08 June 2010

Mercedes’ decision to partner the German football team in the World Cup could leave English retailers of the brand with a tricky problem. German Mercedes retailers all have plans to show Germany’s matches on TVs in their showrooms. In fact, the carmaker’s Berlin showroom will have a 500 sq. ft. screen and space for 3,000 fans.

Will Blighty dealers get behind the money poured into the brand sponsorship by showing Germany’s matches in the showroom or will they deem it a step too far to be seen supporting the old footballing enemy?

In Germany, Mercedes is getting behind the tournament with discounts and cheap finance packages and is paying former German footballer, Franz Beckenbauer, to promote the deals on radio. The brand has even brought?out unique postage stamps. Additionally, a special leasing offer pays Mercedes’ customers 319 euros if Germany wins the title.

Behind all this activity is Mercedes’ desire to broaden its appeal. Currently, German owners of Mercedes are a decade older than BMW and Audi owners and Mercedes’ marketeers want to appeal to a more youthful market.

I have no idea why it is necessary to make the Mercedes brand more youthful. In England, there are more potential customers over 55?years of age than there are below it. And, from my impression of English football fans, there are many with shaven heads, beer guts and tattoos who would do the brand no good at all.

Anyway, such is the fanaticism of these fan’s support of the England football team that, once they realise that Mercedes partners the German team, any desire on their part to own a Merc will be tossed away quicker than a beer can. I can’t help but think lowering sticker prices might get more youngsters into the brand and the dealerships if that’s what they really want.

Have a great week, both in and out of the showroom. If you have a story for us, or wish to get something off your chest, email barry@auto?retail.com

Barry Hook

Tags: Franz Beckenbauer, Mercedes, promotion, World Cup