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TOV Forums > General Talk > > Re: Acura shifts its focus to sensible Gen Y shoppers

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CB77
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Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 10:09
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(From this morning's Automotive News)

Honda is ready to begin the makeover of its Acura premium brand this spring, and the timing could hardly be better.
In addition to the new ILX small sedan and redesigned RDX compact crossover coming in spring, a tease of the redesigned RL flagship due this fall will be shown at the New York auto show in April.

Then, the volume leading TL sedan and MDX mid-sized crossover are slated for 2013 redesigns. The much-hyped NSX supercar should arrive by the end of 2014.

Six years ago, Honda Motor Co. executives decided to move Acura upscale and shelve the brand's entry-level luxury offer -- the compact RSX hatchback, which was the successor to the Integra. The timing couldn't have been worse.

In less than three years, many of Acura's competitors announced plans to offer products that fit the RSX and Integra's niches. Then the global economy collapsed and many luxury-vehicle buyers pared back their purchases.
In May, Acura will return to the entry-luxury segment with the ILX. The sedan won't remind anyone of the sportiness of the RSX or Integra, but Acura hopes it will appeal to sensible Gen Y customers.

The collapse of Lehman Brothers "changed the philosophy for luxury purchases. People are making more rational purchase decisions, taking pride in the deal they strike," said Jeff Conrad, Acura Division general manager. "Generation Y aspires to luxury, but they need a little help getting there."

The new lineup will feature four sedans, the TSX, TL, RL and ILX. There is some overlap, but Conrad said Acura has no plans to eliminate any of the four.

"We're remaking the entire lineup over the next few years," Conrad said. "Nothing goes away, and we're sticking with that. We've had a pretty strong reliance on sport-utilities and we want to bolster our sedans."

With 40,000 units of additional volume from the estimated $27,000 ILX, Acura expects its overall U.S. sales to jump 46 percent to 180,000 units this year -- up from 123,299 in 2011. If not for the Japanese earthquake and Thai flooding last year, Acura estimates its 2011 U.S. sales would have been about 150,000. So the volume jump is not as large as it would seem, Conrad said.

In the longer term, it's unclear whether Acura aims to fight head-to-head against Lexus, BMW and Mercedes-Benz.
"We want to take one year at a time," Conrad said. "We're not going to go set volume targets for future years. Everyone wants to continue to grow, but for the foreseeable future this is a pretty good level to be at."

Acura doesn't want to increase its dealer count, Conrad said. But the brand needs to improve owner loyalty.
At 45 percent, Acura customer loyalty is slightly below the industry average of 49 percent, according to the J.D. Power and Associates 2012 Customer Retention Study.

According to the study, Acura doesn't really compete in the luxury segment. It mainly attracts customers from -- and loses them to -- Honda and Toyota.

"I know we're not satisfied with our loyalty numbers," Conrad said. He said retention efforts will include data mining to better understand when and how to contact existing customers.

Acura is counting on 40,000 sales from the ILX this year.
Acura also will be more aggressive with presale marketing before redesigned products reach market. Already, 3,500 potential 2013 RDX buyers are in Acura's dealer system, waiting for the on-sale date to arrive.

On the plus side, Conrad said Acura's average customer age is two to four years younger than those of other premium brands.

Although Acura's core customers continue to be baby boomers, the brand is seeking to connect with younger buyers. In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

So what do the Gen Y customers covet? Connected cars, with features such as Bluetooth, Pandora and SMS text messaging. Cool engineering solutions for better performance aren't nearly so high on the wish list.

"The real key is not that we offer it, but that we offer it and put it on a vehicle and make it intuitive to use," Conrad said.
Acura will continue its appeal to Gen Y through its product placement arrangement with comic-book-movie franchise Marvel Enterprises. Already seen in Thor, Acura products will be highlighted in this summer's mutant-superhero flick The Avengers.

That should play into the cool factor that appeals to young buyers. When asked what makes a vehicle cool, Gen Y respondents said exterior styling, affordability and environmental consciousness.

"It's no secret the last few years have been pretty tough on Acura," Conrad said. "'Smart luxury' has become our internal mantra."

Converts and turncoats

Acura conquests buyers from (first column)

While it loses its owners to (second column)

Honda 12% Honda 8%
Toyota 8% Toyota 7%
Lexus 4% Infiniti 4%
Nissan 4% Lexus 4%
BMW 3% BMW 4%

Source: J.D. Power and Associates 2012 Customer Retention Study

Longhorn
Profile for Longhorn
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 10:35
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The new lineup will feature four sedans, the TSX, TL, RL and ILX. There is some overlap, but Conrad said Acura has no plans to eliminate any of the four.

