Daewoo piece masked reality

Daewoo Cars would like to object to the use of a picture of its showroom in conjunction with a caption referring to dealers and servicing profits in Alan Mitchell’s article “Why car trade is stalling over new pricing policy” (MW February 17).

The caption read: “Rough deal: The Great Car Rip-off has also displeased dealers, who now rely on servicing to boost margins.

Daewoo doesn’t have dealers who take a cut – customers deal direct. And we provide free servicing for three years.

No one who has anything to do with marketing can have failed to notice that Daewoo is the one company that, since its launch in 1995, has continually challenged the conventional “wisdom” of the car-buying process. You are correct: the old way of selling cars is dead.

We pioneered a fixed price for every consumer, with no hidden extras. We don’t use dealers. We employ our own staff and they aren’t paid commission, but are salaried. Our customer advisers are rewarded when customers tell us they’ve received great service. And, on average, no more than three per cent of the list price is advertising cost.

I realise your picture desk probably sifted through the Marketing Week picture library and chose a great picture of what is a clean, bright, modern car retailing facility. But it doesn’t fit with your story, or the Daewoo approach.

Furthermore, the body of the text says: “The cost of selling a car now typically accounts for a third of its final price.” Well, I’d buy a car in Mitchell’s showroom if that’s the case. Last year’s adspend per unit (UK industry average) was &£301. Does he do part exchange?

Alison Moran

Public relations manager

Daewoo

Rickmansworth

Herts

Latest from Marketing Week

PLEASE SIGN IN OR REGISTER. IT'S FREE, QUICK AND EASY!

Access Marketing Week’s wealth of insight, analysis and inspiration that will help you develop as a marketer and leader.

Register and receive the best content from the only title 100% dedicated to serving marketers' needs.

We’ll ask you just a few questions about what you do and where you work, so we can make Marketing Week more relevant to you.

Register now

THE BEST CONTENT

Our award winning editorial team and columnists will ask the biggest questions about the biggest issues on everything from strategy through to execution to help you navigate the fast moving modern marketing landscape.

THE BIGGEST ISSUES

From the opportunities and challenges of emerging technology to the need for greater effectiveness, from the challenge of measurement to building a marketing team fit for the future, we will be your guide.

PERSONAL AND PROFESSIONAL DEVELOPMENT

Information, inspiration and advice from the marketing world and beyond that will help you develop as a marketer and as a leader.

Dedicated to developing your skills and helping you achieve marketing excellence. Find guidance on leadership, professional development and the latest industry jobs.

Having problems?

Contact us on +44 (0)20 7292 3711 or email subscriptions@marketingweek.com

If you are looking for our Jobs site, please click here