Feature on Renault Logan

Renault is shy about its cut-price retro model
By John Lichfield in Paris
25 September 2004
Psst! do you want a new car for the price of a second-hand? Made by people, not robots. The Paris "world motor show" opens today but the new "French" car that all the world's motor industry is talking about will be nowhere to be seen.
It is not exactly that Renault is ashamed of the "Logan"; even if it has the boxy look of a Warsaw Pact car circa 1988; even if it is a new car with something almost unheard of these days, a separate boot. Renault is, it insists, very proud of its "Frankenstein car", assembled from chunks of other proven Renault and Nissan designs and made by cheap labour in the old Dacia factory in Romania.
The idea of the Logan was to slam into reverse gear the decades-old trend in motor engineering, the race towards more and more electronic gadgets and higher performance at higher and higher cost. The Logan is a car with a 21st-century engine and chassis but bodywork, interior and extras stripped down to the 1950s or 1960s essentials.
The original idea was to sell the car exclusively in poorer industrial or developing countries, from Poland to Algeria, at €5,000 (£3,400) a time (less than half the cost of similar size cars, such as the Mégane). In Eastern Europe, in particular, it would replace the ageing Trabants and other former Soviet bloc cars, which are approaching the end of their lives.
This week, however, in response to popular demand from dealers and car magazines, Renault announced that it would also be selling the Logan in France and Germany from June next year and in Britain and other Western European countries soon afterwards.
There is still no place for the Logan in the Paris mondial, or world motor show, opening today, despite the fact that the first models began to roll off the assembly line near Bucharest a few days ago. Renault says that its decision to offer the Logan in Western Europe came too late to place a car in the show.
The suspicion is that Renault did not want its revolutionary idea to steal the limelight from its upmarket entrants.But the version sold in Western Europe will sell for €7,500 or roughly £5,000. Renault justifies the increased price by saying the "western" Logan will have extras such as power-steering, air-bags and air-brakes.
Renault says the niche for the Logan in Western Europe is as a "second car for second homes", or in competition with second-hand cars, or for those following a "down-sizing" trend against conspicuous consumption.

VW Passat use Direct Marketing to target prospects

LONDON - Volkswagen is targeting 85,000 potential prospects with a mail pack focusing on the new Passat Trendline to deliver prospect and test-drive leads to the retailer network. Created by Proximity London, the creative highlights why the Passat Trendline, VW's latest addition to the Passat range, represents excellent value for money.
It focuses on additional specification, including alloy wheels, multifunction steering and cruise control for £160 less than the current entry level model.The headline on the outer reads: "At first glance, it doesn't seem to add up."Once the pack is opened, the headline on the brochure states "£935 worth of extras for £160 less. You may want to check our sums", directly referencing the fact that the Trendline gives you even more specification than the current entry level Passat at a lower RRP.
The pack explains additional product features of the Trendline, detailing their individual cost, and a branded notepad and pencil are enclosed to encourage consumers to work out the savings for themselves. Details of the current finance offer are also included.
Prospects are encouraged to request a brochure or test drive through the inclusion of the 0800 telephone number, campaign specific web page and self-seal response coupon. All responses are incentivised with a prize draw to win a Sony Vaio laptop computer.
Heidi Cartledge, Volkswagen's communications manager, said: "Unlike most tactical automotive marketing, this work, created by Proximity London, cleverly demonstrates the Passat Trendline's affordability in an involving and dramatic way, without devaluing its premium position as a beautifully crafted car."

New Opel (Vauxhall) Tigra Viral

Opel is the latest automaker to get on the viral marketing bandwagon, distributing a 30-second spot on the web in hopes its slightly shocking ending will cause many people to pass it around prior to its television debut in Europe. McCann Erickson BCA Frankfurt produced the spot, and the U.K.'s DMC is helping distribute it through its "influencer network."

Via MarketingVox

Personalised Audi Film

This was a link sent to Sam Deutsch as part of a mailout this week. A short film showing technicians discovering a match between his DNA and the VDT of Audi. Vorsprung Durch Technik. In addition, people on the initial list were sent a personalised DM piece, but only if they clicked the link and saw the movie. So the DM was only mailed out to individuals receptive to an Audi message. The Perfect Match.

You can personalise the film to your own name...

