Audi to simplify product offerings in US

[EnI]

Audi will cull product offerings

Diana T. Kurylko

Automotive News / March 13, 2006 - 6:00 am


GENEVA -- Audi AG is moving to simplify its product offerings in the United States and is studying ways to reduce the options, features and engines offered on its vehicles.

Ralph Weyler, Audi AG board member for sales and marketing, said in an interview here that Audi hopes to "eliminate things that do not have an adequate penetration." The company hopes to start the culling in 2007, he said.

In 2005, Audi offered 24 models in the United States, each with dozens of possible equipment and trim combinations.

Audi is reviewing what U.S. customers order on their cars and will decide in the next several weeks what features to keep, he said.

For instance, Audi is studying whether it needs to offer several engine and transmission combinations for all vehicles. It's also looking at whether to offer two sunroofs or two air conditioning systems.

"There may be an advantage to have a standard offer," Weyler said. "If only 5 percent of our buyers want cloth, we can skip it."

Having less complexity will allow Audi to more easily swap vehicles between dealers. "They have complained that our business is too complex," he said.

Only the U.S. market would be affected, he said, because Europeans haven't adopted the "I want it now," mentality of Americans, who won't wait months for delivery.

Source: http://www.autonews.com/apps/pbcs.dll/article?AID=/20060313/FREE/60310038/1078

 

[Carbon]

Audi will cull product offerings
Only the U.S. market would be affected, he said, because Europeans haven't adopted the "I want it now," mentality of Americans, who won't wait months for delivery.

hehe us Americans

 

[Mr. M]

This might shrink their customer base although it streamlines production.

 

[Merc1]

Ultimately Audi and Mercedes will be better off in doing this. Mercedes' new boss recently announced something similar. They both have be careful not to wind up like the Japanese by not offereing enough custom options on their cars. Every Acura in the U.S. is the same as every other Acura, other than color/nav/transmission.

M

 

[Osnabrueck]

...They both have be careful not to wind up like the Japanese by not offereing enough custom options on their cars. Every Acura in the U.S. is the same as every other Acura, other than color/nav/transmission.

At work right now, we're working on high-profile launch for a Japanese brand. We've studied buyer patterns for the outgoing model and discovered that many would-be buyers went elsewhere because they couldn't get the configuation they were looking for.

Audi may want to trim the fat, but they've got to watch it. Personally, I'm very sensitive to what equipment I can and can't have on a model and so goes for others when they're paying in excess of $40k for a vehicle.

 

[Merc1]

At work right now, we're working on high-profile launch for a Japanese brand. We've studied buyer patterns for the outgoing model and discovered that many would-be buyers went elsewhere because they couldn't get the configuation they were looking for.

Audi may want to trim the fat, but they've got to watch it. Personally, I'm very sensitive to what equipment I can and can't have on a model and so goes for others when they're paying in excess of $40k for a vehicle.

Yeah thats what I was trying to say! They have to make sure they don't get rid of the wrong things, its a tricky balancing act for sure.

M