GM Crazy For Culling the Hummer – Branding Case Study

One of the strongest and newest automotive brands to hit the scene in the last decade has been the Hummer. It is a symbol of strength and one that says you have arrived. This is what intrigues Hummer buyers, as it is a sign of being king of the hill. But now we find with higher oil prices and the focus on more fuel efficient vehicles of the future, this brand maybe sold out of General Motors portfolio.

Yes, today sales of this large vehicle are down, but much can be done to save the brand, even if GM is hemorrhaging cash and needs to sell something to keep it out of bankruptcy. There are strategies that can be employed to prevent this chaos. For instance, General Motors could:

Make it a Hybrid Hummer
Make it out of lighter material
Make Military Vehicles for Third World Nations
Make Golf Carts with the same shape and brand
Collect Royalties for Toys, Movies, Etc.
Selling such a noteworthy line of automobiles for pennies on the dollar is completely unwise, even if GM thinks it needs to fire sale some of its assets to stay in business. This brand is a high-end brand and it stands for toughness and quality in the minds of the consumers. Indeed, it also stands for excess and waste in the minds of others, mostly non-buyers of the brand.

Still, with a loyal following and being the icon and symbol that it is today, selling it away on the cheap would be a mistake taken for short-term hemorrhaging, which in the end will hurt General Motors long-term. Thus, to sell it now would be a mistake. Think on this.

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