Johan de Nysschen just sent me an E-mail response re the allroads future...
03-01-2006, 08:19 AM
#1
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Johan de Nysschen just sent me an E-mail response re the allroads future...
I will reply to him, but wanted some feedback from the group. **edit**
The e-mail to me was CC to Filip Brabec Product Planning at AoA and Wolfgang Hoffmann the Director of Product Planning in Germany. SO we do have their attention...
Here it is a cut and paste
+++++++
Dear Mr. Bernstein,
Thank you very much for your letter. It is always very uplifting to receive letters from such passionate Audi enthusiasts as yourself. My team and I here in Auburn Hills are just the same in sharing this type of passion for Audi products and it's reassuring to know that there is such a great audience out there.
Now on to the questions around the allroad quattro. Please know that many of us share in your enthusiasm for this great vehicle. While the decision of bringing the successor model allroad has not been fully finalized, I must say that the outlook for its introduction to the US market is not positive. Bringing any new vehicle to our market is always a very complex issue, weighing various factors ranging from development and adaptation costs, volume potential, price positioning, product complexity and model proliferation, supply chain and logistic considerations, parts supply requirements and technical training requirements, launch and promotional requirements, etc. - not to mention overall vehicle marketability.
The costs associated with the introduction of a new model to the US market, as you may conclude from the above, are quite staggering. We must have a business case, and if it is not feasible, we can't introduce the car, no matter how painful the decision. The availability of the Audi Q7 does significantly impact the future volume potential of an allroad.We have decided upon a very aggressive launch pricing strategy for Q7- after all, we are new entrants to the market segment where we have to conquest many customers- while the allroad is based on the expensive A6 platform for which we have a more sustainable pricing strategy already established in the market. This will lead to serious price positioning conflict between the two cars.
Nevertheless, I assure you that we are always considering any and all opportunities in our market. What I can tell you at this moment is that we are reflecting on how to find a way to best meet the needs and expectations of allroad enthusiasts such as yourself. We understand your passion and wish to also further capitalize on the great design of the new Audi A6 Avant. I cannot, unfortunately, provide a definite answer as of yet, as we are in discussions with our partners at AUDI AG, looking at a range of alternative solutions.
One thing I do wish to state, however, is our view of the Q7. As the allroad, the Q7 marvels in handling and performance, as no other vehicle of such character does today. the Q7 also offers the adjustable air suspension that varies the vehicle height, ground clearance and comfort / sportiness levels. The Audi Q7 embodies progressive design and a variety of technology and convenience features, available 7- and 6-seater configurations and much more. I invite you to please take a closer look at that vehicle once its available at your dealer, as it may change your opinion - its a great driver's car.
I'd like to personally thank you again for your friendly correspondence and for sharing your passion. I ask that you please stay tuned for further announcements. Should you have additional comments, I would be delighted to hear from you again.
With my best regards,
Johan de Nysschen
The e-mail to me was CC to Filip Brabec Product Planning at AoA and Wolfgang Hoffmann the Director of Product Planning in Germany. SO we do have their attention...
Here it is a cut and paste
+++++++
Dear Mr. Bernstein,
Thank you very much for your letter. It is always very uplifting to receive letters from such passionate Audi enthusiasts as yourself. My team and I here in Auburn Hills are just the same in sharing this type of passion for Audi products and it's reassuring to know that there is such a great audience out there.
Now on to the questions around the allroad quattro. Please know that many of us share in your enthusiasm for this great vehicle. While the decision of bringing the successor model allroad has not been fully finalized, I must say that the outlook for its introduction to the US market is not positive. Bringing any new vehicle to our market is always a very complex issue, weighing various factors ranging from development and adaptation costs, volume potential, price positioning, product complexity and model proliferation, supply chain and logistic considerations, parts supply requirements and technical training requirements, launch and promotional requirements, etc. - not to mention overall vehicle marketability.
The costs associated with the introduction of a new model to the US market, as you may conclude from the above, are quite staggering. We must have a business case, and if it is not feasible, we can't introduce the car, no matter how painful the decision. The availability of the Audi Q7 does significantly impact the future volume potential of an allroad.We have decided upon a very aggressive launch pricing strategy for Q7- after all, we are new entrants to the market segment where we have to conquest many customers- while the allroad is based on the expensive A6 platform for which we have a more sustainable pricing strategy already established in the market. This will lead to serious price positioning conflict between the two cars.
Nevertheless, I assure you that we are always considering any and all opportunities in our market. What I can tell you at this moment is that we are reflecting on how to find a way to best meet the needs and expectations of allroad enthusiasts such as yourself. We understand your passion and wish to also further capitalize on the great design of the new Audi A6 Avant. I cannot, unfortunately, provide a definite answer as of yet, as we are in discussions with our partners at AUDI AG, looking at a range of alternative solutions.
One thing I do wish to state, however, is our view of the Q7. As the allroad, the Q7 marvels in handling and performance, as no other vehicle of such character does today. the Q7 also offers the adjustable air suspension that varies the vehicle height, ground clearance and comfort / sportiness levels. The Audi Q7 embodies progressive design and a variety of technology and convenience features, available 7- and 6-seater configurations and much more. I invite you to please take a closer look at that vehicle once its available at your dealer, as it may change your opinion - its a great driver's car.
