s.mueller

Toyota considering diesel hybrid production

There is quite a debate going on about what is more efficient: a high-tech diesel engine such as BMW produces them, or the Hybrid solution in cars such as the Lexus RX. Fact is, and that has long been and supposedly still is, that any hybrid system can only be as good as the petrol engine it supports.
According to the Wirtschaftswoche, Toyota is thinking about introducing dieselhybrids. With the very efficient diesel engines up to 20% gas could be saved compared to petrol engine hybrids. The negative side: diesel engines with their high pressure injection are far more expensive in their production costs. paired with the complex hybrid system, such a vehicle could end up being several thousand Euro more expensive than with a petrol engine. However, there is significant movement in this direction – Peugeot, Bmw and VW have just presented diesel hybrids at the IAA in Frankfurt.
Just by doing the maths, the outcome looks promising: take a 320d with around 5l/100km and add a hybrid to it. Surely it would add some 200 kg of weight but in total this might reduce gas consumption even further. But as with all hybrids, the efficiency depends on where you drive. Hybrids even increase gas consumption when driving outside the city…

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s.mueller

Direct consumer approach by Opel

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Opel seems to have understand some essentials of how to address consumers.

In this video message of Carl-Peter Forster, Opel Chairman, Opel explains the where its new claim „We love cars“ comes from and what it stands for and how it should help to lead Opel into the future. He mentions the sympathy Opel has received from the public in the recent weeks. This is indeed something to build on and it is something American makes lack: trust in a brand. If the typical American still believed in American engineering he would not buy so many Japanes cars, and the best-selling car would be a Ford Taurus. But it isn’t….

Here is the wording of the statement by Carl-Peter Forster:

„Wir leben Autos.“ ist der lebendige Ausdruck der langjährigen Markenwerte von Opel.

„Wir leben Autos.“ bezieht sich nicht nur auf unsere deutschen Wurzeln und unsere Liebe zu deutscher Ingenieurkunst. Es ist darüber hinaus auch ein Ausdruck unserer Hingabe und Leidenschaft, die all unser Denken und Arbeiten prägt.

Das „Wir“ steht für die Begeisterung und bejahende, positive Einstellung, die unsere Mitarbeiter und Händler miteinander teilen – Grundvoraussetzung für die Entwicklung intelligenter, überraschender und innovativer Produkte für unsere Kunden.

Aber wir bauen nicht nur Autos, wir leben für Autos. Das Wort „leben“ steht für unser hohes Maß an Energie – eine Energie, die jeder spüren kann, der Opel erlebt; durch die Vielfalt sinnvoller Funktionen, begeisternder Innovationen und das faszinierende, dynamische Design unserer Fahrzeuge.

Nicht zuletzt glauben wir, dass „Autos“ auch in Zukunft sehr viel mehr sein werden als ein Fortbewegungsmittel. Bei unseren Fahrzeugen geht es nicht allein ums Fahren – sie sind ein wesentlicher Teil unseres Lebens.

Wir verbinden unsere persönlichen Erfahrungen mit denen unserer Kunden, um ihre tägliche Mobilität einfacher und angenehmer zu machen. Indem wir jeden Tag aufs Neue darüber nachdenken, wie wir das Leben von Menschen innovativ und nachhaltig bereichern können. Eine anspruchsvolle Herausforderung, die für uns niemals abgeschlossen sein wird.

„Wir leben Autos“ – das ist unsere Leidenschaft, unser Engagement, unsere Liebe zum Detail, unser Verantwortungsbewusstsein, unser Ziel und, ja, unsere Zuversicht.

Das ist es, was uns ausmacht.
Opel. Wir leben Autos.

Here is the link: video

See for yourself and let me know what you think about this approach. Like it? Think its cheap? Not very credible? Open? Transparent? Outgoing?

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s.mueller

Ford not recognized as a German brand

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The drama about German automaker and GM subsidiary Opel is not only an advantage for rivaling automakers. Although profiting from consumer uncertainties by winning former Opel drivers, the worries and the public discourse about the future of the Opel brand also did harm Opel rivals. According to a current FAZ article, a central insight for Ford was that Opel not Ford is generally being perceived as the more German of the two brands. Thus it can be said that the Opel crisis also helped Opel to strengthen consumer loyalty and to interest patriotic Germans for their affordable vehicles. To Ford this poses a completely new marketing challenge. Still suffering from the image of producing conservative, emotionless cars, sympathy for Ford may have further decreased. But it should also be mentioned that in the US as well as in Germany, Ford’s management had taken early and wise measures to prepare for the current auto crisis. Thus a scenario similar to that of Opel would not seem credible (begging for givernmental aid,…). So Ford’s marketing challenge for the future will be to produce more emotional cars, such as the Insignia or new Astra and to improve its perceived ‚German-ness‘.
One consequence of the current auto crisis might be that that markets which formerly were a taboo are now considered attractive segments. Ford and even Fiat (together with Chrysler) are considering entering the US automobile market. The cause? Perhaps this will improve competition and contribute to the overall quality of US makes. Still today, these millions of cars American automakers are producing each year simply won’t sell anywhere but the US. Europe is simply much more advancaed and competitive. If this is the scale for US makes, then and only then, there is a chance that they will survive in the long run.

