Tesla spends $0 on ads. Toyota spends an estimated $2 billion. GM is nearly twice that of Toyota, despite being worth roughly 1/4 of Toyota.
What’s going on? You know who Tesla is and they are selling hundreds of thousands of cars. That’s only a fraction of the other two, still, their ad spend isn’t in line with their results. Beyond that, why is GM spending so disproportionate to Toyota?
There are a lot of factors here:
- Remarkability of product
- Sales Volume.
- Market and vehicle type.
- Executive Leadership decisions.
The difference between Tesla and the others is purely #1. The difference between the others is items #2-#4. If you want to spend less on ads, you need to make something that your customers will talk about or share.