See the film

New Canadian Cadillac STS site

Allows you to ask questions (but not very successfully)

Two US Mitsubishi campaign sites:

See what Happens

Feel What Happens

State of the Automotive Market online in the US


The Internet: A Weapon in the Battle for Automotive [Sales] Supremacy
By Grant W. Repsher, Contributing Editor AIADA
AIADA
There’s no question that the marketplace in which automobiles are bought and sold has forever been transformed by the advent and adoption of the Internet. As with other industries, information technology doesn’t represent a one-time phenomenon or trend, but rather an evolutionary change that is finding its way into even the most traditional areas.
While it has had a profound effect on procurement and internal communications, it’s origins in the automotive industry lie in basic marketing and promotion. Recent developments both on the manufacturer and consumer side provide good examples of how the Internet can influence the battle that is the modern car deal.
The Manufacturer: Online Campaigns

Most car companies have been very quick to develop and maintain Web sites displaying model information, comparisons, lifestyle profiles and so on, as well as various types of internal "Intranets" to assist employees, support supply chains and simplify numerous corporate functions. Still, the potential of Web-based advertising and promotion hasn’t yet been fully explored. We’ve seen some excellent demonstrations of online marketing already by auto companies like BMW North America, which merged advertising and film in its series of online movies called "The Hire," and Volvo Cars of North America, which promoted the launch of its S60 Sedan almost entirely online last summer.
With the recent follow-up campaign to last year’s See What Happens initiative, Mitsubishi Motors North America is illustrating that there are still more ways to utilize and leverage the Net. The company’s newest campaign, called Feel What Happens, is a clear attempt to focus on the touch-and-feel aspect of buying a car and promotes a countrywide test drive event in which consumers can drive and compare brands back to back. It includes a Web site and associated viral marketing plan, but that’s really only one component of a much larger machine that utilizes several traditional offline mediums as well. By communicating with consumers via numerous channels, Mitsubishi is managing to garner some serious attention.
It helps that the original campaign was launched during this year’s highly visible Super Bowl and left the viewer with a cliffhanger (literally) ending. The See What Happens campaign enticed some 8 million consumers to switch over to their computers and log on to the associated Web site to, yes, see what happens. Once there, in addition to seeing the ending of the TV commercial, potential customers were exposed to several links to Mitsubishi product information, brand comparisons, and so on. Should they wish to switch mediums yet again, they could click to contact a local dealer for a test drive or download a printable brochure.
Mitsubishi’s efforts are just one example of what manufacturers are doing to find the appropriate blend of traditional promotional tactics and modern methods of marketing.
But just as manufacturers use the Internet to arm themselves against their competitors, consumers also benefit from what it has to offer.
The Consumer: Kicking the Tires, Virtually
Where the process of buying a car is concerned, the importance of "tradition" is impossible to overlook. What would the experience be without the thrill of the test drive or the aroma of those new leather interiors? Without the emotion and excitement generated by a new car (or an overzealous salesman), purchasing a vehicle is no different from shopping around for the cheapest airline ticket online.
Still, consumers are turning their attention to the Internet to guide them through the car buying process, depending on it to empower them by providing fast and reliable information. A Nielsen/Net Ratings report published by the Center for Media Research shows that 8 out of the top 10 online automotive destinations are either marketplace information sites, such as Autobytel.com and eBay Motors, or buyer education portals like cars.com, Edmunds, and Kelley Blue Book.
But don’t assume that means dealerships don’t still play an essential role.
In a recent study it was revealed that 4 out of 5 shoppers conduct their research online, but a full 90 percent go to dealerships to dot their Is and cross their Ts in person. According to one survey by Web research firm DoubleClick, consumers said Web sites, online marketing, online advertising and e-mail significantly shape their purchasing decisions (the Internet as a whole was named a top-three influence), but that salespeople are their number one source for automotive information.
For most consumers, after all, the car purchase is the second largest family investment after a home. When you’re dishing out that kind of money you want human contact and the reassurance and consolation that only a test drive and personal inspection of your target vehicle can provide.
Or do you? If the actions of some progressive dealerships are any indication, consumers may, to a certain degree, be willing to give up the tangible, traditional car buying experience. One Michigan dealership, for example, is employing a new technology developed by SilkRoad Technology, Inc. and dubbed TrueLook. This system of Web cams was installed to allow car shoppers to remotely zoom in and browse vehicles on the lot…while on the Web. Want to see the interior? Simply call the dealership and a salesman will open the car door to provide a better view.
This technology may not deliver the sound of squealing tires or the smell of exhaust, but its one more way consumers are using the Internet to pre-qualify their purchases. It’s also a way that dealerships can get in on the Internet action too.
If the automotive marketplace is a battleground where dealerships are the foot soldiers in an army of manufacturers, and consumers are the opposition led by Kelley, Edmund and the rest of the merry men, then all can find ways to employ aspects of the Web to help them reign supreme. It will be interesting to see who will benefit the most.

