Tuesday, September 1, 2009

Where should car manufacturers spend their money?

Audi announced a new logo. Honestly I wouldn't have noticed it probably, if I hadn't been made aware of it. You can certainly call this a subtle redesign. Regardless of the nature of the changes though, something like a new logo is a huge investment for any global company. Figures in the 3 digit million USD range are not uncommon for these projects. So is it worth it? And wouldn't the money be better spend in developing attractive prototypes or making cars less expensive? I think so. For the money spent for this new logo companies like Connaught probably could develop three new cars including new engines!


Sebastian Wohlrapp said...

I like the new logo. Imagine they would just always stick to the current one. How would your S4 look with this logo? https://www.audi-mediaservices.com/publish/ms/storage/default/fotos/epk/2009/09/01/AL090146.-bin.acq/qual-PhotoStorage.Single.GenImagePopupview/PopUp595_421AL090146_small.jpg

John L said...

I agree with you Bruno. Some bright marketing hot shot probably got paid a huge bonus for coming up with it as well.

Bruno von Rotz said...

I can see the point, that, from time to time, logos need to be refreshed. I just think, now is not a good time and that changes are very very subtle compared to the "auto union" logo mentioned by Sebastian.
I like marketing as well, as most know, but some of investments can be challenged from my point of view.
And, I could live with an S4 without logo ;-)

Sebastian Wohlrapp said...

Some more insights: GM removing their logo from their cars http://industry.bnet.com/auto/news-analysis/gm-drop-corporate-logo-vehicles/9140/.

Does anyone have an idea how many (over equipped) cars in Zurich come with out type label? I have a feeling we see quite a few S4 but most of them do not say "S4" on the back - Swiss understatement.

Bruno von Rotz said...

Type labels often are not shown on Swiss cars. Funny enough, typically the first owner doesn't like to show it, but the used-car-buyer prefers to have it on the car. I don't have any statistics, but I agree that lots of heavy engine and high end cars (e.g. Mercedes S500, C350, BMW 335i, BMW 545i, Audi S5, S4, S8, setc.) come without type label in Switzerland,