Mazda’s Biggest Problem Isn’t Its Cars—It’s That Nobody Can Define What Mazda Is

Mazda’s North American boss, Tom Donnelly, has a sleepless night over one issue: brand identity. Speaking at Mazda’s annual dealer gathering in Texas, Donnelly told Automotive News that the biggest long-term challenge isn’t product quality, pricing, or dealer performance—it’s that consumers still can’t articulate what Mazda stands for. “If you stopped random people outside and asked what Mazda represented, you’d get 10 different answers,” he said. The problem isn’t a lack of models; Mazda has expanded aggressively in recent years, with the CX-50, CX-70, and CX-90 joining the lineup alongside the long-standing Mazda3.

But this diversification has blurred Mazda’s positioning. Once known primarily for its compact Mazda3, the brand later became synonymous with the CX-5. Now, it spans a wide range of sizes and price points, positioning itself above mainstream rivals like Toyota and Honda but falling short of full luxury status. Mazda doesn’t sell body-on-frame SUVs or pickup trucks, yet it prices and markets itself above mainstream competitors, creating a confusing middle ground.

Donnelly’s goal is clear: push annual U.S. sales from around 400,000 to 500,000. To achieve this, he’s focusing on strengthening Mazda’s identity to foster deeper emotional connections with customers. The idea is to make Mazda “stickier”—encouraging buyers to return after lease cycles rather than drifting to competitors. Mazda believes the retail experience can help shape its identity, with dealers investing in updated stores to reinforce the brand’s image.

But the core question remains: What is Mazda in 2026? Is it a near-luxury alternative to Toyota and Honda? A driver-focused mainstream brand? Or a Japanese Alfa Romeo with reliable engineering?

Mazda is betting that clarity in brand identity will unlock growth, but the path forward is anything but simple.