CES 2009: 12-Volt Group Shifts Strategy

By Amy Gilroy -- TWICE, January 8, 2009

Las Vegas — The car stereo industry is delaying the launch of a consumer awareness campaign for its products due to the poor economic climate.

The governing board of the industry group, the 12-Volt Awareness Initiative, announced today the need to delve deeper into new research before launching a campaign because "discouraging findings from the consumer research we conducted in December suggest a need for reassessing our timing, due to current economic conditions and all-time low consumer confidence,” said Steve Witt, acting board chairman and marketing VP of Alpine.

The group had planned to hold an open industry meeting at International CES to unveil a promotional strategy, but recent research found that consumers who want to buy car stereo equipment now consider it a luxury in this economy. The research polled 16- to 35-year-old males who owned cars more than five years old and who are interested in car stereo.

Jeff Manning, an architect of the famous Got Milk! Campaign and who is advising the 12-Volt group, also said the industry should re-evaluate its strategy in this economy. 

The group's research also found promising consumer interest in in-dash radios with iPod, Bluetooth and other add-on capabilities, said Larry Rougas, acting vice chairman for the 12-Volt board and Pioneer product planning and marketing VP for mobile. “We’ve also identified a ‘sweet spot,’ of consumers with cars too old to have quality OEM equipment, but not so ‘trashed’ to be unworthy of an upgrade,” he said.

The 12-Volt board was set to meet yesterday to consider a new strategy suited to the current economy.   The 12-Volt Initiative was launched at CES last year to raise awareness for 12-volt products.  Board members include Steve Baldacci, iBiquity; Rob Cummins, Best Buy; Mike Kahn, Sony; Keith Lehmann, Kenwood; Carl Mathews, Crutchfield; Larry Rougas, Pioneer; Adam Thomas, Clarion; Barry Vogel, MERA; and Steve Witt, Alpine.