SAAB is an afterthought - Saab General Bulletin Board - Saabnet.com
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SAAB is an afterthought
Posted by PT (more from PT) on Wed, 16 Jul 2008 09:11:17
In Reply to: Re: OK, here's my informal poll question---, steve, Wed, 16 Jul 2008 08:12:46
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In the big picture of GM, in the US and everywhere else. The cars are fairly well integrated into the GM Europe design process, but I suspect that Opel would prefer if they didn't have to deal with the Swedes. The best GM could offer current SAAB buyers is Cadillac, and while Caddy has become more European in recent years, it's still considerably more expensive than SAAB, and I'd say the demographics of both groups of buyers are significantly different. I'd think GM would lose most of SAAB customers, if they sold or shuttered the brand. But, since SAAB has been losing money for years, consequently, GM has been losing money on those customers, so it doesn't matter how educated or affluent they are as a group, they still contribute negatively as a group to the bottom line. Most companies aren't too interested in retaining a customer group who over a sustained period (a decade!!! in this case) have not generated profit for the company. I do believe that if SAAB was run and marketed properly, it would be much more successful in both numbers of sales (in the US and elsewhere) and profitability. But, clearly, GM has no idea how to do this, so I don't think they are going to suddenly figure it out.
If SAAB is offloaded, I think it will have to go to someone with significant volume who doesn't have a presence in the near luxury market. 100,000-something units is not going to be viable as part of Tata. The major Japanese players already have their own luxury brands developed, VW has Audi, FIAT has Alfa and Lancia... I'd say the most likely buyers would be the French (Renault or PSA - none of them have a presence in the European luxury market) or the Koreans (Hyundai must salivate at the sort of margins that can be made per unit on a luxury car), or FIAT, if they wanted to use SAAB as a way of having a presence in America (I don't know if they care about that or not). I'm sure somebody would take SAAB for $1. If SAAB is sold to Hyundai, then I'm sure the core traditional buyer will be lost. But, if SAAB lost ALL their present customers, it could gain 500,000 new ones if the cars were marketed and sold effectively. Everything I've heard about Hyundai is their customer service and warranty is amazing, and the products appear to have got infinitely better. If SAAB was run like that, it would attract new customers like bears to honey.
posted by 71.248.16...
Posts in this Thread:
- OK, here's my informal poll question---, Bill H., Wed, 16 Jul 2008 07:56:39
- ok, in case anyone from GM reads this, John in Bismarck, Sat, 19 Jul 2008 09:09:46
- Am I the only one..., Caarma , Thu, 17 Jul 2008 13:27:57
- GM is probably not going to dump Saab but..., turrbo , Wed, 16 Jul 2008 20:13:21
- Can't think of a single GM vehicle that appeals, ursaw, Wed, 16 Jul 2008 18:49:40
- Most recent news is no dumping of Saab..., Scott Paterson , Wed, 16 Jul 2008 13:16:11
- Many other GM products to consider- Saturn, Cadillac, Caarma , Wed, 16 Jul 2008 12:13:33
- Nope, I would run very quickly to Audi., B Millar , Wed, 16 Jul 2008 11:34:12
- Consider another GM brand ?, JMJ in NC, Wed, 16 Jul 2008 10:45:27
- So many issues, so little time..., Noel, Wed, 16 Jul 2008 10:40:37
- Having bought 2, Mattias.se, Wed, 16 Jul 2008 10:35:26
- Re: OK, here's my informal poll question---, Seanster, Wed, 16 Jul 2008 10:30:26
- I wouldn't PUNISH GM for dropping SAAB, Aero'ed, Wed, 16 Jul 2008 09:52:48
- Re: OK, here's my informal poll question---, DE , Wed, 16 Jul 2008 09:51:38
- I would look at GM, but more at others., Mike in Anchorage, Wed, 16 Jul 2008 09:09:45
- Re: OK, here's my informal poll question---, steve, Wed, 16 Jul 2008 08:12:46
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