What Automaker's Need to Know About Their Customers

It's amazing to note how many automakers are losingcargo. It is also very slow. You would not want to drive
money simply because they have failed to understandit in any distance unless you have nothing else to do
the very basic thing about their buyers-and that is thewith your time. And oh if you are thinking of driving it to
very reason why people buy cars.say Paris to the Riviera or even on Europe's
There are two chief executives of General Motorssuperhighways you will only be frustrated. But in
that have wasted hundred of billions of dollarsfairness to Smart it is very easy to park unfortunately
because they failed to understand what theirparking is the least concern of buyers except in two
customers need. So why do people buy cars?cities, Paris and Rome. And in terms of its price,
It is a fact that purchasing and owning a vehicle is quiteEuropeans would probably choose to buy a small car
expensive. The average price for a new car range issuch as Volkswagen Polo instead. This vehicle is
more or less $30,000 quite expensive for the averageequipped with top-of-the-line auto parts such as
Joe with average salary. But why do people still insistVolkswagen axle and can accommodate four
on buying one? There are various reasons whypassengers plus stuffs. Volkswagen Polo is also a
people opt to purchase a car but above all it'sgreat car to travel anywhere you want to go.
because of the convenience factor derived fromSo why hasn't DaimlerChrysler stopped the production
owning one.of Smart as General Motors and Toyota has killed
With a car the usual one hour consumed in commutingtheir production of electric cars? Speculations have it
to work is cut say to 30 minutes. Plus, for parents withthat it's all about politics. It is said that killing the
kids, taking them to school becomes a simply matter.production of Smart would embarrass the Daimler
Traveling say from New York to Los Angeles andboard that approved the project and also the German
back is also made easy using a car. The long list ofoffice too. That is because the Smart plant is in France
benefits in owning a car is endless. So what is theand stopping the production would mean Germans
point I'm trying to derive here: people buy carsfiring Frenchmen in a high unemployment area. That is
because of the benefits that they get from thenot good for keeping foreign relations.
vehicles. When automakers try to subtract the thingsDoes this mean that General Motors latest electric car
that a vehicle can do they tend to lessen its value toconcept the plug-in Volt is doomed? Officially not yet
them.because of the very obvious reason--- it is still a
The Toyota Prius for instance is a successful type ofconcept and therefore it doesn't exist yet. The Volt as
hybrid because it provides the customers with benefitsexplained by General Motors will run on lithium-ion
that are expected of it. Although not really fast butbatteries and so far these are non-existent yet. When
who cares its not going to be used for racing anyway.they do come, General Motors says that the range
The important is its fast enough to get people toproblem will be solved by a small gasoline motor that
places they want to go to. It has a reasonable rangesupposedly will recharge the batteries when they
and can carry a reasonable load for a small car. Itsweaken.
actually priced high---$26,000 or so but its high fuelSince everything is a concept there is that possibility of
economy and unique shape make it a rolling billboardit working and well not working. But we'll just have to
for Toyota.wait for it. General Motors has not yet released any
Its not only American auto people who don'tstatement on how much the Volt will cost. At least the
understand even the leaders of Daimler in Germanybuying public will have something to look forward to.
have missed the whole point with the Smart. ThisThat is of course depends on whether the public finds
vehicle cost Daimler $5 billion or so losses. Although it isit worth their while.
true that Smart is cute but let us not forget the factAnd lastly it is very important for our automakers to
that very few buyers consider cuteness as a criteria inthink that if they want for customers to value their car
choosing a car unless of course your name is Paristhey need to boost its functionality and not just present
Hilton.vehicles in a beautiful package to excite customers
The Smart which I believed is inappropriately namedwhich later on will only be forgotten.
can seat only two people and doesn't offer space for