Exploring the Art & Science of Marketing
Finally, a decent response on Audi
If you’ve been following the Audi saga here at RussPage.net, you’ve noticed a lot of AudiWorld.com folks have little ability to make an intelligent comment that doesn’t end in some childish remark. We’ll I’m happy to report that someone named Travis has stepped up to the plate with an intelligent response, which is why I am publishing it in full in a post of it’s own.
While I am not endorsing or agreeing with everything Travis says, he’s getting some ink here because he stuck to the conversation at hand and made some very good comments that others may have tried to make but failed at doing so. He stuck to brand. He was the first (and only) person to step up and do so from that group.
Travis’ Great Points
- Audi’s standing and perception worldwide is very different from what it has been in North America.
- The S8 is not designed as a volume product.
- Back to the S8 specifically: I would suggest you try driving one before taking a shot from the peanut gallery.
==========
Russell -
If your article was intended to invoke a response, bravo, you have done a handsome job.
If, however, you were intending to make a thoughtful critique, you have failed miserably. I would recommend that you re-focus your comments to make it clear that you are referring to Audi’s *previous* reputation in North America alone, not in the rest of the world.
Audi’s standing and perception worldwide is very different from what it has been in North America. And outside of the automotive wonks, few people recognize the fact that Audi’s parent is Volkswagen.
Having said that, the S8, like the RS4, has been exceptionally well received in North America and the rest of the world. If memory serves me correctly, Audi NA sold out its allocation for 2007 several months ago, so I don’t think there is much concern on the vehicle not selling here.
The failure of the Phaeton in North America was quite distinct from Audi’s (success) with the A8 platform here. Audi has and continues to improve its standing in North America and has been able to sell the A8 and new S8 with little trouble. Volkswagen was attempting to launch itself into a product range approximately $30,000 and a whole caliber of client higher than they had ever done before. They lacked the advertising, the dealership support and service and the brand cachet to succeed in this. It was not the fault of the product, but the brand itself that failed to live up to the product, which in essence is a Bentley Continental for about $75,000 less.
Audi, on the other hand, has a premium moniker and reputation that continues to improve year upon year. They already have the service and support structure in place to cater to that clientele. This is one reason why the A8 has succeeded where the Phaeton failed. Audi’s premium reputation is far greater in the rest of the world than it is in North America, this is true. However, hop into the way back machine with me about 30 years and you’d find BMW in a similar position. As you should well know, building a brand takes a long time and Audi is doing that very well at the moment.
Back to the S8 specifically: I would suggest you try driving one before taking a shot from the peanut gallery. If you need more proof, please check the March 2007 issue of Automobile Magazine, which ranked the S8 well above the comprable Mercedes AMG and Masarati.
The S8 is not designed as a volume product, it is a specialty model for the elite – for those drivers who know about and respect the engineering and development work of the product. For those drivers who recognize a great product when it is crafted. And it will sell, in limited numbers as it was planned, to those people, just as the RS4, S6 and R8.
Were the S8 to be a volume product I would agree with you on your critique that it would not succeed, but it is a niche product. Having said that, your criticism of the brand is a hackneyed response based upon old perceptions of Audi. Ten years ago I would have agreed wholeheartedly, but I would recommend taking a look around today. You’ll find the landscape significantly changed.
| Print article | This entry was posted by Russ on February 9, 2007 at 10:18 am, and is filed under Branding, Business, Business Writing, Citizen Journalism, Citizen Marketing, Consultant, Consulting, Media Relations, Media Training, Public Relations, Salt Lake PR, Utah Marketing, Utah PR, Utah PR Firm, Utah Public Relations. Follow any responses to this post through RSS 2.0. You can leave a response or trackback from your own site. |
about 5 years ago
The best point he makes is that it’s doing well, if we can take him at his word there, which I’ll assume we can.
I also agree that if Audi’s strategy is to vault themselves to a higher level this might be the way to do it. His comparison to the BMW of three decades ago is not without merit.
And it’s certainly possible that Audi may have a different brand outside of North America.
Where I would take issue is his statement that your criticism is “based upon old perceptions of Audi.” True, Audi has come a long way since the 80s and early 90s. It was probably around 97-98 that Audi started creating a brand that was more upscale, but the S8 is at least as large of a leap from the current brand as the late 90s models were from their predecessors. While the perception of some may be that such a jump does not create a break between the brand of Audi today and the brand Audi wants to have tomorrow, it is at least arguable there may be a large portion of the population, in North America at least, for whom this transition will be hard to swallow mentally, at least initially.
about 5 years ago
Amen Josh.
about 5 years ago
I certainly agree with Travis’s points (and will try to ignore the fact that my initial response was deemed unintelligible), espeicaly when it comes to the difference in how Audi is perceived in the US vs the rest of the world.
As far as the “leap” goes in models, I would argue that Audi has been steadily building up for the last many years (even the S8 is not the top Audi model). They started with the A8 back in 97, a full FOUR years after the introduction in Europe. Then the A8-L in 2000, the first S8 in 2001, the RS6 in 2004, the new A8-L in 2004, and the $130k A8 W12 in in 2005.
I had an Audi S6 back in the late ’90s (a what??? was the typical respnse). In my immediate neighborhood there are now several A6s and A8s – all from the last 2 years. At least where I live (NW Suburbs of Chicago) the transition is being swalled line, hook and all – or whatever the expression is
about 5 years ago
Henrik –
Rest assured I went back and read your comment, and it was decent as well. I basically tossed aside even considering the ones that included childish remarks.