I have a hard time believing this. If true, I bet the next TSX is a coupe.
danielgr
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 11:01
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Longhorn wrote:
The new lineup will feature four sedans, the TSX, TL, RL and ILX. There is some overlap, but Conrad said Acura has no plans to eliminate any of the four.

I have a hard time believing this. If true, I bet the next TSX is a coupe.

Well, he also says they are taking "one year at a time", and there is talk on the renewal of both TL/MDX but nothing on the TSX (though that doesn't come straight from Conrad...)

PS: Thanks for sharing CB77, pretty interesting read as usual.
dootndo2
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 11:07
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I don't think we'll ever see another coupe in the Acura brand. They will lose their 5 star rating across the brand if they do. Unless they can come up with a way to make coupes 5 star rated in the side impact deparment.

dootndo2
Hondu
Profile for Hondu
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 12:37
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dootndo2 wrote:
I don't think we'll ever see another coupe in the Acura brand. They will lose their 5 star rating across the brand if they do. Unless they can come up with a way to make coupes 5 star rated in the side impact deparment.

dootndo2



So, no one makes a 5 star rate coupe for side-impact?
Potenza
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 12:38
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In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.

After reading this article, it's clear to me that Acura needs to step away from the computers filled with numbers and research on age groups and get back to building desirable cars.
MarkR
Profile for MarkR
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 13:36
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Potenza wrote:
In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.

After reading this article, it's clear to me that Acura needs to step away from the computers filled with numbers and research on age groups and get back to building desirable cars.



I guess it varies much from market to market.

In my country 19-31 either cannot afford a reasonable new car and if they can they have no problem paying a few Ks more to get what they want.

DCR
Profile for DCR
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 14:32
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Are there sensible people who would purchase a Civic at a massive premium?

Gen Y to the rescue?
NealX
Profile for NealX
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 14:58
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"25% of Gen-Y values environmental responsibility over power."

"Gen-Y: What makes a vehicle cool?"
Exterior Styling: 42%
Affordable: 39%
Environmentally Friendly: 34%
Comfort: 32%
Good Sound System: 21%
Brand Name: 16%
Well-Designed Storage: 16%
Horsepower: 15%
Bigger Size: 2%

*percentages approximate.


"Sustainability. Value. Time is Luxury."
"I deserve it." Look at Me." "Fun to Drive."
"Individuality and taste that stand out in urban settings."

Does this sound like you?
superchg2
Profile for superchg2
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 16:11
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No
DCR
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 16:39
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Which Gen Y survey is the valid one?

http://articles.chicagotribune.com/2012-02-27/classified/sc-cons-0223-autotips-20120225_1_craig-giffi-pure-battery-electric-vehicles-interest-in-hybrid-vehicles

Sounds to me like Acura has missed a couple of important key areas, given this article. Starting their Hybrid ILX at $30k without leading the fuel economy numbers sounds like an odd decision given that last study there.
JimmyEats
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 17:33
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Conrad, what's "smart" about giving up "quality, reliability, and fun-to-drive"? I see no "value" for Gen Y in losing those.

I know, I know, this is all marketing speak from surveys of what Gen Y want vs what Boomers want, but it makes you sound kinda Gen X to not make any sense. You're not still swiping your parents' gas card, are you?


And referencing Lehman Brothers as justification for the ILX product placement, that's so 2011.

In 2012 we like "emerging markets" and "Starbucks reclaiming their original purpose", so you should say the ILX is built in the emerging markets of Canada, China, or Mexico and "We admit Acura had lost it's way, but now we're back to why we were founded" "quality, reliability, and fun-to-drive", but HMC biffed those too.

Built in Ohio for the imaginary "move up" Gen-Y. Any Gen-Y I know getting their first luxury car, just inherited their Dad's Audi A6.
atomiclightbulb
Profile for atomiclightbulb
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 17:40
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Potenza wrote:
In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.


I find that in general it's also true for that demographic. Electronic gadgets (iPhones, tablets, e-readers) are all the rage. Cars, not so much.

Times change, and so does the marketplace. Market forces cannot be resisted.
JMU R1
Profile for JMU R1
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 18:12
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Neal wrote:
"25% of Gen-Y values environmental responsibility over power."

