Category: Branding

By on April 8, 2011

MG has been building its 1995-era MGF (now MG TF) at its Longbridge, UK plant off and on since 2007, but it’s been a purely knock-down assembly affair, with kits being shipped in from Nanjing, China. But a new British-built MG is about to go into production since the brand was bought by Nanjing Auto in 2005 (Nanjing has since merged with SAIC). Called the MG6, the new compact sedan isn’t completely built at Longbridge (UK workers build and fit the engines, as well as installing the front suspension and subframe, exhaust system and electrics, but bodyshells are shipped from China), but it was designed and engineered at SAIC Motor’s European technical center in the Midlands.

Is that British enough for you?

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By on April 7, 2011

Earlier this week we learned that Saab can not pay its supplier bills until its Russian sugar daddy, Vladimir Antonov, gets Swedish government approval to buy into the company that owns it. Now, suppliers are speaking out, telling Automotive News [sub] that the brand and its owner, Spyker Cars, owes “tens of millions” of Swedish crowns (10m crowns equals about $1.6m). A representative of the Swedish suppliers association explains

There is a perception in the media that there are discussions on extended credit times and such. But it is not about that, it is about the fact that Saab must pay its bills. If they cannot sort out their financial situation, things look very bleak.

With a “desperate” hunt for investment underway, Saab’s only hope appears to be Antonov, who says he has $71.5m to invest, an amount that should cover the $4.7m+ supplier debts. Meanwhile, work at Trolhattan has been stopped for at least the rest of the week. But even if Antonov gets Swedish government approval to invest, another, equally dire problem appears to be materializing: a dispute over the use of the name “Saab.”

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By on April 6, 2011

The evolution of Subaru’s design (if, indeed evolution is the right word) is one of those topics that never ceases to draw the interest of the auto-obsessed. Unlike most mainstream car brands, Subaru created a hard-core fanbase on the strength of its unique greasy bits, specifically its distinctive commitment to boxer engines and AWD. In Subaru’s formative years on the market, wacky and ever-changing designs were something the fans learned to live with.

Now, however, with Subaru breaking into the mass market’s consciousness, its design is gradually becoming more consistent and more mainstream, a trend that this first shot of the 2012 Impreza seems unlikely to roll back. And with 36 highway MPG reportedly on tap for the next Impreza, Subaru is reeling in its fuel economy disadvantage as well. The only question: does each evolution towards consistency and mass appeal continue to alienate that fanbase? And if so, does it matter?

By on April 5, 2011


In celebration of Chevrolet’s approaching 100th birthday, GM’s global design boss Ed Welburn took a look back at the history of the brand’s design and picked ten models that he found to be the most significant and influential. His list has quite a few of the usual suspects (’55 Bel Air, ’63 Stingray) and a few curveballs (1989 C/K Pickup?) and, in my mind anyway, some significant omissions. Welburn’s list captures the scope of Chevy’s design history well, but I’m not convinced it’s the list that I would use to define Chevy’s design direction as it enters its second century. Hit the jump for his list, and then let us know what ten Chevy designs from the last hundred years you would look to as you guided the brand into its 21st Century future.
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By on April 5, 2011

According to Lexus

The LF-Gh, which stands for Lexus Future Grand Touring Hybrid, sets out to redefine the premium grand touring sedan. Through this exercise, the definition of L-Finesse, the marque’s design philosophy since 2001, has been refined and evolved to include a bolder, more distinct projection of what a luxury car could become in a modern world. The result is the LF-Gh concept, which conveys original thoughts and ideas that may migrate to future Lexus vehicles on a global scale.

From these teasers, it’s hard to tell what Lexus’s “spindle grille” actually looks like, but the brand says it “hints at the new face of Lexus vehicles.” If nothing else, Lexus seems to be diverging from its arch-conservative stylistic roots, a move that will be interesting to watch given Toyota’s history of success with a substance-over-style strategy.

By on April 5, 2011

Automotive News [sub] reports that Fiat is “weeks” away from concluding an agreement in which 90 percent of its Latin American dealers will sell Chrysler vehicles, triggering a government clause that will increase Fiat’s stake in Chrysler from 25% to 30%. Known as the “Non-Nafta Distribution Event” in the Chrysler operating agreement, it calls specifically for

execution by the Company of one or more franchise agreements covering in the aggregate at least ninety percent (90%) of the total Fiat Group Automobiles S.p.A. dealers in Latin America pursuant to which such dealers will carry Company products.

And that’s it. Why does it matter that this agreement isn’t any more specific? Because Fiat has no plans to sell any Chrysler Group brands anywhere. Products, yes. Brands, no.

