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MEMORANDUM

To: Partners and Senior Consultants of Naib-Zoob Consulting

From: Alyssa Santoro

Subject: Focus on Generation Y Consumer Market, Brand Equity, and New Model Development to Increase Sales

Date: October 5, 2011

As we know, the current economic crisis has caused a decrease in consumer spending as a result of decreased income and unemployment. This decrease in spending has been especially apparent in the automobile industry, which has taken a steep downturn since the beginning of the crisis. Auto Manufacturer and Analyst Efraim Levy presented data collected from Ward’s automotive reports that demonstrated an overall decline of total U.S. automotive sales since 2008.

Ford, the nation’s first car company, exists today as one of the leaders in the automotive industry. However, like other major automotive companies, Ford’s sales have declined in response to economic crisis.

In order for Ford to battle the decreased consumer spending issue because of the poor United States economy, the company must implement new plans.

I recommend that the agenda of Ford’s future plans include:

1. Target Generation Y market

2. Focus on brand attributes/values to maintain brand loyalty

3. Develop new car models to fit society’s current needs

Recommendations:

Tactic #1: Target Generation Y market:

Striving to increase car sales, it is apparent that Ford should not disregard any person who could be a potential consumer. However, Ford will benefit from putting specific emphasis on generation Y when marketing to the public.

1. The most important and obvious reason is generation Y’s young demographic and tremendous number. In May 2011, Cam Marston of the Agent’s Sales Journal explained that generation Y is “the largest generation in the United States today with an annual spending power approaching $1.5 trillion. Born between 1978 and 1994, they now number 85 million in the United States”. Generation Y, comprised of...