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s.mueller

Opel to change its claim – once again…

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Amidst all the confusion about the future of Opel, the marketing experts of Interbrand have been asked to develop a new claim for the shaken automaker Opel. According to today’s article on www.ftd.de, the new claim was inspired by the shirts Opel workers used to wear while protesting for a soon and satisfying concept for Opel. „We live cars“ may see its official debut at the IAA in Frankfurt which will open its gates on September, 17. The new claim is expected to be accompanied by a remake of the Opel Blitz brand mark.

I argue that claims should show the same consistency as the brand as a whole. Too many quick and not well thought of changes weaken a brand’s perception in the eyes of the consumer. In the ideal long-run marketing strategy all is in line: The logo, the claim and the values a product represents. BMW for example has only slightly changed its logo over the years, and for centuries, driving pleasure has remained the central element of any BMW communication. The same consistency can be found in their cars: Whether a 635 CSI, a 2002, or the latest X1, sportiness and pleasure are still central facets of the BMW brand.

To me personally, Opel represents German automobile history. Not in the negative sense. There is still a lot of sympathy for this brand. And in recent times, this has been paired with fair value and decent quality. With the Opel Insignia and the new Astra, asthetic design also returned, and paved the way for a new generation of Opels. Given, there will we one.

As it looks now, GM has discovered that within its corporation Opel is a diamond in the rough that might also lay the foundation for a GM future. But I am convinced many people at Opel are tired of the ignorant and self-aggrandizing GM managers…

The dream: Let Opel take over GM and clean up this American mess of a carmaker.

Link to the cited ftd article:
http://www.ftd.de/unternehmen/industrie/:markenauftritt-opel-mit-neuem-spruch-und-neuem-blitz/50006452.html

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s.mueller

DaimlerChrysler-Daimler+Fiat = Brand Confusion

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Chrysler’s New Ram Plan Poses Brand Jam

Posted by: David Kiley on September 07

dodge-ram-logo.jpg

Chrysler is potentially headed for a brand problem that will rival the pickle that GM is trying to extricate itself from.

Here is the deal. Chrysler has three main brands at the moment: Chrysler, Dodge and Jeep. But it has made it clear to the ad agencies pitching its ad account that it is splitting off its pickup truck and commercial vehicle business off to a new brand—Ram.

That’s right. Going forward, and as soon as Chrysler has the idea to run with, the pickup it sells now won’t be sold as Dodge Ram, but rather….Ram. Other vehicles that will come from the Fiat-Chrysler tie up in the commercial segment will also be called Ram.

So, now we are up to four brands to support. Now, add the Fiat 500, which will be sold as a Fiat when it arrives in Chrysler showrooms in 2011. And, don’t forget Alfa Romeo, which Fiat will sell through Chrysler distribution in key markets that make sense for the Italian sport car maker.

This seems like a lot of brand differentiation to manage and support by a company that has been poor at both.

As I look at auto sales numbers through August, I see a 9.2% market share for Chrysler spread among the three brands it has. That share is inevitably going to go down as the company pares models. Indeed, Merrill Lynch projects that Chrysler loses a whopping five to six points of share in the next four years unless it comes up with some product surprises from the Fiat alliance.

If you consider it likely that Fiat and Alfa-Romeo combine for less than 1 point of share, then you have five brands potentially carving up something between 4 and 6 points of share, and that is if the company over-achieves. Also…four brands at a single showroom, while we wait to see how the company sort out the distribution real estate for Alfa at Chrysler dealerships.

This goes to brand/distribution/marketing efficiency. Toyota has 16.5% of the market spread across three brands. GM has 16.7% of the market with the four brands it plans to go forward with—Chevy, Cadillac, Buick, GMC.

If Chrysler isn’t clever beyonid all expectations, it is going to have a brand jumble that will make people look to GM as a benchmark of brand/marketing efficiency.

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Source: businessweek.com

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