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Yes, where ARE they from?
In a message dated 10/21/2002 5:40:30 PM Pacific Daylight Time,
owner-alfa-digest@domain.elided writes:
> The Mini is selling well, and yet no automobiles have a
> worse reputation, overall, than British cars in the USA (well, maybe
> the French).
I think the new Mini is seen as a cute little side dish from GERMANY'S BMW.
It is supported by an extensive (expensive) and quite smart marketing
campaign; where do they get the $$$ to do that? And, where do you buy one?
At a Vauxhall or Rover dealer?
It may not really and truly be the same, but to me it appears the new Mini is
a good parallel to the New Beetle, from a marketing POV. There is some
nostalgia in the sell, there is some pretty darn good new stuff, and they are
offering it from a source that is trusted by their market segment. I think
this is rather like the line of Levis cut for older (fatter) men. Relive
your youthful escapades in complete safety and comfort; more the fun, less
risk. Have the appearance of edge with all the comforts of home. Take
something that was once cutting edge and create updated packaging in that
vein for a basically new product to be sold by someone with enough bucks and
brains to buy the rights (or some lucky stiff who already holds them). This
was all started in the early 60s, by Doyle Dane Bernback, for VW, selling the
US baby boomers a car (let's face it) that was developed at Hitler's orders
as a bread and circuses measure for German workers in the 30s. That they
were so successful is breathtaking to this day. Do not think their lesson is
lost on people who really want to sell cars in the USA.
Coming home the day before yesterday, there was a new Mini in the driveway
across the street. Seems a couple had just gotten it and brought it over to
show our neighbors, and all four and their dog were out there taking pictures
of it and laughing about it. I hope they enjoy it and that it is a fine
automobile. But you could see they bought it because it is a trustworthy
novelty; on the outside, a little different, a little wacky, a little
nostalgic, but on the inside, it is like going to a chain restaurant: you
know what you're getting and you trust those selling it to you (within
reason) enough to spend the money. I learned a lot about this once upon a
time when I discovered a business secret: there are tens of millions of
Americans who will buy a pizza from a chain restaurant but not from a
pizzeria! There was even once that built a franchise with the strategy of
"the pizza for people who don't like pizza" (aka were afraid of something as
spicy and exotic -- your "home town" Pizza Hut, if you want to know).
Here's how I would gage how to estimate the market appeal of a new car in the
USA market: go to a couple of banks or leasing companies and get a quote on
leasing it. Find out what those "experts" (the ones with the stats) think it
will be worth in 24, 36, or 60 months. In 1991 (okay, it is not recently)
the lease on a new 164 was TWICE the monthly cost of a Honda Accord, which
was being dumped at almost the same price, because the bankers knew the
residual on the Honda would be pretty darn good at the end of the lease while
the Alfa would be virtually worthless on the open market because there was
nothing being done to build or sustain demand. The fact the Alfa was way
more car than the Honda didn't even begin to enter into the picture. This is
about vigorish.
And yes, George, I agree that no matter how bad the Italians have been at all
this stuff, the French have been even worse. At the present time, I think
there are no French cars being sold new in the USA. A few British cars are
selling pretty well in the premium and superpremium categories, especially
thanks to liberal injections of Ford money. [Funny note: coming back from the
dentist the other day in Beverly Hills, I came to a light and stopped
opposite TWO Rolls Royces next to each other, each one driven by a bejeweled
matron; where else do you find such traffic?] As for the Italians, you know
what they're selling and hoping and planning to sell.
Charlie
LA, CA, USA
Home of the sad realists
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