Automotive News - February 18, 2008 - (Page 6)

6 • FEBRUARY 18, 2008 Mazda ad agency hires VW and Mini creative whiz Mark Rechtin mrechtin@crain.com SAN FRANCISCO — Mazda’s North American advertising just received an additional dose of zoom-zoom. Rob Strasberg, the creative brains behind the Mini launch and the Volkswagen “Unpimp Your Auto” and “Safety” campaigns, has been hired as chief creative officer for Mazda’s agency, Doner Advertising. Strasberg comes from Crispin Porter + Bogusky, where he was creative director. He will start at Doner in March. Strasberg’s to-do list includes all Doner clients — such as Quaker State, Serta, Electrolux and Expedia. But Mazda represents 15 to 20 percent of Doner’s total budget, notes Tim Blett, president of Doner’s automotive division. “Rob is coming in at a good time because the brand has made headway and is poised to make a move,” Blett said in an interview at the National Automobile Dealers Association convention here. “He’s an all-star creative guy.” Mazda launched the zoom-zoom campaign in 2000 and has expressed no desire to move away from the theme. Its recent reliance on crossovers and SUVs for sales, however, might not mesh with the idea of building sporty cars. Doner’s Mazda business is based in Newport Beach, Calif. Strasberg will be based at corporate headquarters in suburban Detroit. c Mahindra to offer hybrids in U.S. Lindsay Chappell lchappell@crain.com Mahindra’s plan The U.S. distributor of Mahindra pickups and SUVs says March 2009 launch is on track. Pickups will be assembled in Ohio from kits. Diesel hybrid powertrains will be available on all vehicles in 2010. JOE WILSSENS SAN FRANCISCO — Global Vehicles USA Inc., which plans to distribute Indian-made pickups and SUVs, says it will offer hybrid diesel engines as an option on its U.S. vehicle line starting in 2010. Mahindra & Mahindra Ltd., the Mumbai, India, maker of four-cylinder diesel light trucks, has told Global Vehicles that it will offer a hybrid engine option on its products soon after the brand enters the United States in March 2009, said Global Vehicles CEO John Perez. Perez said the option will improve the trucks’ fuel efficiency 25 to 30 percent. Hybrids use an internal combustion engine and one or more electric motors to deliver power to the wheels. To sidestep a 25 percent U.S. tariff on imported pickups, Mahindra will assemble its pickups at a plant in Ohio, The Dodge Challenger SRT8 is part of Chrysler LLC’s lineup of limitededition, high-performance models. Perez said. An unidentified U.S. truckmaker will assemble the pickups from parts made in India. Global Vehicles officials envision annual sales of up to 100,000 pickups and SUVs. The Alpharetta, Ga., company met privately with its dealers last week at a hotel here during the National Automobile Dealers Association convention. Perez said 300 dealers have signed up to sell the Mahindra line. c Chrysler exec: Performance segment will survive Rick Kranz rkranz@crain.com IVA McGRAW Global Vehicles CEO John Perez, shown with a Mahindra Scorpio SUV, says Mahindra & Mahindra will offer a hybrid engine option on its products soon after they go on sale next year. He says the option will improve the trucks’ fuel efficiency 25 to 30 percent. Icy weather and perhaps boredom chill roadster sales What with the Arctic blasts and all, not many people were in the mood for buying open-top roadsters in January. That’s not unusual. Still, it was a particularly cold month for the three moderately priced twoseat convertibles on the market: the Mazda Miata, Saturn Sky and Pontiac Solstice. All three declined from January 2007. The overall segment (and by that we mean these three vehicles) was down 21.2 percent in January. It seems the niche is getting stale — just a couple of years after it was replenished. The Solstice debuted in the fall of 2005, about the same time the Miata was redesigned. The Sky, a stablemate of the Solstice, arrived in the spring of 2006. Winter blues Winter is no time to sell convertibles. But the past couple of months have been particularly tough for the trio of two-seaters that make up the moderately priced roadster segment. Running the numbers Sales took off for all three ragtops, but many pundits predicted at the time that they would all come down fairly quickly. They were right. Despite new versions and equipment, sales of the Solstice and Miata were down in 2007, and the Sky has been in decline since August. And things have been particularly nasty this winter. It seems the novelty is wearing off. c DEC. 07/JAN. 08 DEC. 06/JAN. 07 % CHANGE Mazda Miata Pontiac Solstice Saturn Sky Total 1,429 2,144 1,129 4,702 2,009 2,210 1,708 5,927 –28.9% –3.0% –33.9% –20.7% Miata Solstice Sky CHICAGO — Next decade, Chrysler LLC believes gearheads still will look for the fastest vehicles, even if gasoline prices climb and unconventional powertrains become mainstream. “The performance-enthusiast market will continue to exist in some shape or form, and we will want to satisfy that customer base,” said Kipp Owen, vice president of Chrysler’s Street and Racing Technology group. But Owen said at the Chicago Auto Show that the definition of a performance vehicle might change. “It might be defined as how big is the electric motor at each wheel,” he said. “A lot will depend on the voice of the customer.” SRT is the name given to the automaker’s limited-edition, high-performance models. Today, horsepower is part of the bragging rights. Next decade “maybe horsepower won’t be what’s so important to people. It (still) will be the 0-60 time and torque, (but) the generation of that torque may not be in traditional means,” Owen said. Automakers are wrestling with product and engine plans as each tries to meet the new corporate average fuel economy law. That law seeks to boost the overall fuel economy of cars and light trucks 40 percent by 2020, to an industry average of 35 mpg.c Jaguar: Dealers take 10,000 customer deposits for XF sedans Mark Rechtin mrechtin@crain.com SAN FRANCISCO — Jaguar Cars Ltd. has taken 10,000 customer deposits globally for the upcoming XF sedan, including about 3,000 in the United States. That’s a promising start. Jaguar executives say they released the figures to show the impact of the XF even without advertising or cars available to test drive. Instead, Jaguar has combined dealer training with posh customer-only events. The company put together a 21-city road show with a few demo XFs in tow, training entire dealerships at once. Dealerships then conducted events for loyal customers and luxury intenders. Ken Gorin, owner of The Collection in Miami, has 80 sold orders from holding two events, one at the dealership and another in the Miami Design District. “I sold 30 XFs the first night,” Gorin says. “I haven’t seen a reaction like that since the (Porsche) Boxster came out. When people hear that it’s $49,900 with a standard V-8, they say, ‘Sign me up.’ ” Jaguar’s XF sedan goes on sale March 10. Irma Elder, who owns four Jaguar stores in the Detroit area, hosted an owner-only event at the Fox Theatre and didn’t invite the media. She has about 50 sold orders in hand. The United Kingdom, Europe and North America will all begin selling the XF on March 10. The simultaneous launch is a first for Jaguar. It used to do regional rollouts, with the United States getting cars up to six months after Europe. But Jaguar has proved equal to the task, says Mike O’Driscoll, managing director of Jaguar Cars Ltd. Marketing also is different. TV commercials will continue in the vein of past “Gorgeous” ads. But Jaguar is returning to a more masculine stance with its print message. That includes running in magazines such as GQ, Rolling Stone, Esquire and Vanity Fair. c

