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My letter to the editors (long)
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Posted by MO [Email] (more from MO) on Wed, 20 Aug 2003 09:47:40 Share Post by Email
In Reply to: Saab article in today's Detroit News, nypb, Tue, 19 Aug 2003 12:39:33
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To Mr. Lienert and the editors:

In response to Mr. Lienert's question at the end of his August 19 article, I would bet on both companies.

The article makes some good points, but it misses a few important ones.

Volvo has always had a great marketing campaign that focuses on its safety, and Mr. Lienert is correct that it continues to enjoy a strong safety image. He is also correct that Saabs are as safe as Volvos: in fact, the Swedish insurance group Folksam rates the Saab 9-5 the safest car on the road, above any Volvo. Saab's marketing has not stressed that (or anything else, really), so it doesn't enjoy that appeal.

Many of the article's assertions about Saab miss the mark, though. First, to call the new 9-3 "Opel-based" clearly shows a lack of knowledge about the product. The Epsilon platform was designed to be used in all GM midsize cars. It is a modular system that allows many different types of components to be mated, creating a variety of car configurations. Opel, Saab, and GM North America were all very involved in the design of the platform. Yes, the first application was on an Opel, but that does not make the 9-3 Opel-based, any more than it makes the Opel Malibu-based.

Second, while I agree that the new 9-3 looks more mainstream than it's predecessor, the obvious reason for that is that it is no longer a hatchback. However, in keeping with its Scandinavian heritage, the lines are cleaner than any German, Japanese, or American competition. Many Saab styling cues, such as the high beltline, remain. Sure, it's a sedan, but it's a Saab sedan without a question. If you were to drop it into Saturn's or Buick's portfolio, it would so far outperform and outclass the rest of the lineup that it would stick out like a sore thumb, and tweaks to the grille and trim would be a pretty poor bandage.

Third, in discussing Saab's "bigger plans," Mr. Lienert misses some of the biggest of all. The new 9-3 convertible will be available this fall. Saab has been one of the leaders in the four-seat mid-luxury convertible market in the US since the first 900 convertible in the '80s. The new convertible promises to be as competitive as ever against its only true rivals, the BMW 3-convertible and the Audi A4 convertible. Yes, Volvo is getting into that market now, too, but the convertible is one area where Saab's brand image is far stronger than Volvo's.

Additionally, while Mr. Lienert mentions Volvo's upcoming Frankfurt introductions, he misses Saab's. Saab is introducing the "sport-hatch" concept, which is pretty clearly just an adaptation of the 9-3 wagon that will be added to the 9-3 line, and will probably form the basis for the crossover you mention. GM unable to fund development? Well, something is going to be there at Frankfurt next week, funded or not. And it will be Saab's third concept car in the last few years.

The fourth mistake is in the discussion of the 9-2 and 9-7. While the article's assessment of the 9-2 is correct, the theory is that Saab and Subaru will work together on the next generation 9-2, so that it will no longer be a simple re-badging and re-styling operation. Yes, in the short term, GM wants to boost Saab sales, but increased volume is not the sole long-term goal the article makes it out to be. The 9-7 will be based on the same platform as the TrailBlazer, but the word from Saab dealers who have seen it is that they were surprised by how different it will be from all of its GM siblings. Platform sharing is not inherently bad, and like it or not, it's a big part of the industry.

Mr. Lienert is correct about the Saab owner base being loyal. I am now driving my second Saab (a 1999 9-3), and I hope that it's not the last. However, Saab owners know that Saab could not continue as it was. Making niche automobiles (or, if you prefer, "distinctive and quirky") and selling them at competitive prices is a money-losing business model, and money-losing is exactly what Saab has been doing for the last 10 years.

GM is not managing Saab perfectly; I particularly find fault with the marketing efforts (or lack thereof). However, they are doing what is necessary to salvage the brand. Saab needs more volume, and in order to do that, it must make more mainstream cars. Once the company is healthy again, I'd love to see some more niche vehicles, based on the mainstream money-makers.

If Saab were continuing as before, I wouldn't put any money on it's future. However, it is now doing exactly what it needs to be doing to survive. What more can you ask?


Matt
'99 9³

posted by 12.101.2...


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