From Lynette (Via CoolNews)


Digital Car Lots. Used cars are being bought and sold on the web "as
if they were beanie babies," as reported by Lisa Kalis and Dana White
in The New York Times. The web, in fact, has changed car-buying
behavior among some consumers in a rather significant way. "Online car
shopping and selling has made it possible for people to be a little
more cavalier about buying and selling cars," explains Chip Perry, ceo
of www.autotrader.com. "People are much more willing to buy and sell
on a regular basis as opposed to feeling like they're stuck with a
car."
That would be people like Joseph Mrak, "who has sold three cars in the
last four years ... through ads on a website called the Saab Network,"
www.saabnet.com. Mr. Mrak says that for him, buying a car is "an every
year occasion -- I have a short attention span." Yes, he's in
marketing. He also has got a handle on where the profits are:
"Five-speed manual cars sell very quickly," he says, "They're harder
to find." And his online infatuation is not really a quirk -- it's a
trend. According to a study released last month by J.D. Power &
Associates, "more people found their used cars on the Internet than
through newspaper ads: 11 percent for the Internet vs. 9 percent for
newspapers."
The trend has not gone unnoticed by eBay, of course, whose
www.ebaymotors.com is projected "to sell $9.8 billion worth of cars,
parts, boats motorcycles and other vehicles this year (Consumer
electronics ranked second at eBay, with a projected $2.5 billion in
total sales.)" Says Simon Rothman, global vp of eBay Motors: "It's
average people in average towns buying and selling average cars."
Interestingly, most of these sales are not local -- "75 percent of the
cars are sold to someone in another state," according to eBay. In any
case, Simon Rothman says he first recognized the potential of online
used car sales back in 1999, "when he was browsing the eBay site for
scale-model-die-cast cars and spotted a full-size Ferrari 355 for
sale. "People were trying to list real cars next to toy cars ... This
was a signal." Just like Beanie Babies, indeed: "plentiful, desirable
and easily accessible." And easily re-sold.

US Mini site turns Mini into a Transfermers style robot

You can even configure your own robot. Very clever, and a nice twist on the car configuration parts of car websites

Women becoming better at fixing cars

More women are becoming do-it-yourself car mechanics
by Betty Lin-Fisher
Knight Ridder Newspapers
SIX YEARS AGO, Katie Sipos of Norton, Ohio, didn't know how to change the oil in her car. But while serving in the U.S. Marine Corps, she took a six-week course on basic car care as the driver of a Humvee and a 5-ton truck. Sipos now changes her own oil, which she said is easy and cheaper than taking it to a professional.
But Sipos still knows her limits. She was shopping at the Advance Auto Parts store in Norton earlier this week looking for tools to give to a friend's husband who was going to replace a bumper on her Jeep. She estimated she'd save a few hundred dollars by having the friend replace the bumper instead of taking it to a shop.
Sipos is part of a growing number of female do-it-yourselfers when it comes to car care, according to the Automotive Aftermarket Industry Association. The trade group for products and services purchased after the original sale of a vehicle reports that 65 percent of do-it-yourselfers are women.
There's also a growing number of women who are making the decisions when it comes to car care, whether they do it themselves or take the car to a service station. According to the trade group, 83 percent of women are responsible for the maintenance of their vehicles, and 65 percent of do-it-for-me's, or people who take their cars to others to do the work, are women.
Rich White, vice president of marketing for the trade group, said in surveys women said their main reasons for taking on some of the car-care responsibilities was to save money and because they thought it would be easy to do.
Auto parts stores have also tried to make their stores more inviting, White said.
"Automotive parts stores are much cleaner and attractive, have a better variety of products and are doing a much better job of marketing to females," he said.
The after-care market, which includes replacement parts, accessories, service repairs and tools and equipment, was $244.6 billion in 2003, according to the trade group.
The industry has a consumer education campaign, called Be Car Care Aware, which is run by a nonprofit organization called the Car Care Council.
White, who is also executive director of the council, said the industry is working hard to educate consumers about good car care.
"The industry realizes that that's the secret to growing the marketplace. Making the whole automotive repair experience better and less intimidating is the way to go," he said.
At least one national chain auto parts store is trying to hone in on the growing female and male do-it-yourselfers.
Bryan Gregory was hired as manager of consumer education for Advance Auto Parts 15 months ago. The stores this summer debuted 128 brochures that show step-by-step instructions for many basic car-care activities, such as changing an air filter to how to change spark plugs. They also tackle what may be more moderate to difficult jobs for do-it-yourselfers, such as troubleshooting and maintaining air conditioning systems to changing brake rotors.
Many stores, including Advance Auto Parts and AutoZone, also offer free diagnostic tests to help consumers figure out what's wrong with their car and then buy the product at the store. For instance, you can bring your car in to check the battery and get a replacement.

