Based on these teasers for Dodge’s much-anticipated 60-second Super Bowl ad, we’d have to say they’re still working it out. One thing is for certain: if the point of spinning off the Ram brand was to broaden Dodge’s appeal, the new ad wizards aren’t trying hard enough. The ad above, like most of the latest tranche of Dodge ads, is from the old-school, knuckle-dragging, truck-alike, gender-role-based marketing school. In short, the new Dodge is nothing new…
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It’s been a looooong wait and lots of nail biting for Saab employees and Saab enthusiasts around the world, but GM and Spyker have reached a preliminary agreement on a Saab sale. The deal includes amongst other things the rights to the Saab brand of course, the Trollhättan production facilities (which was important to Spyker – more on that in a bit), the rights to produce and sell the existing 9-3’s, the new 9-5 and 9-4x models. Former Saab CEO Jan-Åke Jonsson, who was let go when the liqudation of Saab started, will be reinstated as CEO. He, and Spykers CEO Victor Muller have been named the heroes of this deal – Jonsson for his endurance and stamina “He didn’t walk out the back-door as liquidation started – instead he started nightly negotiations, writes Aftonbladet.se in a tribute to Jonssons’ role. And Spyker’s Muller’s charm and persistence have also been mentioned as a crucial part in securing Saab from GM.
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David Smith, CEO of Jaguar Land Rover has left the company for reasons that JLR and parent firm Tata refuse to elaborate upon beyond telling the Beeb that Smith’s departure is “not linked to the recent breakdown of talks with unions over pay and pensions.” Since the sale to Tata, Jaguar has been negotiating a two-tier wage system and pension reform with workers at its four British plants, but talks stumbled to a halt just days ago. So, that’s definitely not why Smith left suddenly.
At the end of an excellent comment on the recent 1989 Camaro RS Curbside Classic, commenter carnick noted:
I remember reading an article at the time which interviewed both Roger Smith, and Toyoda-san, the head of Toyota at the time. Each was asked, ‘is your company in business to make cars, or to make money’? Smith answered, ‘of course, we are in business to make money’. Toyoda answered, ‘we are in business to make cars, and by making the best cars in the world, we will make money’. While Toyota has had its problems lately (they caught some GM virus), I think the general path both of those companies have taken over the past 30 years shows which strategy works best.
This is fantastic encapsulation of the different directions GM and Toyota have been heading over the past several decades, but it’s also a warning sign for Toyota. The company that rose to the top of the global auto industry by virtue of a laser-like focus on cars themselves is facing a flood of recalls and perceptions of declining quality… and it’s just come out with a PR website called “Toyota Beyond Cars.” Coincidence?
Chrysler/Fiat CEO Sergio Marchionne has a handful of brand management on his plate, as he aligns his two firms for the future. Merging Lancia and Chrysler was an obvious move; creating one full-line brand (albeit with different names from market to market) is a lot better than trying to keep two distinct brands, although even with their powers combined, Chrysler/Lancia is going to have an uphill struggle. With Lancia “taken care of,” the biggest problem on Fiat’s plate is Alfa Romeo, which has reportedly lost €200m-€400m per year for the last decade.
The extent to which Honda has lost its mojo has been a hot topic in these pages of late. Though the big H has stumbled with Acura, hybrids, design and other crucial areas, one major positive seems to persist: the strength of the Honda name. Which is why it’s so strange to read Bloomberg report that Honda will launch a new brand in China next year. The new brand, named Li Nian meaning “ideal” or “spirit”, will be used for Honda’s new sub-Fit small car, designed to take advantage of China’s reduced tax on engines smaller than 1.6 liters.
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“In Europe, Lancia is an undersized, underdeveloped brand, with nothing bigger than the Delta. Chrysler, which has a true global reach, has nothing smaller. Put them together and you have a full line-up,” is the short version of Sergio Marchionne’s plans for the Chrysler and Lancia brands. The surprising bit [via Autocar]: “we could see the two converge as early as the end of the year.” For Americans this means that some of the holes in Chrysler’s lineup could be plugged up by rebadged Lancias along the lines of the Delta shown at the Chrysler stand at the Detroit Auto Show. And hey, who are we to say no to all-new Chrysler products? Goodness knows the brand needs something new besides special edition lipstick on the same old pigs. There’s only one hitch…
Grand news for owners of 1999 model year and later Pontiacs! Buick-GMC GM Brian Sweeney tells Automotive News [sub] that “one of our most important tasks is keeping [Pontiac owners] in the database and keeping them as service customers until such a time that the Buick portfolio has developed fully.” The plan: send owners of 1999 model-year and later Pontiacs coupons for free tire rotations and oil changes. GM sales boss Susan Docherty has spoken about the importance of these “free agents,” or GM buyers orphaned by the cutting of their brands. As well she should: it’s more cost effective for any business to keep existing buyers than win over new ones. But is it free oil change easy? If GM thinks it can make Buick believers out of the jilted Pontiac faithful, what does it say about the cynicism with which it approaches branding? Once again, GM’s need to build lost Pontiac volume for the Buick-GMC dealer net leads to the willful suspension of common sense.