"Gen-Y: What makes a vehicle cool?"
Exterior Styling: 42%
Affordable: 39%
Environmentally Friendly: 34%
Comfort: 32%
Good Sound System: 21%
Brand Name: 16%
Well-Designed Storage: 16%
Horsepower: 15%
Bigger Size: 2%

*percentages approximate.


"Sustainability. Value. Time is Luxury."
"I deserve it." Look at Me." "Fun to Drive."
"Individuality and taste that stand out in urban settings."

Does this sound like you?


Ugh this is exactly Acura's problem. They go do focus groups and surveys and build to the results. Guess what? What consumers say they want and what they actually want often times are not the same thing.

Of course people are gonna say they want something affordable. What are people supposed to say, "I want something I can't afford."

Maybe I'm wrong, but when customers dial their budget back, it may mean they'll go from a 5 series to a 3 series, or an Acura to a Honda. It doesn't mean they want a car that clearly had corners cut on it.

I do think that if Honda gets the hybrid equation right it will lead to strong sales. But I also think that's one of those things that customers say they want, but when it comes down to it, may not be terribly important. Or that they're not willing to accept the compromises that come with a luxury hybrid. Of course that may change in a hurry if gas prices spike.
WongKN
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-26-2012 23:36
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Reminds me of "CRX Del Sol". Design by committee. Designed by survey results.

From my point of view, this kind of statement about 'shifting focus' is also the stupiest thing a manufacturer like Honda can make. The message is crystal clear now I think. "Enthusiasts, long time Acura fans. Acura supporters, we are no longer interested in you. You guys are too old. We now focus only on 'sensible' Gen Y'ers". With a single sentence, Acura has now dumped ALL of its established fan base. The only problem is the question begs : "WHAT exactly is meant by 'sensible'".

Oh yes, time to kow-tow and lick the balls of the mass market media and pander to the whims and fancy of things like EPA ratings. Everytime some shitty review about a new Acura model comes out or an Acura model gets outdone by a competitor in EPA rating, time to panic. Arguements oft heard here about how "informed people and Honda fans would know EPA numbers are baseless" will no longer hold water. In the first place, Acura has now openly said that they are now longer interested in the business from these people. So what they think no longer matters. After all, their focus is only only on "sensible Gen Y'ers".

Sorry to be so negative. But this reminds me of one the biggest mistake my employer have made in the past, what IMHO dropped us from the top of the heap in the I/T. "We compete only in the markets we choose to compete in". What kind of message has this given to our customers at that time ? What kind of message has Acura now given to its dedicated fan-base ?
DCR
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 00:55
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WongKN wrote:
Reminds me of "CRX Del Sol". Design by committee. Designed by survey results.

From my point of view, this kind of statement about 'shifting focus' is also the stupiest thing a manufacturer like Honda can make. The message is crystal clear now I think. "Enthusiasts, long time Acura fans. Acura supporters, we are no longer interested in you. You guys are too old. We now focus only on 'sensible' Gen Y'ers". With a single sentence, Acura has now dumped ALL of its established fan base. The only problem is the question begs : "WHAT exactly is meant by 'sensible'".

Oh yes, time to kow-tow and lick the balls of the mass market media and pander to the whims and fancy of things like EPA ratings. Everytime some shitty review about a new Acura model comes out or an Acura model gets outdone by a competitor in EPA rating, time to panic. Arguements oft heard here about how "informed people and Honda fans would know EPA numbers are baseless" will no longer hold water. In the first place, Acura has now openly said that they are now longer interested in the business from these people. So what they think no longer matters. After all, their focus is only only on "sensible Gen Y'ers".

Sorry to be so negative. But this reminds me of one the biggest mistake my employer have made in the past, what IMHO dropped us from the top of the heap in the I/T. "We compete only in the markets we choose to compete in". What kind of message has this given to our customers at that time ? What kind of message has Acura now given to its dedicated fan-base ?



Nope, you aren't negative...you are seeing it as many of us have. Forcing the market vs. letting the market decide is plain stupid, and again, they will learn the hard way.
330R
Profile for 330R
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 00:55
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Nice to see you chime in with your thoughts, Mr Wong. Funny, I was thinking earlier today that I haven't seen you post in a while, and wondered what you'd think about this latest article. I read it last night at 2am (off work today which usually means up late the previous night) and I was so frustrated and irritated with the talk about focusing on the Gen-Y'ers, who supposedly care more about value than quality, reliability, and innovative engineering solutions that lend to better performance among other things. Remember when Honda proudly stood for all of those things?! To read that exterior styling is at the top of Gen Y'ers list of "what's cool", and to see this ILX that just looks to me like.. "a car", nothing special, nothing that would strike me as stylish.