I'd like to personally thank you again for your friendly correspondence and for sharing your passion. I ask that you please stay tuned for further announcements. Should you have additional comments, I would be delighted to hear from you again.
With my best regards,
Johan de Nysschen
03-01-2006, 08:29 AM
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Wow, that's pretty cool Paul, an actual letter instead of just a canned, form letter reply. Too bad
he's unwilling to just come out with it & say "No", which it seems to me is obviously the answer.
The best we can hope for now is that the market & shifting American tastes/sensibilities will see the Q7 to a quick death, leading to a reintroduction of the allroad to our shores.
The best we can hope for now is that the market & shifting American tastes/sensibilities will see the Q7 to a quick death, leading to a reintroduction of the allroad to our shores.
03-01-2006, 08:29 AM
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very nicely crafted reply...
Audi should make the allroad "the avant" for the A6 line and the standard car could be rep'd in the sedan.
What is the business case for the RS4 or new S6? The bottom line is that Audi feels the cay-Q7-reg is the vehicle that north america wants. Audi knows that Audi people would consider and purchase an allroad but the q7 is positioned to draw non-audi buyers.
I know you (we) know all this but it still frustrates me that such a specialized world has such generic choices in it.
What is the business case for the RS4 or new S6? The bottom line is that Audi feels the cay-Q7-reg is the vehicle that north america wants. Audi knows that Audi people would consider and purchase an allroad but the q7 is positioned to draw non-audi buyers.
I know you (we) know all this but it still frustrates me that such a specialized world has such generic choices in it.
03-01-2006, 08:38 AM
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All those words translate into one thing...
the bottom line. Audi wont' bring it in if they cant' make money. Sorry to sound so cynical. Don't get me wrong, I love my used allroad but there is NO way I would have bought this car new. For that kind of money I would have bought something better and nicer.
On the flip side, Audi needs to recognize the niche marckets. I love the allroad because of it's offroad capabilities and the fact that I don't need a step ladder to get my bike on the roof rack. I would have been all over a subaru outback if it was a bit larger and bit nicer. The Allroad is perfect for my current needs. Now if I can somehow squeeze in a set of K04's without my wife knowing, then I'll be set!!!
On the flip side, Audi needs to recognize the niche marckets. I love the allroad because of it's offroad capabilities and the fact that I don't need a step ladder to get my bike on the roof rack. I would have been all over a subaru outback if it was a bit larger and bit nicer. The Allroad is perfect for my current needs. Now if I can somehow squeeze in a set of K04's without my wife knowing, then I'll be set!!!
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03-01-2006, 08:43 AM
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Re: Johan de Nysschen just sent me an E-mail response re the allroads future...
Wow. Thats a pretty long letter. I thik he was being nice but I dont understand how he construes bringing the allroad over here as introducing a new model. Its already here-- unless I've been driving somethng else for the past three years? He kind of degenerates into business/marketing - speak in the first pargraph and right away you know the answer was no.
I think the boys at Audi will be lucky if they break even on their investment on the Q7. it is just the wrong time to START marketing a big thirsty suv. To their credit they only missed the boat by about 10 years.
Gee ...I wonder if they could come up with a smaller more fuel efficient wagon - perhaps with an adjustable suspension and the driving characteristics of a well-engineered sport sedan. It would be a great all-arounder and they could call it, um, the "all-purpose, all-conquering, A6 Avant with all this stuff in it for all those out there who think all SUV's suck, so we made this vehicle with all wheel drive and you can drive it on any and all roads." think it would fly?
I think the boys at Audi will be lucky if they break even on their investment on the Q7. it is just the wrong time to START marketing a big thirsty suv. To their credit they only missed the boat by about 10 years.
Gee ...I wonder if they could come up with a smaller more fuel efficient wagon - perhaps with an adjustable suspension and the driving characteristics of a well-engineered sport sedan. It would be a great all-arounder and they could call it, um, the "all-purpose, all-conquering, A6 Avant with all this stuff in it for all those out there who think all SUV's suck, so we made this vehicle with all wheel drive and you can drive it on any and all roads." think it would fly?
03-01-2006, 08:45 AM
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Audi was built on Niche markets..
The absense of the allroad is an American Market growing pain for Audi.
A GM or Ford could simply do it and market, sell and discount the hell out of it. But Audis resources in the US are very limited.
Lets face it they never really put any kind of market push behind the allroad to begin with. Misguided... as an owner I'd say so.
As a consumer... seeing all the play and movement back to "Station Wagons" I think the market is primed and ready for the next allroad.
Like I said with a wallet like Ford has..bringing in the next ar would be a slam dunk. But with the resources to "push" one car at a time.. the Q7 is now...
A GM or Ford could simply do it and market, sell and discount the hell out of it. But Audis resources in the US are very limited.
Lets face it they never really put any kind of market push behind the allroad to begin with. Misguided... as an owner I'd say so.
As a consumer... seeing all the play and movement back to "Station Wagons" I think the market is primed and ready for the next allroad.
Like I said with a wallet like Ford has..bringing in the next ar would be a slam dunk. But with the resources to "push" one car at a time.. the Q7 is now...
