Thursday, March 11, 2010

Subaru’s Sponsorship Strategy Rewards Loyal Customers

As illustrated in an article in today's Detroit Free Press, Subaru has utilized a very simple and intuitive sponsorship strategy to help increase brand loyalty, customer retention and repeat purchases from its extremely loyal customers.

In its existing sponsorship portfolio Subaru has a number of diverse partnerships, from the ASPCA to the American Canoe Association to the Gary Fisher Mountain Bike Team to the Geological Society Of America. The partnerships span sports, cause, arts and culture.

The one common thread: All of the partnerships revolve around organizations and issues that Subaru owners care about.

It’s obvious that Subaru’s owners have told them that they care about issues such as the environment, being involved in the community and the ethical treatment of animals, and their interests include gardening and horticulture, the outdoors and sports like snowboarding, skiing and mountain biking.

Subaru has listened.

The strategy is a bit different than most brands, who usually focus on marketing initiatives (sponsorship included) that attempt to attract new customers and encourage sampling of their brand by non-owners.

But Subaru has built such a loyal customer base, and those customers have traditionally played such a large role in year-over-year sales, that they have placed their focus from a sponsorship perspective on rewarding and retaining existing customers rather than attracting new ones.

Below is a link to the article:

The Secrets to Subaru's Success; Loyal Fans Boost Market Share

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