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By on March 30, 2011

Bloomberg reports:

Designers and engineers are working on a version of the plug-in hybrid Opel Ampera, which was modeled after the Volt and scheduled for sale in Europe this year, with a Buick grille and front-end styling, said the people, who didn’t want to be named because the plans are private. The Buick version would begin sales in 2013 if it gets final approval, the people said.

In theory this is a brilliant plan. Since capacity constraints are limiting production right now, GM might as well get its profit while the early adopters are still in the market. On the “not so brilliant” side of the equation is the fact that the most basic Volt already costs upward of $40,000. At that price point, how will they possibly tempt buyers up into a rebadged Opel version of the same car? On the other hand, there’s no automaker in the world that manages to associate itself so consistently with flailing brand management as does GM. Case in point, the Saturn “Flextreme” concept of 2008 pictured above. Meanwhile, this comes as no news at all to our friends in China.

By on March 22, 2011

Chrysler is coming down hard on some of their Jeep dealers. The Monroe Dodge Superstore in Monroe, MI, just down the road from Toledo, wanted to celebrate the 70th anniversary of the Jeep. The first Willys-Overland Jeep was built 1941 at their plant in Toledo. The good folks at the Monroe Dodge Superstore thought hard about a good catchphrase. Then, the lightbulb went off. Presto, 600 T-shirts were printed, emblazoned with “Imported from Toledo.” They immediately heard from Chrysler. Not in a good way. Read More >

By on March 22, 2011

Renault has had quite a bit of success in recent years with its budget-brand Dacia, prompting Peugeot-Citroen to reach back into its bag of abandoned brands for a name to put behind its own low-cost car offerings. Having briefly considered the Talbot name, it seems that PSA has settled on something a little more modern and relevant to low-cost offerings: Simca. Which makes quite a bit of sense, if you think about it. Rather than naming a budget brand after the makers of hugely expensive pre-WWII luxury cars (a trick Chrysler tried once already with the Horizon), PSA can reference one of the most influential (if forgotten) small-car brands. At least, it can if it deals with that most modern of problems, the patent troll. AutoBild reports

Joachim W. “Simca” signed in September 2007 at the German Patent and Trademark Office as a trademark for the class “cars”. Then a cancellation request was made ​​- probably by Peugeot. The French made at least one attempt to register Simca on 2 June 2008, whereupon Joachim W. submitted an application for cancellation.

It’s not clear what claim Mr Simca might have on the name, as SIMCA stands for Société Industrielle de Mécanique et Carrosserie Automobile.

By on March 15, 2011

Volkswagen’s long flirtation with Fiat’s Alfa Romeo brand has hit a few obstacles recently, as Fiat CEO Sergio Marchionne has been adamant that he won’t sell its money-losing brand to his European rival, saying

As long as I am CEO of Chrysler and Fiat, Mr [Ferdinand] Piech will never have Alfa Romeo. It’s hands-off. I told him. I will call him and I will email him. I’m not the one who bought Seat. He’s the one who bought it. I don’t know if he can [fix it], but he needs to try.

Which, as Bertel has pointed out, is a harsh burn: after all, VW may not be “winning the future” with its “Spanish Pontiac,” but at least it rescued SEAT from a struggling Fiat in the early 1980s. And now Herr Piech doesn’t want to take no for an answer, telling Autocar that it would fix Alfa up quick-smart. How? The same way VW might sex up its Audi brand: by using Porsche engines. Yes, really…

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By on March 14, 2011


I know what you’re thinking: “What is a magazine publisher doing certifying pre-owned vehicles?” The answer: selling a lot of cars. Motor Trend’s Certified Pre-Owned (CPO) program, which certifies vehicles and dealers and offers some service features, sold more vehicles last year than Kia or Porsche’s in-house CPO programs, at 10,010 units sold. Which raises questions about both the nature of consumer demands and the efficacy of some of these OEM CPO programs. For one thing, it’s not at all clear why consumers seek out a new car magazine’s stamp of approval on a used car. After all, would you rather have your car certified by its manufacturer or by the magazine that picked the ’97 Malibu and 2002 Thunderbird as its Car Of The Year? Not that Motor Trend has anything to do with its eponymous CPO program, mind you, as that is operated by EasyCare. And that firm has some 2.6m current service contracts, a number that puts MT’s 10k units into perspective. But the real question here is how do CPO sales by brands like Porsche, Kia and Jaguar get beat by a magazine? Given that EasyCare also administers the official Volvo, Mazda, and Jaguar CPO programs, isn’t it a bit odd that the Motor Trend-branded program sells nearly as many cars (or, in the case of Jaguar, more)?

