RE: [alfa] Re: alfa-digest V9 #1157

["Brian Shorey" <bshorey@xxxxxxxxx>]

Since we're just 'bench marketing' here..

<snip>
> Positioning ALFA as a bargain-priced Ferrari would be a nonstarter, I'd
> guess.  For one thing, if it worked, it would cannibalize sales from
another
> division.  And, you would not likely find masses of Ferrari buyers who
would go for
> a cheaper car just to save money.  It would be prospecting for customers
in
> the wrong segment.

I'd disagree.  My point is that you're targeting the average Joe who wants a
Ferrari, but can't afford one.

> ALFA's USA target needs to be much bigger than the limited market for very

> expensive exotics, which themselves do only limited advertising and
marketing
> because the prestige of the brand, the exclusivity, and the showoff factor
can
> move (they hope) sufficient if limited volume.  It needs to be a segment
that
<snip>

And to me, this is *exactly* why you need to associate yourself with the
likes of Ferrari.  Ferrari has no real mass marketing advertising budget,
but everybody knows what it is.  The Ferrari brand is quite valuable, the
name recognition is very high.

I'm not saying you don't need an advertising budget to get people into the
showroom, I'm just saying it's easier (and cheaper) to get them there by
convincing them you're offering an affordable Ferrari than it is by trying
to convince them you're peddling a reliable Italian car.

On the subject of cannibalizing Ferrari sales, I don't think Alfa would take
a large bite out of them.  Maserati would seem to pose more of a threat of
doing that, and nobody at Ferrari seems too worried about that right now.
Ferrari has got waiting lists for most of it's cars, when they start sitting
around in showrooms it's time to introduce a new model.  I think they could
arguably cut production and raise prices a little bit, and they might even
stir up more desire for their cars (and pull up the desire for the bottom
market segment as well).

bs
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