Automotive News Europe - February 2, 2009 - 5

February 2, 2009 www.autonewseurope.com · PAGE 5 Amsterdam revamps auto show as Barcelona, other events are in doubt Exhibiting rival cars together saves money, but automakers say it hurts brand message Wim Oude Weernink Automotive News Europe AMSTERDAM With its survival at stake, the auto show that takes place here in April will adopt a brave new format. Instead of giving each automaker its own stand, the organizers of Amsterdam RAI have created themed areas – specific areas for SUVs or convertibles, for example – where competitors’ cars are parked next to each other. But the idea already has been rejected by several major automakers as damaging to their brands. PSA/Peugeot-Citroen, Renault, Fiat and some Japanese carmakers including Honda and Nissan have said no to the concept. But other automakers see the sense in having a second-tier auto show use a cheaper cost structure in hard times. Major auto shows are struggling to justify their cost structures to automakers in the current poor economic climate. That means regional Illustration: Thinkubik, Amsterdam Molenschot estimates cost savings of as much as 70 percent over conventional show stands. The concept for the Amsterdam show focuses on a catwalk theater, which offers a rotating 15-minute performance of cars and fashion for an audience of up to 2,000. In surrounding halls, exhibitors will have areas themed for convertibles, SUVs and adventure, luxury and sports, family and travel, city and compact mobility, and green innovation. One exhibition hall is reserved for individual brand lounges. “We like the idea, and we believe in The Amsterdam auto show will park rival cars next to each other in themed areas. this concept because it is attractive for While the concept cuts costs, automakers lose the chance to have branded booths. the public,” said Jacques Geijsen, spokesman for Pon Group, Dutch disauto shows are having an even hard- pen again.” tributor for VW group brands and er time convincing automakers to atWith the show’s survival at stake, Porsche. tend. Barcelona’s show was on the the organizers invited all the bosses Other carmakers disagree. brink of cancellation at press time. of Dutch car distributors to suggest a “We think that our brand values will Amsterdam’s low-cost model could solution. not be strongly enough represented if become the benchmark for smaller our products stand next to our comThe 70 percent solution auto shows to survive. petitors’ models,” said Janet Richter, “One exhibitor after another (was spokeswoman for Renault Nederland. Building auto show stands takes 50 canceling) participation in the show,” Molenschot is surprised by the said Fernand Molenschot, automotive percent of an exhibitor’s auto show negative reaction. project manager for Amsterdam RAI. budget, which can be in excess of ¤1 He said: “In these cost-cutting “But if you cancel a show as a million per brand. By displaying ve- days, how can you turn down an idea ANE whole, you risk that it will never hap- hicles by type, rather than by brand, that saves 70 percent?” Spinning off Saab could be its best chance at life John Revill Automotive News Europe With sales plummeting, and parent General Motors distracted by its home-market woes, Saab’s best future is as a spun-off organization, dealers and company insiders said. But with no buyers in sight, the ability of the Swedish automaker to be truly autonomous is hampered. Spinning off Saab would allow it to return to its roots and speed up the introduction of urgently needed new models. It also could allow Saab to bring production back to its home Trollhättan factory in Sweden. GM wants to turn struggling Saab into a separate business, with control of its own finances and decisionmaking. GM’s cash burn makes it almost impossible for it to give Saab money to go it alone. “Saab is a brand that needs a lot of focus, it needs to be more authentic again” a GM source said. GM COO Fritz Henderson said the automaker is working with the Swedish government on a plan to help Saab. “We’re engaged with the Swedish government as we speak. We’ve talked to investors and we’ll see where it goes,” Henderson said. Uncertainty has surrounded the Swedish brand since GM put it under review in December. Gary Clay, head of the UK Saab dealers’ council, said Saab’s ownership situation needs to be resolved quickly. “From a dealer perspective it does not help to have uncertainty. It does not sound good to have a strategic review going on,” Clay said. He believes the best outcome would be if GM remained a strategic partner, with a new owner backed by the Swedish government. Dealers have suffered as Saab’s global sales fell 25 percent to 93,338 cars last year. “It is a miracle we have been able to sell as many cars as we have,” said Allesandro Zamperdi, CEO of the Zamperdi Commerciale Saab dealer- The 9-5 has not aged gracefully in its 12-year product life. ship in Brescia, Italy. Saab is a strong brand, but it needs a quicker flow of vehicle redesigns, Zamperdi said. The current Saab 9-5 has gone 12 years in its current iteration, as redesigns have been repeatedly delayed. Said Zamperdi: “It was always restyling and more restyling of the existing models without developing real new products.” Negotiations are under way to keep the next 9-5 at Trollhättan, rather than moving it to Opel’s plant in Rüsselsheim, Germany. Saab also wants the 9-3 cabriolet brought home from the Magna Steyr factory in Graz, Austria. Saab backers believe sales could eventually rise to 150,000 to 170,000 units – at which point the brand can ANE be self-sustaining. PSA opens Shanghai design studio Lawrence J. Speer Automotive News Europe BARCELONA PSA/Peugeot-Citroen has opened its first regionally dedicated design studio in Shanghai to adapt European models and develop new ones for the Chinese market. The locally-staffed styling studio marks the first time PSA has branched out from its design headquarters in Velizy, near Paris. The French carmaker operates a small design “antenna” in Sao Paulo, Brazil, but the Brazilian site is staffed by a rotating expatriate workforce and nowhere near as ambitious as the new Shanghai studio. The Chinese styling center launched in November 2008 with a staff of 20 locally recruited designers and three expatriates from PSA’s principal design studio, PSA director of styling Jean-Pierre Ploue told Automotive News Europe. The objective is to ensure that Peugeot and Citroen cars bearing a “Made in China” label conform to local tastes. PSA also is considering creation of a full studio in South America, which is one of its key non-European markets, and expected to be a site of major future growth, Ploue said. product plan, it seemed indispensable that we In China, the person who buys have a design center to the car is usually sitting in the simultaneously adapt back, because he has a driver European models and create new products Jean-Pierre Ploue , that are specifically PSA director of styling Chinese,” Ploue said at a press event here. The studio is also working on new na’s Dongfeng Motors since 1992. The color schemes and materials. Im- French carmaker’s China sales fell 12.7 proving interior comfort, particular- percent, to 180,800 units in 2008. ly in the back seat, is a key task. Ploue, who became PSA’s director “In China, the person who buys the of styling last October, after eight car is usually sitting in the back, be- years running Citroen’s design opercause he has a driver. So we have to ation, believes strong growth in the be sure that comfort elements like French carmaker’s Latin American cup holders or extra leg and head operations will soon merit a regional room migrate from the front seat to design site there as well. the back,” Ploue said. “With demand strong in the MerPSA has operated joint venture cosur region, tailoring design to local ANE manufacturing operations with Chi- tastes should be a priority.” Chinese like ‘perceived wealth’ The Shanghai design team has already begun adapting Citroen’s upper-medium C5 sedan for local production later this year. Designers will increase the use of external chrome, to add signs of “perceived wealth” to the car. “With PSA boosting the Asian

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Automotive News Europe - February 2, 2009

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