How carmakers finalize car specifications ! This is a story about ‘How carmakers finalize car specifications’. I don’t know whether it is true of false but thought it is worth sharing with you all guys.
Long back in 1970s or near about, a Japanese carmaker decided to explore the world market. Preliminary market surveys indicated that company had good chances in Germany, Saudi Arabia and the US.
Done, shiploads of car flooded in those markets but no sales!! Company got worried and then hired a marketing consultancy firm to find out the reasons and also to suggest some marketing strategies.
The agency sent its teams in the all three markets viz, Germany, Saudi Arabia and the US. Instead of asking routine questions, the interviewing team narrated a hypothetical scenario and asked only two questions.
“ Imagine you are in a boat in Pacific Ocean along with your wife, your mother and your son. Except you nobody can swim. A technical fault developed and boat started sinking. With only one life jacket, you could save only one person. To whom you would save: Wife, Mother or Son? And Why?
Results were interesting.
Majority of Germans told that they would save their son. The reason was:
“We need strong young Germans to take our beloved nation to its original glorious heights. I must save my son.”
Without a single exception all Arabs said they would save their mother. Reasons: Mother is God to me, if I loose her I will never get another. So at any cost I will save my mother.
Almost every American was in favor of his wife.
Based on this feedback the agency advice the carmaker and soon that car marker achieved a massive success in a surprising shorter time span!
What that agency suggested to the carmaker? Read on.
Well, after the first survey, that agency conducted another round of survey, this time it was rather more focused. In Germany surveyor interviewed only German kids under 16 and still staying with their parents, in Saudi Arabia only Arab mothers were interviewed and in US only married women under the age group of 30-40 were interviewed. This time the questions were more or less standard survey type checking likes and dislikes regarding car’s features, specifications, shape, size, color, interiors and of course price!
Then the agency called Design engineers of that car maker, showed them the data and asked them to design three distinct set of car models targeted to German, Arab and US markets. Cars for Germany are to be based on what German kids wanted in their new car, cars meant for Arab market must be full of features that an Arab mother would like to see and American models must reflect features that a typical American house wife wants.
Car buying (at least in those days) was a major decision (probably second to housing in terms of investment and emotional attachment) and mostly it is a family decisions. When a prospective German / Arab / American family visits a car dealership each member will want a car based on his/her own likings and no single car will satisfy all of them.
The decision maker (mostly the husband) tends to give priority to a family member; he wants to please the most!
The first survey revealed that a German give more importance to his son, Arab puts his mother next to God and American would try to please their wife.
The second survey tells what German kids want, what Arab mothers wish and what features would impress a typical American housewife.
So after introduction of revised models in each of these markets, whenever a Germany family visited a car dealership, German kids saw these models specifically tailored to their liking and no doubt German kid jumped for it. Naturally a German father had no choice but to buy that car because his son liked it. Arab blindly bought what his mother indicate and American went by his wife’s choice.
No doubt that Japanese car brand become an overnight success.
When a carmaker introduces a product in a market, it is only after a lot of market research and after being in the business for decades, they do have an army of qualified engineers, better resources and financial muscles to carry out such extensive studies and market search.
All features, specifications , options and of course the pricing offered is always a best possible compromise given the target audience, usage pattern and price sensitivity.
People often comment on certain features and in some cases go extreme in bashing a car model.
For example:
Hyundai Santro (looks)
Maruti Baleno (tire size, rear end shape)
NHC (BHP, low ground clearance)
Do you think Carmakers have no brains not to see the things that, you, me and any Tom Dick and Harry can point out so easily? |