By on March 14, 2011

We’ve already seen BMW’s new smooth-and-sleek Six Series as a droptop, but is it possible that the design will gain back some of its Bangle-ian spizzarkle as a coupe? Don’t hold your breath. The new design has more old-world grace than the previous model, but as a result it looks like it’s trying a bit too hard to be a Jag or Maserati. Sure, both of those brands offer some of the most elegant touring options on the market, but isn’t BMW supposed to be just a little farther ahead of the curve than its “Olde Worlde” competition? Shouldn’t BMWs be just a little bit more architectural and a lot more coldly technical-looking? Still not sure? Hit the jump for some endless B-Roll and a gallery.
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By on March 12, 2011

Remember Pontiac? You know, the brand that “builds excitement.” And for all the advertising dollars GM spent over the years, trying to convince buyers that a Pontiac offered something that none of its other brands could, it turns out that quite a few former Pontiac owners have made the switch to Chevrolet and GMC. According to RL Polk

Looking at full-year 2010 data: the Pontiac brand saw 57,641 customers return to market and General Motors was able to recapture 53.3% of them. Historically through 2008, 60% of Pontiac owners have remained loyal to General Motors. In 2010, the loyalty rate fell to 47%, which represents a 13 percentage point decrease in overall General Motors loyalty. With the discontinuation of Pontiac: 33.5% defected to Chevrolet, 11.7% defected to GMC, 6.7% defected to Buick, and 1.5% defected to Cadillac.

Defections to other domestic corporations made up nearly 16% of owners. The Ford brand ranked 2nd in the conquest of Pontiac owners at 10.5%. Chrysler Corporation saw the Dodge brand ranked 9th, capturing 3.2%. Jeep and Chrysler combined were able to conquest 1.7%.

Defections to import makes were nearly 31%. Among the foreign automakers, Toyota was able to conquest 7.7% of Pontiac owners, while Honda was just behind capturing 7.5%.

Best and Brightest, I have to say this confuses me. How did over ten percent of GM’s “driving excitement” brand end up at the its truck brand (GMC)? How did over 14 percent of buyers replace the brand that brought us the GTO and G8 for the mainstream, thrill-free anonymity of Honda and Toyota? How on earth did Dodge, the remaining brand that most resembles Pontiac, only manage about 3%? You may have to let me down gently on this, B&B, but are automotive brands not as important as people make them out to be? Say it ain’t so!

By on March 11, 2011

Remember the Saturn Vue? The Theta-based crossover is known around the world as the Chevrolet Captiva (or Daewoo WinStorm… yes, really), and soon it will be known in the US as GM’s latest fleet queen. With some 86% of GM’s fleet sales last year coming from Chevy (about a 35% mix for the brand), GM is apparently trying to insulate its newer products from the fleet queen image, and as a result it’s decided to import the Captiva Sport from Mexico in order

to help satisfy growing demand for compact crossovers by fleet customers.

Keep in mind, this is not the latest Captiva to come out of GM-DAT, but rather the outgoing model that has been in production since 2006. But, according to GM’s release, this isn’t a weakness. Alan Batey, U.S. vice president, Chevrolet Sales and Service explains

It says a lot about our ability to draw on international programs and proven, quality crossovers that we were able to identify and federalize a strong new entrant such as Captiva Sport for the U.S. market. We turned to our global network for a solution to quickly meet the rising demand from local fleet customers and continue to meet strong retail demand for the Equinox.

And if this attitude seems shocking, it’s time to start getting used to it: GM is rumored to be planning this same strategy when it releases its updated Chevy Malibu next year. According to long-standing whispers, the outgoing model will continue to be produced as a fleet-oriented “Classic” model. Perhaps it’s time for GM to roll out a fleet-only brand?

By on March 11, 2011

Having struggled to launch and expand its Smart brand, Daimler might be forgiven for being a bit gunshy about investing in brands other than its globally-recognized Mercedes-Benz marque. And it seems the German outfit is currently agonizing over not just one but two big brand choices on the opposite ends of the automotive spectrum. First, Auto Motor und Sport reports that Daimler’s bosses are still undecided about the fate of the über-luxury Maybach brand, noting

“We have to do this year, because the model cycle is not endless,”  Daimler CEO Dieter Zetsche tells Auto Motor und Sport. Here, the decision is open, even though the Maybach models are profitable. “I hope for a positive decision as long as we can create the proper conditions. We have invested heavily in the brand, but that is past. On the other hand, we now enjoy a very attractive profit margin on a per-car basis.”

If there’s one major challenge facing Maybach, Zetsche admits, it’s European emissions standards. Which is where Daimler’s other branding problem comes in…

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