Will Porsche do themselves in?

[Perfectlap]

its easier to build 4 good cars than 9 good cars. But its also riskier to have a small product line. Sounds like the Porsche guys are changing their outlook and diversifying the risk.
Porsche has to be careful IMHO because the Porsche brand is exclusive. Even the Boxster at $50,000 is a very expensive car by what its main competitions can offer on paper. Introducing low cost cars or having sigificantly more cars on the road is going to cut into the 'exlcusivity' that appeals to so many new P-car buyers.

[MNBoxster]

Hi,

From my experience, Exclusivity seems to be much more important to Porsche Owners than just about any other group of Enthusiats, except maybe Ferrari Guys.

As I've said before, Badging means nothing to me at all. I owned my last Porsche in 1983 ('67 912). Since that time, I've owned 2 Lotus, a Jag, and one Ferarri. My Esprit is one of 61 made, that even more exclusive than the 550 Spyder!. I don't own it for that, I own it for how it drives!.

If I came across a car with the Styling, Performance and Feel of my Boxster, I wouldn't care if it sported a Yugo Badge, it would still be an Excellent Car, and one which I would want to own.

Porsche doesn't care if you want Exclusivity, you are not a Customer of theirs, you were, they already got your money. They're going after the guy who has yet to own one, and an Entry-Level Car is a way of accomplishing this. Besides, moving the Brand toward the Center of the Market allows them to expand their line into other types of Cars in the Future as well. And, who nows where the Porsche/VW relationship will go in the Future? It is already rumored that in addition to the 18.5% stake Porsche already has, that they're likely to pick-up another 3%-5% in '06. Consolidation is a mainstay in Business Strategies, so a move in this direction would not be at all surprising either.

All this Chicken Little - The Sky is Falling retoric is kind of Silly. A little Reality Check - Porsche is going to do whatever they think they need to in order to sell more cars and to increase their Shareholders Equity. That's what they're in business for, not to satisfy your demand for Exclusivity...

Happy Motoring!... Jim'99

[Perfectlap]

Yep Porsche and Ferrari have very exclusive image brands no point in arguing whether its a belief held only by its owners or the public at large or if its good thing or a bad thing but its definitely driving new and used sales. The same can be said about most first time Mercedes owners I've known over the years.


Actually I personally never really wanted a Porsche. I wanted a 944 back a long time ago because I thought the 944 had a modern look about it vs. the bettle-looking 911 which I always found to be boring back then. I was recently reprimanded by a female friend for driving "such a fancy car". I told her if I wanted a "fancy car" I would have bought a BMW or a Merc. I have a sports car not a "fancy car".

[rteichman]

Originally Posted by MNBoxster

Porsche doesn't care if you want Exclusivity, you are not a Customer of theirs, you were, they already got your money.

Actually they do care. Lets face it the people on this forum are not the "typical" Porsche buyer. The typical, American, buyer buys it for status and will no longer buy the car if it looses that status. They drive the cars in major cities, rarely seeing the open or back country road, and I doubt they ever come close to pushing the car to its limits. Just today I saw a yellow Lambo driving around DC. Do you REALLY think that person was driving the car because of its performance?

Rob

[Brucelee]

I will go back to one of my earlier comments.

Never overestimate the executive management of auto manufacturers. The industry's histroy is one of over-reaching, over-diversification, major product mistakes, strategic and tactical blunders.

Porsche management is not immune to this disease. In many ways, one COULD assert that the thought that their management team can turnaround VW is a major act of hubris.

Of course, VW management is not a tough act to follow, but Porsche mangement has been successful with three model types. That is fine, but it doesn't make them Toyota either.

Time will tell.

As Elmer Fudd would say, "be very quite, I'm hunting rabbits!

Originally Posted by Brucelee

As Elmer Fudd would say, "be very quite, I'm hunting rabbits!

Not exactly...I think he said..."I'm hunting wabbits"!!!

[Brucelee]

Originally Posted by bmussatti

Not exactly...I think he said..."I'm hunting wabbits"!!!

Actually you are correct!

Good one!

[Rail26]

I too, agree that Porsche does care about exclusivity. That is why they have not introduced the "Wagon S"!

[gRed04]

Originally Posted by MNBoxster

Hi,

Porsche doesn't care if you want Exclusivity, you are not a Customer of theirs, you were, they already got your money.

I would suspect that Porsche might disagree with your statement.

No manufacturer simply forgets or chooses to ignore someone ( let’s call this purchaser a “Customer” for the sake of it ) that has already bought a product and stays in business too long.

I would say Porsche very much considers anyone who has bought a car a “Customer”. Certainly they hope you will consider spending money again on another of their products. Certainly they count that you will frequent their dealer network spending on service and parts. In effect adding to the bottom line indirectly of purchasing another vehicle.

I sure they consider any current Porsche owner to be important if that “Customer” does nothing more then publicly display the product and answer questions from potential new car buyers.

Finally if they don’t care about marketing a exclusive product why not make cars that cost ¼ the cost of the boxster ( forget about performance and styling ) and just sell four times as many. The same net result relatively speaking, no?

I suspect that building a vehicle ( or line ) that have some very specific performance characteristics, characteristics not commonly found on other alternatives, is something that they have chosen deliberately. By definition this is a exclusive practice.

And a slogan like “There is no Substitute” … Smacks of exclusivity doesn’t it?