face facts

[Pottree@domain.elided]

In a message dated 6/21/2002 12:46:41 PM Pacific Daylight Time, 
owner-alfa-digest@domain.elided writes:


> A lot of, say, doctors & lawyers 
> desire, MBs, BMWs, etc. as a function of peer aspiration, while there are a 
> 
> few who do not BUT...within that renegade group, a big chunk of those 
> choices will still be within the first "concentric  circle" that is to say, 
> 
> they may not drive a MB or BMW, but they will drive something that will not 
> 
> raise eyebrows within their peer group. They may roll around in, say, an 
> Audi or an Infiniti. This gives thenm the added fillip of being able to say 
> 
> "Yes, I am successful enough in my career that I could afford Car X, but I 
> choose to drive Car Y because I know something others don't or have 
> slightly 
> different priorities that the rest of my peers."
> 

Well, there is a kind of circular reasoning, but in a long ago galaxy I had 
to do a little research having to do with Mercedes in the USA and discovered 
that almost all of them (realm of 80%) are leased, not purchased, when new.  
Many people who are or can make a case to be independent or can otherwise 
justify itemizing their tax deductions (perhaps such as cosmetic surgeons or 
orthodontists, among others) are at least partly in the market for the most 
expensive lease car they can find so that they can benefit from the prestige 
and "fun" of tooling around in a car others drool after (or so they may 
believe) while at the same time garnering a healthy tax deduction.  I don't 
think this would work for something like a Diablo, but for a us$110k+ M-B or 
$90k BMW, nobody seems to bat an eye, so there is that to add into the 
equation.

LUCKILY, one of the best things Alfa may have going for it in the USA is GMAC 
which can make as much difference as a good creative ad campaign (not 
necessarily the extent of the media buy, though) by offering favorable lease 
terms.  That means GMAC could bite the bullet (if it can hide form 
shareholders) by dedciding by fiat (he-he) that an Alfa will depreciate like 
something worthwhile, a M-B, a Saab, a BMW, and will not be worthless before 
the first lease payment is banked; this is what can make all the difference!  


Add to that favorable terms, bulletproof warranty, a Lexus-class (yazz boss, 
we'll shampoo the glovebox and polish the shocks with an oil change for you 
free, of course, boss, plus GIVE you a latte when you come to pick it up and 
also clean your teeth and paint your house if you want!) service even if it's 
at a Caddy store, and GM has a lot it can contribute on the business side to 
make AR a success... without getting involved in the actual product AT ALL.

Plus, crunching all these numbers can keep them off the streets at night and 
out of trouble.

The US car market is shrinking.  You have to ask, what do people want a car 
FOR?  Then, address that.  You hope, for a specialty brand, with a unique 
message.  

Hint: a price sell is NOT a unique message and it is a fight AR can never, 
never win.

Charlie
LA, CA, USA
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