VW/Mercedes/BMW play catch up .... TESLA leads the Charge #CuLater #Doubleview #CASAminerals
DISRUPTION! ...
With EQ, Mercedes is directly taking on industry disrupt-er Tesla.
Tesla has pulled customers away from many automakers, but its appeal is especially strong for the high-ticket buyers associated with Mercedes and its luxury rivals. Tesla sold an estimated 28,800 top-of-the-line Model S sedans in 2017, more than triple the number of BMW 7-series sedans sold and nearly double the sales of the Mercedes-Benz S class. Both the Mercedes and BMW large cars are down significantly from their U.S. highs. 2018 4th Quarter results in the USA of Tesla's progress will be devastating to German manufacturers.
MERCEDES STRATEGY ...
By creating a separate EV line, Mercedes is making a conscious statement about its brand. The EQ sub-brand gives the automaker more control over the ecosystem that will surround its EVs and thus should allow Mercedes-Benz to better protect its customer experience. The EQ cars will ride on a separate architecture and have unique styling. The EQ portfolio will contain all future Mercedes EVs, plus associated products and services such as charging.
EVs FOR THE MASSES ...
Automakers are taking a variety of approaches to marketing the explosion of EVs in their pipelines. Some are sprinkling EV-only nameplates into their lineups, while others plan EV variants of existing nameplates. A handful are exploring the electric sub-brand route.
Volkswagen plans at least four full-electric models for the U.S. market starting with a crossover in 2020 based on the I.D. Crozz concept and followed by a production version of the I.D. Buzz, a modern take on the 1960s-era Microbus. I.D. is an electric sub-brand for Volkswagen-brand concepts based on the parent company's upcoming MEB electric platform, but that name isn't finalised, a Volkswagen spokesman said.
In the aftermath of its diesel emissions scandal, Volkswagen Group is investing $84 billion in its global Electrification push, and plans to use its massive global scale to bring the prices of its full-electric vehicles to a point where they will be on a par with those powered by internal combustion engines.
"We want to bring Electric Vehicles to millions, not just millionaires," says Hinrich Woebcken, CEO of Volkswagen Group of America.
DRIVE TIME ...
Educating consumers is a key theme to widespread deployment of EVs. Like Mercedes-Benz, rival BMW also is using experiential marketing to win customers over to its Electric offerings.
About 90 percent of BMW's five-city 2018 Ultimate Driving Experience, which heads to East Rutherford, N.J., this week, will be wrapped around Electrification, said Trudy Hardy, vice president of marketing for BMW of North America. The Ultimate Driving Experience is an annual nationwide event that gives consumers in select cities the chance to drive and learn more about BMW offerings.
"Electrification requires deeper storytelling — you need more than a 30-second commercial," Hardy said. "We'll get them behind the wheel and show them, from a power and performance side, what electric vehicles are capable of."
The Munich automaker had a much earlier jump on the EV market than many, launching its i electric sub-brand in 2013. In December, BMW celebrated the sale of its 100,000th Electrified Vehicle in 2017 by lighting its headquarters to look like a battery.
But BMW isn't separating its EVs as distinctly as Mercedes.
The current i3 EV and i8 plug-in hybrid may not continue past their current generations, though BMW plans to keep some vehicles — the i4 and iNext EVs are coming — under its i sub-brand. But BMW says it will make full-Electric versions of its core mainstream vehicles — an EV variant of the X3 crossover is coming in 2020.
RISKY BUSINESS ...
"It's a tricky situation for manufacturers," Hardy said. "We're all struggling with it and have different points of view on it. From a marketing perspective for me, the BMW brand is the heart and soul of our brand. As the majority of your vehicles have some type of Electrified future, you don't want to lose what is core and what represents the centre and heart and soul of BMW."
Tesla is currently outselling EVERY manufacturer of Luxury brands across the board in the USA. Tesla is also delivering their first shipment to China of Tesla 3's (3000 units) as well as building a Giga-Factory in China that will be operational in 2020. The Auto Industry has a lot of catching up to do to say the least.
Will the 2020'S be the TIPPING POINT for MAINSTREAM ADOPTION of EV"S ?