Tag: Branding

By on December 22, 2010

It’s been a tough 2010 for Saab, which is trying to survive on a $40k sedan, a bunch of holdover models and the promise of a Cadillac SRX clone (coming Spring 2011). Sure there are plans for future cars, but no money to develop them. Meanwhile Saab’s US sales are down 44 percent through November of this year, with only 4,371 units moved (3,721 of which were 9-3s). So with the Swedish government probably wondering why it helped keep the struggling automaker alive, it’s funding a transmission development program staffed by Saab engineers. Bloomberg reports:

Saab and Fouriertransform AB, the Swedish government’s venture-capital firm, will staff the company with about 50 engineers from Saab’s powertrain division… The venture, which will be formed at the start of 2011, will develop transmission systems, such as gearboxes, for Saab and other carmakers

Saab is already jointly developing electric AWD systems and drivetrains in a venture with the supplier American Axle, making the deal with Fouriertransform its second JV in the supplier realm. Analysts hail the move as “a move in the right direction,” and given the brand’s recent history of selling new cars (or lack thereof), it’s hard to disagree. These supplier-side deals are the most pragmatic moves Saab has made since being booted from the GM empire.

By on December 22, 2010

The team running Lotus’s turnaround doesn’t seem to mind being perceived as overambitious. The British outfit is developing an IndyCar engine, a family of V6 and V8 engines for its road car, and is considering building an engine for F1… and that’s in addition to developing a modular platform (and everything else) for five different world-class performance luxury cars. And on a certain level, there’s nothing wrong with a little brashness, especially if the goal is to turn a tiny specialty marque into a Porsche-beater. But when it comes to announcing product, Lotus’s over-eagerness does real harm to the firm’s prospects. [Gallery after the jump]

(Read More…)

By on December 21, 2010

Japanese makers are jumping on the Made for China (or possibly Made for Export from China) trend that was started by GM with the Bao Jun.

Both Nissan and Honda are showing (allegedly) Made for China brands at the Guangzhou Auto Show. (Read More…)

By on December 20, 2010

There’s a strange rumor afoot, which traces back to mibz.com, and it goes a little something like this:

Fiat plans to introduce a European version of the Chrysler 200. But the model will be sold by Lancia, with the Fiat logo on the front grille.

It looks like Fiat is not sticking to their initial plans, saying they will sell the Chrysler models under the name of Lancia. Unofficial sources say that the New Chrysler 200C will be sold on the Old Continent under the Fiat logo and not Lancia, as was anticipated. The reason is relatively simple, but a fair one: the American brand is not able to match the quality and luxury level of Lancia, a brand seen by many as a premium competitor.

We’re not yet completely convinced by this rumor, which flies in the face of Fiat’s plans for a Lancia-Chrysler co-branding experiment. Still, if the facelifted Sebring, pardon, 200 isn’t “premium” enough to be a Lancia, is the 300 up to the task? To help you formulate an answer we present Chrysler’s latest dump of high-resolution pictures of the new Chrysler flagship.

By on December 20, 2010

Surf on over to dodge.co.uk, and you’ll find that the only vehicle being offered for sale is the Journey crossover. Look a little closer and you’ll find that Dodge has announced new electric vehicles, an online reminder of the embarrassing bailout-era ENVI project which has since been expunged from Chrysler’s corporate history. Given this sorry state of affairs, is it any wonder that Dodge is getting the heck out of Dodge, er, Old Blighty?
(Read More…)

By on December 18, 2010

Lotus has approved its Emas city car concept for production in 2013, giving the sportscar firm an in-house competitor to Aston Martin’s Cygnet rebadge of the Toyota iQ. The extended-range electric car was first shown at the last Geneva auto show,  when our own Martin Schwoerer praised its “enormous’ interior space, and well-engineered packaging. The Emas uses Lotus’s three-cylinder range extender, mated to an electric drivetrain with a peak output of 75 kW (101 HP) and 206 lb-ft of torque, and will be the only non-performance vehicle in the Lotus range. But it won’t be the cheapest bit of Lotus-branded kit you’ll be able to buy when the brand relaunches, as the NYT reports

Lotus will also put its name on an array of quotidian objects like key fobs, cellphone holders and laptop bags, which a Lotus publicist described as “cool, high-end pieces that provide an entry level to the brand.”

But with so much emphasis being placed on turning Lotus into a “lifestyle brand,” there’s a major cloud hanging over the whole project: though Lotus is one of the quintessentially British brands, the firm says it will shift production to a supplier on the European continent (think Valmet and Magna-Steyr) if the British government doesn’t make with a £40m ($62m) Regional Growth Fund loan to support a new factory in Hethel. Which means that if the British government doesn’t take a huge gamble on a firm that even Bob Lutz thinks only has a 60 percent chance of success, Lotus will not only no longer be a true British brand, it won’t even build is own cars. But  should British taxpayers bankroll such a risky play at a luxury niche?

