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The death of the automotive brand
February 23, 2005
When people used to complain that, “most cars look the same” they were usually referring to the lack of design and differentiation amongst car brands. Now this is sameness is becoming a reality, with global consolidation and the drive for greater economies of scale. Cars are starting to look the same as automotive manufacturers are sharing not just parts and ideas, but complete model lines across their brands.
One recipient of another brand’s models is Saab, who last year borrowed Subaru’s station wagon and put a new badge on it.
This year, Saab will launch an SUV, that’s basically a Chevy Trailblazer.
The demise of Saab’s brand soul is probably lamented in Sweden and among aficionados, but families looking for a deal on an SUV with 0% financing might find Saab an interesting and intriguing alternative and that’s probably what GM is thinking.
For GM, is it still about brands, brand equity and brand value? Or is it now about having a range of options by which to block your competition and offer alternatives to consumers? Branding an automobile needs investment in advertising and product development, and currently GM doesn’t have that money available for Saab.
The other thing about consolidation is that it allows you to share development ideas across lines even at the luxury end. Take Ford’s new Jaguar, that apparently used to be an Aston-Martin concept.
The global automakers are merely responding to the new economic realities. It’s not inconceivable to think, that in a short period of time. there will only be three global car brands with three models to choose from for each. Consumers will have the option to customize absolutely everything on the car to create “me-mobiles”.
In this new world of a billion possibilities, you will literally be what you drive, as the brand behind the car will be you.
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