With gas prices through the roof and sales of gas guzzlers in free fall it really shouldnt come as a surprise that the big auto makers are readjusting plans and making changes. Besides blue-collar layoffs and office cut-backs, it seems that even the folks on Madison avenue may also have to worry a bit as auto-makers shift their spending to Digital or reduce spending altogether.
A couple of days ago Ad Age ran a story about Ford taking $20 million off the table as it reduced it’s ad spending from $300 million to only $100 million due to the free fall in truck sales. Another article that caught my eye, also on Ad Age, highlighted that GM has shifted close to 25% of its advertising from traditional platforms to digital media venues. Thats everything from SEO strategies to CRM implementations slated to get a 25% chunk of GM’s multi-billion dollar ad largess.
If you’re a traditional advertising agency this is the point where you get to quaking in your boots and if you’re a digital shop, my resume is up-to-date and ready to send.