By on December 15, 2010

Lotus has perplexed and antagonized a number of auto enthusiasts by announcing its intent to expand beyond niche sportscars and become a global sport-luxe brand in the vein of Porsche and Ferrari. By announcing five future cars at once, Lotus made an audacious splash in the industry, and painted a giant target on its back. At the same time, Lotus’s initial plans called for the use of Toyota V8s and hybrid systems, leading some to wonder if Lotus was even being audacious enough. After all, assuming it could play with Porsche’s and Ferraris using only mass-market customer engines was somehow cravenly conservative to the point of being obnoxiously ballsy. Surely Lotus realizes that bespoke drivetrains are crucial to building a global sportscar brand? Well, apparently the Hethel boys didn’t get it… at least until their potential customers made an issue of it.

(Read More…)

By on December 14, 2010

When it comes to inside dirt on the happenings in Auburn Hills, Allpar tends to deliver the goods. Today they have what they say could be Dodge and Chrysler’s new marketing taglines, to wit:

  • Life is best when driven
  • Imported from Detroit

Of course, we must note that marketing is an irony-free zone. These slogans could just as easily be a practical joke as the real thing. After all, what right-thinking automotive marketer would not only associate its products with Motown, but do so in a way that actually reinforces the market’s preference for imports? Especially considering an Italian firm is paying said marketer’s salary. Say what you want about “Life is best when driven,” at worst it’s painlessly generic. “Imported From Detroit,” on the other hand, is the modern “Not Your Father’s Oldsmobile”: self-aware and self-destructive.

By on December 14, 2010

When “Maximum” Bob Lutz showed up on the advisory board at Lotus, we were hardly surprised about his choice of post-retirement projects. After all, Lotus is one of the most audacious (privately-funded) turnaround attempts in an industry that runs on turnarounds, and Lutz is the king of building automotive hype, fresh off of one of the most overexposed automotive projects in recent memory, the Chevy Volt. Besides, Lotus’s shot at an overnight leap from niche enthusiast brand to Ferrari and Porsche-rivaling juggernaut is so brazenly implausible, that Lutz actually lends credibility to the project. At least, he would do if he didn’t have that irrepressible knack for saying things like

People keep asking me if I’m sure the new plan will work, and of course I can’t guarantee that. It’s a risk. But I’m quite certain it stands a better chance than the Lotus status quo, which for sure would eventually lead this great brand into terminal decline

Lutz goes on to tell Autocar that Lotus’s billion dollar turnaround “a big gamble,” and admits that “a fair bit of showbiz” is driving Lotus’s quantum leap towards becoming a full-line sportscar and supercar maker. Does it sound like Lutz might have some mixed feelings about Lotus’s rush to trample its enthusiast credentials? More maximum mixed feelings below the fold.

(Read More…)

By on December 9, 2010

The Compass has long been Jeep’s answer to the Cadillac Cimarron, failing to live up to the brand’s ideals while simultaneously cannibalizing its platform-mate(s). But apparently the refreshed anti-Jeep is about to get a dose of Jeep’s signature marketing: Trail-Rated status. According to the rarely-wrong-about-these-kinds-of-things Allpar.com

the 2011 Jeep Compass with Freedom Drive II will be Trail-Rated, the first time a Compass has achieved that designation. To accomplish this, the Compass moved the rebound springs to the same architecture as the Grand Cherokee, and raised the height by one inch for models with Freedom Drive II.

And if a Patriot can be “Trail-Rated,” why not a Compass? On second thought, why invest in a new Compass at all, Trail-Rated or not? Either way, we’re tits-deep in irony considering Dodge’s Ralph Gilles recently “revealed” that Dodge’s outgoing models all rode higher than the competition, and that

Lowering the car looks better. It looks a little bit smarter. It handles better. And more important is the fuel economy

Or, as Ripley doubtless said with his dying breath, not.

By on December 9, 2010

It’s a strange question to ask, considering that Hyundai is already selling the Genesis and Equus luxury sedans, but apparently Hyundai decided to bring out the cars before launching a brand. According to the Wall Street Journal

There are three branding scenarios under consideration. The most likely is to create a subbrand called “Genesis,” and sell the models under the same dealership roof as Hyundai but in a separate part of the showroom, possibly with dedicated salespeople, said John Krafcik, the president of Hyundai Motor America.