Like you, this phrase "sensible Gen Y customers" tells me that Acura doesn't want to hear it, doesn't want to do it, if "it" is any increased performance, any sportier characteristics. The focus is on "entry luxury" and "environmental consciousness". What was so un-"sensible" about the Integra and RSX? What doesn't make any sense at all is to try so hard to cast out your longtime customers, fans and supporters by continuing to ignore them and the ingredients that put you on the map in the first place.

What's the car for Gen X? How about instead of trying to cater to age groups, they just set out to develop the best Acuras they can? This ILX is not appealing to me. It's just a thing, a product, just set in place to occupy that place. There is absolutely nothing that stands out and absolutely no excitement inherent to its existence.
WongKN
Profile for WongKN
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 01:43
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Wow, looks like my negative views about this is shared by some others as well. I have been quite busy with work lately though I make it a point to check the TOV forums as often as I can. With the state of the world's economy as it is now, and Asia of course being equally affected as well, bosses are demanding more 'productivity' from employees. It is the employers market nowadays, just like it is the buyers market in general nowadays. So whatever work is delivered in the past, employers expects more for the same pay.

Basically I think this is a big, HUGE mistake by Acura. They should never talk about 'shift of focus' as if it is the company direction. They should have said something like "-adding- focus to sensible Gen Y'ers" as well, which can easily be interpreted to mean "hey long time Acura fans and supporters, we do value you (eventhough we may not necessarily make the cars to cater to your wishes) but we also need to grow and we would like to expand our market coverage. Here, sensible Gen Y'ers are those young people who shares the same sensible thoughts as you guys". Something like that.

Tells current fans and supporters they are valued and at the same time, also explains why they are pandering to the whims and fancies of the masses. Just my opinions only anyway.

Luckily over here in Asia, Honda has never delivered these sort of messages to their customers.
owequitit
Profile for owequitit
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 01:45
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Neal wrote:
"25% of Gen-Y values environmental responsibility over power."

"Gen-Y: What makes a vehicle cool?"
Exterior Styling: 42%
Affordable: 39%
Environmentally Friendly: 34%
Comfort: 32%
Good Sound System: 21%
Brand Name: 16%
Well-Designed Storage: 16%
Horsepower: 15%
Bigger Size: 2%

*percentages approximate.


"Sustainability. Value. Time is Luxury."
"I deserve it." Look at Me." "Fun to Drive."
"Individuality and taste that stand out in urban settings."

Does this sound like you?


Some yes, and some no. Ironically, I am on the very bleeding leading edge of their defined "Gen Y" demographic, so I probably have some Gen X traits as well, since they tend to overlap for 10 years or so. The problem with survey results is they don't quantify anything intangible. They attempt to boil everything down to a number or statistic. Let me break out some of the numbers as I see them:

Exterior styling: 42% I tend to see this as a good looking car. Something that I wouldn't be embarrased to be seen in. Audi and BMW both hit well on this mark, because both are cleanly attractive without being gimmicky. Think Apple styling for cars. Unbelievably clean and modern, and yet, distinctive and desirable. IMO, the ILX does a pretty reasonable job here. I would like to see slightly more aggressive wheel choices, and maybe some extra heft at the bottom of the body, but other than that, I like the look of the car overall. I don't think it means distinctive styling above all else, as was the case with the TL.

Environmentally friendly: 34%. This is also a good one I would like to touch on. When I think of "environmentally" friendly, it is not so much at all costs and above all else. I see it as a reasonable balance. For instance, I am interested in losing as little MPG as possible to achieve a result, but am not necessarily willing to add a completely bum driving experience or tons of maintenance down the road.

That is partly in contrast to the Times Article posted by DCR, but then again, the one respondent said that her concern above all else was heated leather seats, so I take it with a bit of salt. Also, just from a marketing spin perspective, Honda defines "value for money" for the Gen Y'ers and then IMO, the values they list for Gen X are pretty much included in "value for money." Again, the respondent quoted in the Time's article still said "it has to be fun to drive." I wonder if Honda can't be more clear than that because they don't really know what it means.

