Electric Vehicle Industry Innovation in Alternative Advertising

Research and development (R&D) are activities carried out by industries to innovate and introduce new products and services, various corporations from all sectors have joined R&D activities, with this it is possible to increase their results. In Europe, R&D is known as technical or technological research and development (RTD). Research and development is the first stage of a new product or service.

As for the automotive industry, it is one that is undoubtedly making major turns and investments in both R&D and alternative advertising. Thus, Tesla leads as one of the most valuable companies in the world, with car deliveries amounting to $1 million in 2021 despite the semiconductor crisis and the negative economic effects of the pandemic and incredibly, all of this has been achieved with zero spending on traditional advertising, which has allowed for a much larger R&D budget.

For every car sold a manufacturer invests about $1,000 in the R&D process, while Tesla, invests $2,984, almost triple the average. Companies such as Ford, Toyota, General Motors or Chrysler are far from that figure, since a large part of their income is spent on expensive media marketing campaigns.

Ford and Toyota’s combined spending per car sold on advertising and research and development amounted to 3,171 dollars, very similar to the amount Tesla invested in innovation alone.

In the case of Ford, the brand invested $468 in advertising spending and $1,186 in research and development; Toyota injected $454 and $1,063 respectively, General Motors $394 and $878, while Chrysler invested $664 and $784 in each case.

The automotive industry has always stood out for its advertising investment. And today it has found a great ally in social networks to reach the public with its products. Car brands compete every day to reach the top positions of popularity.

A GEOM Index study on the interaction and performance achieved by each car brand on each social network has shown the global position on Instagram, Facebook, Twitter and YouTube. The car brands with the greatest impact on social networks are Volkswagen, followed by BMW, Audi, Porsche and Mercedes-Benz.

Another important ally in alternative advertising and innovation is marketing software; its concept is based on the exploration of points of contact between companies and leads (potential customers). The priority is to have a digital presence, since fewer and fewer people choose to go to a dealership for a vehicle, and automotive marketing needs to put the user at the center of the strategy, and omnichannel is a way to ensure this.