The other scenarios are to keep the premium cars badged as Hyundais, or—in the most ambitious move—spin off the brand into separate dealer facilities, much like Lexus or Honda Motor Co.’s Acura

Those are the options, but for a little more context, let’s check in with Hyundai USA boss John Krafcik…

(Read More…)

By on December 7, 2010

When we asked TTAC’s Best And Brightest whether Chevy should stick with the “Aveo” nameplate for its new subcompact offering or move in a new direction, only a few seemed to believe that “Aveo” carries much equity at this point. But then, it’s not like Chevy has a lot of small-car “heritage” to draw on… Sprint, Vega, Monza and Citation all have their obvious limitations. The B&B’s debate was typically dynamic, but it seems that this discussion has gone back and forth at the RenCen as well. GMI reports:

GM has struggled with the Aveo’s name for the last two years. According to sources former U.S. marketing chief Mark LaNeve originally wanted to rename the Aveo to “Viva.” Then–following GM’s bankruptcy filing last year–Bob Lutz ordered the Aveo name to stay put…

The lackluster image of the current Aveo has left GM’s new marketing chief, Joel Ewanick, to conclude that the car needs to be renamed. Although GM has not formally announced the new name, GMI sources are stating that GM has signed off on the name “Chevrolet Sonic.”

According to U.S. Trademark records General Motors LLC filed for a trademark on the name “Chevrolet Sonic” on October 5th.

By on December 6, 2010

Infiniti recently got into the in-house tuning game, by rolling out the Infiniti Performance Line as an answer to Lexus’s F line, Audi’s S line, BMW’s M line and Mercedes’ AMG-tuned hot rods. Nissan’s luxury brand may have been a bit late to the profit-puffing game of performance sub-branding, but better late than never, right? Maybe not. Now that Renault/Nissan and Daimler have hooked up to share engines and architectures, it seems that the alliance is considering making AMG power available to Nissan’s luxury brand. Citing “sources in Japan,” Autocar reports that

Infiniti’s hot models could carry ‘Powered by AMG’ badges as part of Nissan’s recent tie-up with the Daimler group…

One powerplant on the shortlist is Mercedes’ forthcoming turbocharged 3.5-litre V6. It would replace Nissan’s venerable 3.7-litre unit in Infiniti’s G range and could be tweaked to produce up to 400bhp.

Sources say the IPL version of the M, Infiniti’s 5-series rival, could end up using AMG’s 6.2-litre V8 — and be priced north of £60,000. That would allow the M IPL to undercut the E63 AMG but rival Jaguar’s XFR on price.

But will the exclusivity of Affalterbach-tuned Mercedes models be hurt by sharing engines with Infinitis? Would the damage be the same if Infinitis got the engines but not the badges? After all, the VQ V6 is hardly exclusive to the G Series, and a switch to a Mercedes engine could impact on everything from the Nissan Z to the Infiniti FX35… unless the Infiniti is willing to alter the IPL-spec G37 to be the only Mercedes-powered G. In short, the challenges of what Infinitis to offer with AMG engines are nearly as great as the challenges Mercedes will have to face by losing the exclusivity of its AMG engines. After all, it’s one thing to sell AMG engines to a supercar firm like Pagani, but an upstart Japanese luxury brand doesn’t offer the same brand-halo benefits. Should Daimler let this happen, or should the AMG badge and engines stay exclusive to tuned Mercedes models?

By on December 6, 2010

From Germany to China, and from Brazil to Korea, TTAC’s staff spans the globe to bring you the best automotive content on the web. What we don’t have, however, is a staffer in France, so we can’t tell you exactly what is going on in this video promo for the forthcoming Mercedes SLK. What we can tell you is that we never expected a Mercedes to be sold using French sensuality. It just goes to show that you never know what to expect…

By on December 6, 2010

Hyundai has been working its way out of the low-cost, low-quality basement for some time now, but even with the introduction of its Genesis luxury sedan, the brand has maintained a certain amount of working-class value appeal. That image has served Hyundai well over the last several years, when an economic downturn has sent record numbers of customers to Hyundai dealerships in search of a deal. But with a new upscale-looking design language transforming solid but uninspired offerings like the Sonata into memorable designs, Hyundai wasn’t likely to remain the scrappy, more-for-your-money underdog forever. And sure enough, Hyundai tells Automotive News [sub] that it’s getting away from the solid values of quality and practicality, and moving into the tenuous world of “premium” brand placement. Executive Vice President for global marketing Cho Won Hong explains

In the past 10 years, we have been very successful in building an image for quality. From now on, our direction will be defined as new premium or modern premium. We have been doing quite well in building good functional quality. But we still have some room to improve our emotional quality, and that is related to our brand strategy. That’s why we set modern premium as the brand direction for the next five to 10 years

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