"I drove the Chev[rolet] to the levy, but the levy was dry"?
A post-bankruptcy GM is trying to navigate its way through a recovery. After killing or selling many brands -- including Saturn, Hummer, and Saab -- GM has now been able to return some of the money it borrowed from the government (shuffling the government's stock purchase money to repay its government loans) and is preparing for a public stock offering to fully denationalize and pay the government in full.
Now it's making a risky move that may pay off, but will likely offend at least some auto enthusiasts -- it's trying to kill the nickname "Chevy" common used to refer to the Chevrolet brand of cars and trucks. Chevrolet employees at its Detroit headquarters received a memo on the topic Tuesday according to the New York Times.
In the memo Alan Batey, vice president for Chevrolet sales and service; and Jim Campbell, the G.M. division’s vice president for marketing, write, "We’d ask that whether you’re talking to a dealer, reviewing dealer advertising, or speaking with friends and family, that you communicate our brand as Chevrolet moving forward."
GM executives have argued that killing the Chevy moniker will help promote a more consistent brand message, and cause less customer confusion. The memo elaborates, "When you look at the most recognized brands throughout the world, such as Coke or Apple for instance, one of the things they all focus on is the consistency of their branding. Why is this consistency so important? The more consistent a brand becomes, the more prominent and recognizable it is with the consumer."
Curiously, the memo's example of Coke appears to accidentally make an argument for the opposite point -- the value of retaining a popular nickname. Coke's full name is Coca-Cola.
On Chevrolet’s website, chevrolet.com, the term Chevy has not yet been chopped. Banners read "Over 1,000 people a day switch to Chevy." And one of the page's menu options reads "Experience Chevy." And as of last night, the brand's Facebook groups all have retained the name Chevy.
One problem with GM's attempt to alter its brand name is the fact that it has little control over outside individuals. Four-time Nascar Sprint Cup Champion Jeff Gordon's website for his dealership in Wilmington, NC currently bears the "Chevy" name -- jeffgordonchevy.com. And there's of course the Don Mcclean's eternal summer ballad American Pie, whose refrain sings, "So bye-bye, miss American pie. Drove my Chevy to the levee, but the levee was dry."
Chevrolet has ditched its long-time ad agency Campbell-Ewald, moving first to Publicis USA and then a month later to Goodby, Silverstein & Partners (hopefully that puts an end to suicidal robot commercials). The Chevrolet offices now have a coin jar, as well, similar to a cuss jar. "Every time someone uses ‘Chevy’ rather than Chevrolet" they have to put a coin in the jar to remind themselves of the new name.
The nickname ban may have a crucial impact on the company -- for better or worse -- as Chevrolet has long been one of GM's best-selling brands. And with the impending launch of the 2011 Chevy Volt (or 2011 Chevrolet Volt, perhaps) later this year, the spotlight is on GM and it has no room for errors in the public eye.
Updated: June 10, 2010 2:40 p.m. -
GM has released an official statement via press release and Facebook with some good news -- feel free to use the name "Chevy" to your hearts' content. (Whoops, we'll have to cancel our pending edits, to all our Chevy Volt coverage...) GM blames a "poorly worded memo" memo for the mistake. Ouch -- Batey and Campbell can't be having a good day.
The company itself, however, does plan on cutting out the "Chevy" talk as much as possible. Writes GM, "In global markets, we are establishing a significant presence for Chevrolet, and need to move toward a consistent brand name for advertising and marketing purposes. The memo in question was one step in that process."
kinda funny, they use the term CHEVY in almost all of there advertising.
and Junior, its a Volkswagen not a VW!!!