Does it seem like we were just discussing Chrysler’s brand confusion? Somehow the situation has gotten worse. Just as Chrysler dealers are starting to get their new Ram brand signage up, Ram CEO Fred Diaz Jr had to go and confuse everyone all over again about just what Ram means.
They’re still going to be saying they drive a Dodge Ram. We’re just going to be marketing it as a Ram without ‘Dodge’ in front. Once you explain to the consumer what you’re doing and why, they get it
Or not. Whatever. Ram trucks will continue to have Dodge VINs and will carry references to Dodge “somewhere” Diaz tells Automotive News [sub]. But don’t worry. According to Diaz, the Chrysler Group is “devising a plan that will give compelling missions for each brand.” You know, just in case things are still a little confusing.
The gist of Sweet Pete DeLorenzo’s argument is that Chrysler has to do something to remind Americans that they still exist. Given the Chrysler’s inability thus far to articulate a vision for the Dodge brand post-Ram, this makes a certain amount of sense. With a new, well-respected ad agency, Dodge could use the Super Bowl’s giant stage to get back on the buying public’s radar. The problem with the plan lies in the one question that DeLorenzo fails to answer: why bring buyers into Dodge showrooms if there’s nothing there?
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It’s been a widely-shared opinion among TTAC’s writers for some time that GM should have used its bailout and bankruptcy to cuts its brand portfolio to Chevrolet and Cadillac. We’ve already sussed out the negative side effects of trying to hold onto the Buick-GMC dealer net, the biggest of which is that without Pontiac, Buick is being forced into volume-chasing. With the debut of the Granite “Urban Utility Concept,” we’re seeing the same brand-diluting volume-hunting taking place at the “Professional Grade” brand. GM’s attempt to bring more youth and volume to its GMC brand is starting with a Youtube-heavy, family-oriented marketing campaign, pointing the way for the brand to betray its “Professional Grade” raison d’etre. But GM’s marketing plan for the Gamma (Aveo)-based Granite will be the final nail in the brand’s coffin. Because to save the brand, GM must destroy the brand.
Having divested much of its premium brand portfolio (Volvo, Jaguar, Land Rover, Aston Martin), Ford is missing out on luxury sales in growth markets like China. So it comes as no surprise that Automotive News [sub] would ask Ford President of the Americas Mark “MKF” Fields whether Ford’s Lincoln brand could go global. Fields’ reply?
Potentially, but we are focusing Lincoln here in North America for right now. We don’t have any plans at this point to take it global. That doesn’t mean in the future we wouldn’t look at that, but it’s very important for us to focus on North America.
According to the Detroit News, production of Hummer H3 and H3T models at its Shreveport, LA plant will stop on Monday, as the in-limbo brand watches its sales collapse. H3 and H3T models account for about a quarter of the Shreveport plant’s capacity, and Colorado and Canyon platformmates will continue to be produced. Meanwhile, the deal to sell the Hummer brand to Chinese firm Sichuan Tenzhong remains unconsummated, reportedly held up by the Chinese government. So when will Hummers go back into production? “When a sale is complete, once marketing kicks back in and there is new interest and enthusiasm, production will fire back up,” says a Hummer spokesman. In other words, never. It’s been a fun ride, Hummer. Thanks for the memories!
Oh, the sad saga of the Pontaic G8. GM finally built a vehicle worthy of Pontiac’s sporty pretensions, only to can the whole brand months later, leaving the G8 orphaned. Which was crummy for enthusiasts, but ultimately a good thing for GM’s business as G8s were assembled in Australia and shipped over to the US, bleeding profit margin all the way. Then came news that a G8-alike would be built in North America, but would only be marketed to police fleet buyers as a Caprice. “Insult to injury!” shrieked the slighted fans of V8 RWD sedans. What they didn’t realize was that GM was still in injury mode. For the real insult, we turn now to the Carpoint.com.au [via Jalopnik], which reports that consumers can still buy new Pontiac G8s. In Australia. Sort of.
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