Table of Contents Feed for the Digital Edition of Automotive News - February 18, 2008

Ford cuts equipment combinations on '09s Lenders shun subprime market Toyota dealers test satellite service centers Despite cost, more carmakers use laminated glass Merger produces turnaround firm Chrysler would shut to move Plastech work Jeep accessories: Mo' for Mopar Auctions: Repos are rising Automakers face more child safety rules Supplier Personnel Family-owned stores could be tough sell for consolidation What would lineup be with brands under single roof? Mercedes will pay $9.5 million to settle suit Beru revamps strategy to boost profits, growth Jaguar: Dealers take 10,000 customer deposits for XF sedans Chrysler exec: Performance segment will survive Mahindra to offer hybrids in U.S. Mazda ad agency hires VW and Mini creative whiz Icy weather and perhaps boredom chill roadster sales GM, Saturn: What's after Reynolds? Ford: Mid-sized model year for mid-sized cars Kia's new American boss: Let's boost sales Rolls gets sporty Luxury brands push to meet demand in Russia Dealer is makers' best voice in D.C. Get real, Kia, Hyundai Face it, Detroit: Trimming dealers will be expensive GM has confidence in the Chevy Volt It's no wonder auto sales are declining A workable idea: GM dealer buyouts It's deja vu again with reborn 2CV Nothing beats face to face There's a person behind that e-mail Buying cars online makes perfect sense Bush seeks to save 2008-11 CAFE rules Personnel Lear investor: No regrets about blocking buyout GM CFO is mum on more aid to Delphi Dealers Road to tomorrow is paved with plastics Council aims to keep Ford current on environmental issues VW ponders Phaeton's U.S. flop, may try again McGuffie is Covisint's president In hydrogen race, Mazda seeks quicker route Suit seeks to enforce title-washing remedy Suppliers to the 2008 Buick Enclave Mercedes, Audi warn dealers: No sales for export Sykora wants CAFE flexibility Minority dealers see tough times in 2008 Arlena Sawyers Toyota goal: Create stress-free store NADA's Taylor predicts 15.7 million U.S. sales this year Honda widens support for dealer ad groups Jay's jabs Survival 101: Get lean, work harder Microsoft will test dealership system Farley wants market-by-market sales strategy Entertaining the troops Report: Detroit 3 cutbacks curb rental-fleet sales Dilts: High interest rates hurt industry GM asks for dealer assistance on quality On the Record Fisker: We're close to making plug-in car J.D. Power exec: Internet leads are slipping away Minority auto group nears 2 deals Garmin makes navigation technology deal Tenneco wins Ford work B-P-G focuses on new product push Volvo offers cash to thin the herd Cadillac challenges dealers to boost sales Chevrolet can stay No. 1, if it will fight GM will push a green marketing message Saturn is expected to be GM's growth brand Certified used sales help Honda dealer profits Hummer counts on pickup to perk sales Mazda will boost marketing budget, unveil Mazda6 Saab dealers to get new vehicles Toyota wants even better customer loyalty Infiniti stresses profits and customer satisfaction Mitsubishi CEO sets tough U.S. sales goal Nissan exec: New models will boost per-store sales Suzuki dealers cheer return of incentives Ford to boost dealer margins Jag dealers anxiously await the XF Ford executives vague about Mercury future Subaru dealers want diesels, hybrids Acura upscale shift inspires 'great faith in the future' BMW readies national loaner-car program Land Rover: Future upbeat, unclear VW dealers get vehicles on wish list Chrysler dealers OK with consolidation plan Mercedes pushes dealership standards Porsche shrinks as luxury segment lapses Large Hyundai dealers get more room to roam Execs' exit stuns Kia dealers Ford recalls 180,000 trucks over door part, fuel hose GM posts massive loss; eyes N.A. profits by 2011 Big-truck sales fall 33.5% in Jan. WTO rips China's tariffs on imported auto parts Fiesta will rejoin the party in the U.S. UAW's Valentine to Delphi: Hands off our pensions Rx for dealership flux: NFL draft + Mideast bazaar Toyota gets the boot in Mexico Nissan triples female managers Silverado hits a million, rolls on

Automotive News - February 18, 2008

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