as a prime example of what not to do, they buck a trend and announce that they are revisiting their entire spend on Facebook.
My favorite quote from the story: “The sources said GM executives found the paid ads had little impact on car buying.”
How about that. GM, one of the kings of advertising, finally learning that paying for ads, especially on social sites, has little impact on car buying.
GM is not giving up on Facebook altogether, as they find that can be an effective way to engage with their consumers and share content. GM spends $40 million on Facebook, and I for one am quite confident that if they take that $40 million and reinvest in sincere, authentic approaches that, as my friend and client Steve Randazzo says, create deep emotional connections, they’ll find far greater returns.
I love the fact that GM is finally looking at results and not just process. Maybe there is a rebirth in Detroit after all. (I know, I know…don’t get carried away.)
Here’s the other quote I love. It’s from Steve Goldner, a senior director at digital-media agency MediaWhiz. He says this move “reflects that GM does not know how to integrate social-media into a winning marketing play.”
Well, maybe. Or maybe it’s just that paid advertising doesn’t actually drive behavior. Maybe there are more effective marketing “plays” that make a bigger difference. As I share with my clients, just because something is popular doesn’t mean that it works.
For too long, marketing agencies and consultants have been making the marketing process and complex and trendy as possible to enable them to justify exorbitant fees and to hide from accountability.
I congratulate GM for stepping up. I hope they follow through. Then maybe, just maybe, I’ll be sharing other examples of GM is doing that should emulated.