Volkswagen to Rely Solely on IPhone App for GTI Launch – Advertising Age – News

NEW YORK (AdAge.com) — Volkswagen of America is launching the newest-generation GTI exclusively on an iPhone app, a cost-efficient approach the automaker said is a first for the industry.

VW's Real Racing GTI game for the iPhone and iPod Touch in the App Store includes a virtual showroom.

VW’s Real Racing GTI game for the iPhone and iPod Touch in the App Store includes a virtual showroom.

–> How cost efficient? When the marketer introduced the GTI in 2006, it spent $60 million on a big-budget blitz with lots of network TV. By comparison, an executive familiar with the matter estimates the annual budget for mobile AOR services is $500,000. And while an iPhone-only strategy may seem limiting, consider this: In September, Apple reported there are more than 50 million iPhone and iPod touch customers worldwide. By comparison, CBS’ “NCIS,” the most-watched show for week ending Oct. 18, reached 21 million viewers and commands an average price of $130,000 for a single 30-second spot.

The economics of digital undermining the 30-second spot-led campaign of the past?

That money doesn’t move online though… just some of it.

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By Antony Mayfield

I'm Antony Mayfield - to find out more about me take a look at my LinkedIn profile (see the button on the home page). You can contact me by email at antony [dot] mayfield [at] gmail [dot] com. Google