Car Buyers Increasingly Research Online - US Study

J.D. Power and Associates Reports: Automotive Internet Users Increasingly Visit Manufacturer Web Sites First During the Shopping Process
Thursday September 9, 1:05 pm ET
WESTLAKE VILLAGE, Calif., Sept. 9 /PRNewswire/ -- While the majority of new-vehicle buyers who use the Internet continue to begin their vehicle shopping at an independent Web site, manufacturer sites are making significant inroads in attracting Internet shoppers, according to the J.D. Power and Associates 2004 New Autoshopper.com Study(SM) released today.
The study finds that 58 percent of automotive Internet users begin the new-vehicle shopping process at an independent site. However, 40 percent now begin by visiting a manufacturer's site-up significantly from 36 percent in 2003. Further, 39 percent of automotive Internet users rate manufacturer sites as most useful-up from 36 percent in 2003. Fifty-nine percent find independent sites most useful-a 3 percentage point drop from 2003.

"Manufacturer sites provide the most accurate information regarding their models, including detailed options and features information and trim-specific photos, which are particularly attractive to shoppers who have a specific brand or model in mind," said Dennis Galbraith, senior director of research for J.D. Power and Associates. "However, independent Web sites play a critical role in providing non-biased information, such as market-value pricing information, which is highly valuable to new-vehicle shoppers, yet lacking on manufacturer sites."
The most important content features automotive Internet shoppers look for online include dealer cost and invoice information, vehicle options and features, MSRP and reliability ratings. Trade-in value is a feature gaining significantly in importance.

The impact the Internet has on buying decisions continues to be high. Among all new-vehicle buyers, approximately 50 percent say their make/model decision and the price paid/offered were impacted by automotive information found on the Internet-up from about 40 percent in 2002. Twenty-two percent of all new-vehicle buyers also say the Internet impacted their choice of dealer -- up from 14 percent in 2002.

The study also finds several key automotive Internet usage patterns: --

The percentage of new-vehicle buyers who use the Internet in their
vehicle shopping process remains steady at 64 percent. The rate for
buyers 60 years of age and older shows a big increase to 47 percent-up
from 39 percent in 2003.
--
The Pacific and New England regions have the highest percentage of
automotive Internet users at 72 percent and 68 percent, respectively.
These rates are lowest in most of the central regions of the country at
59 percent.
--
Import brands continue to attract the highest proportion of buyers who
are automotive Internet users at 73 percent, compared to just 56
percent for domestic brands.
--
Automotive Internet users spend an average of 4.9 hours online shopping
for their new vehicle and visit seven different sites, on average.

The 2004 New Autoshopper.com Study is based on responses from 26,838 consumers who leased or purchased a new vehicle registered in January or February 2004.

