Marketing case on hummer assignment

Gm targeted households of age 42 with income of 125000 dollars as opposed to AM’s 50 year olds with 200000 income. Differet luxury packages were offered with the H2. For promotion along with Tv ads, H2 were used in popular shows like CSI: Miami. On road test: Despite the criticisms that H2 lacked storage space and that only ten percent of the owner would actually take it off road H2 were roaring out of the showrooms. Gm was realizing 20000 profit from each sell. By mid 2003 demand slowed. After five months of straight declining sell due to rise in fuel prices Gm faced a declining customer satisfaction index.

However Gm was still determined to sell 100000 vehicles a year, so it launched a Sport utility version of H2. for mid 2005 Gm along with Nike unveiled the plan to launch a H3 SUV targeting the younger males especially the teenagers. GM demanded the 167 Hummer dealers to rebuild their showroom with driving ramps any other amenities to create a hype for smaller Hummer H3. However industry analysts think selling more hummers would dilute the brand’s image or even steal sales from other GM vehicles.