According to AutoTrader.com's July Shopper Insights Report, whether or not vehicles are domestically manufactured can have a major impact on the buying behavior of U.S. consumers. Over 40 percent of those surveyed said that it is important to purchase a vehicle manufactured inside of the country by American workers.
AutoTrader also reported that consumers say they place a higher value on the location of a car's manufacture than the company that makes it – meaning that a car produced in America by a foreign firm is more highly sought after than one made at an overseas plant operated by a U.S. automaker. And, there are indications that these sentiments extend far beyond the motor vehicle market.
European planemaker Airbus recently announced plans to invest $600 million to build a new assembly plant in Alabama. The Wall Street Journal reports that this is widely seen as an effort to increase its jets' appeal to U.S. airlines and government procurement managers, including those in the military.
Google is also getting into the American manufacturing game with its Nexus Q entertainment device. The company granted The New York Times access to its California factory for a piece the paper was writing about its U.S.-based manufacturing.
However, without an effective means for communicating a product's origins to customers, the benefits of domestic manufacturing may be largely squandered. Using product labeling to showcase an item's American roots is clearly a solid strategy for increasing a company's share of the U.S. market.
Also, by implementing a label traceability system, a company can offer a complete picture of where and how a product was manufactured. This allows a business to guarantee the accuracy of its claims.