Headquartered in Westlake Village, Calif., J.D. Power and Associates is an ISO 9001-registered global marketing information services firm operating in key business sectors including market research, forecasting, consulting, training and customer satisfaction. The firm's quality and satisfaction measurements are based on responses from millions of consumers annually. Media e-mail contact: michael.greywitt@jdpa.com or john.tews@jdpa.com

No advertising or other promotional use can be made of the information in this release without the express prior written consent of J.D. Power and Associates. www.jdpower.com CONTACT:
Michael Greywitt 805-418-8000, West Coast
John Tews 248-267-6800, East Coast

New US Audi site

Volvo Summer Check, promoted on their UK site


25 VITAL CHECKS FOR JUST £30
Sunglasses. Money. Packing. There’s so much to remember when you’re planning a long summer trip. And one thing you shouldn’t forget is to prepare your Volvo – with a Volvo Summer Check.
For just £30, your car gets a thorough 25 point inspection by expert Volvo technicians using specialist equipment, so you can relax secure in the knowledge that your car has been checked over before you embark on your summer motoring.
The Volvo Summer Check includes all the checks we undertake within Check and Clean, listed on the right, plus the summer additions listed below. The basic Check and Clean inspection is now available all year round and is designed to cover all those checks you know you should make every few weeks but never seem to find the time. Both checks are designed to make owning your Volvo a thoroughly relaxing experience.

US Start-up Provides Repairs Reminder Service

Service issues car repair reminders
OnStation e-mails intended to drive auto-related businesses
By Tim Simmers, BUSINESS WRITER
SAN MATEO-- EVEN GREASE MONKEYS are relying more on e-mail and cyberspace these days. That's why technology veteran Phillip Whalen's OnStation Corp., which helps auto repair shops and dealerships retain customers, is kicking into overdrive.
The San Mateo-based startup helps car repair outfits customize online messages aimed at getting customers back in the shop for service.
The technology takes customer data such as car mileage, recent repairs, date tires were purchased and last oil change, and delivers personalized e-mail messages to the customers when their cars need work.
U.S. auto shops and dealerships spend about $5 billion a year on marketing -- mostly on printing postcards, letters and notes, and sending them out to customers by snail mail. They have to fold the letters and stamp the envelopes. It's time-consuming and costly.
"We don't even have to think about it now, it just happens automatically," said Kris Cesena, part owner and chief financial officer of Honda Hospital, an independent repair shop in San Mateo. "It took a lot of time and manual labor to do marketing on our own."
Cesena was sending out reminder letters, but didn't receive the response she now gets from OnStation's $199 monthly service. That service is much cheaper than what Cesena used to spend doing it manually.
"We can help get loyal customers in more frequently," said Whalen, president and chief executive officer of OnStation.
Whalen said his company could be successful grabbing $50 million to $100 million of the annual $5 billion repair-shop marketing bill. An estimated $60 billion worth of annual service that manufacturers recommend on cars is not performed, he said.
The average person visits an auto repair shop 2.8 times a year, while manufacturers recommend four times a year, Whalen noted.
"It helps repair shops play offense, instead of being on the defensive in a tough economy," said Chris Hoffmann, an analyst with Tier 1 Research in Minneapolis. "These shops have to keep their wrench turners busy, and find the cheapest way to bring back customers."
Hoffmann said the repair shops are not very sophisticated, but will find what OnStation provides to be valuable.
He anticipates consolidation in the industry down the road, but believes OnStation has a good market niche. The company also could become an acquisition candidate for software firms such as Oracle, Siebel or Microsoft, Hoffmann said.
Another reason OnStation could be steering in the right direction is that the average U.S. car is eighth years old and has 100,000 miles on it.
Whalen's group not only tips off customers to what repairs are needed, but sends out thank you e-mail notices after cars are fixed. Since some people are skeptical of e-mail, OnStation also sends postcards out by regular mail as part of the service.
Whalen has served as an executive of E-Offering, E-Trade's online investment banking venture, as well as chief marketing officer at Wit SoundView, an investment banking firm acquired by E-Trade.
His OnStation was the first company in the field that will target 170,000 U.S. repair shops and dealerships to help on marketing.
OnStation has raised $7.5 million in two rounds of venture capital funding. New Enterprise Associates led one round and Horizon Venture led another.
The group also has signed a partnership with the Automotive Service Association, which means OnStation is an ASA preferred provider of online customer relationship management service for ASA's 12,000-member repair facilities nationwide. OnStation signed a similar partnership with AAA, in which all AAA apporoved repair shops can use OnStation's service.

New American Toyota Site

To support their 'Put In Play' event - a test drive tour appearing in 11.

Very funky site, with free-standing online games and descriptions of the differnt attractions at the live events - e.g. Dodgeball, Musical Chairs with cars etc.