I don't think many of the intrinsic customer requirements have changed, I just think the road to get there is evolving slightly. I.E. the end is the same, but the means is slightly different.

Nick GravesX
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 15:00
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Potenza wrote:
In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.

After reading this article, it's clear to me that Acura needs to step away from the computers filled with numbers and research on age groups and get back to building desirable cars.



Is that any surprise? I've always presumed that the questions asked on focus groups are loaded to get the answers they want:

"Do you want a cheap FWD plank and do you like puppies, or would you prefer a bespoke RWD one with a trunk for molesting kids in?"
Trip
Profile for Trip
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 17:24
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Potenza wrote:
In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.

After reading this article, it's clear to me that Acura needs to step away from the computers filled with numbers and research on age groups and get back to building desirable cars.



A couple of things that cross my mind about that statement....

Do the majority of Gen Y'ers have the funds to purchase a "luxury" vehicle? (I agree with someone else's post... if anything, they'll inherit Daddy's used A6).

"Sensible" ??? If they're that sensible I would think that they would go for a nicely equipped Honda with a quality build (inside and out) and features for thousands less than a comparably sized vehicle from a luxury brand. My feelings are that people will look at the $27K+ price tag of an ILX and decide they can get a similar vehicle for much less.

When I think sensible, I don't think "brand whore" which makes me think that the Gen Y crowd would be perfectly OK with and even prefer the Honda versus an Acura.
Fan Koni
Profile for Fan Koni
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 17:49
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Neal wrote:
"25% of Gen-Y values environmental responsibility over power."

"Gen-Y: What makes a vehicle cool?"
Exterior Styling: 42%
Affordable: 39%
Environmentally Friendly: 34%
Comfort: 32%
Good Sound System: 21%
Brand Name: 16%
Well-Designed Storage: 16%
Horsepower: 15%
Bigger Size: 2%

*percentages approximate.


"Sustainability. Value. Time is Luxury."
"I deserve it." Look at Me." "Fun to Drive."
"Individuality and taste that stand out in urban settings."

Does this sound like you?



What about safety or great handling?
Doesn't seam too sensible...

With the top points being:

Exterior Styling: 42%
Affordable: 39%

So they like body-kits & lease the cars?
Doesn't seam too sensible...

I could say that GenY is just bored, too many cars today don't cut it.

Didn't an other post mention the average Civic buyer was 50 something?
This is where they are coming from. So targeting GenY with the ILX really translates to maybe an average mid 40 buyer.

DrWhiner
Profile for DrWhiner
Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 18:13
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DCR wrote:
Which Gen Y survey is the valid one?

http://articles.chicagotribune.com/2012-02-27/classified/sc-cons-0223-autotips-20120225_1_craig-giffi-pure-battery-electric-vehicles-interest-in-hybrid-vehicles

Sounds to me like Acura has missed a couple of important key areas, given this article. Starting their Hybrid ILX at $30k without leading the fuel economy numbers sounds like an odd decision given that last study there.

"They are young, connected, outspoken, aware. They tend to know what they want, they know how to shop and they account for about one quarter of the population.

This is Generation Y, or Gen Y. And their automotive priorities change from year to year, according to Deloitte LLP, which has been mapping Gen Y trends since 2009 with an annual survey. "
Haha, why pay attention to those bean counters?
adrianchew
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 21:33
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They have NO CLUE what Gen Y wants... a study of the Hyundai Veloster is definitely a must for every single Honda/Acura exec.

Without the turbo model, the Veloster sales have been brisk and indeed I've seen Gen Y types in them. The car has content at a true VALUE pricing... plus it has styling that doesn't scream of middle age adults, colors that are vibrant. Yes, its pretty weak as far as the base engine right now, but the ILX is missing the value, styling, etc.

Toyota got the message too, and they did it right. Look at the Prius c. Class leading MPG for the environmentally concerned, bright colors, striking design, and you get the Entune/etc for the tech. Its a baby Prius, targeted at Gen Y.

In comparison, the ILX is a boring sedan form factor (strike one), and costs too much (strike two). It may be pretty decent from tech/features, but all that NVH and other things are going to be lost on Gen Y... even the premium Acura audio. Do you think a gen that grew up with Apple earbuds on them really would be discerning audiophiles?

And then there is a portion that still wants performance... the Mustang and the Genesis coupe gives oodles of power at affordable enough entry prices. Nothing in the whole Acura/Honda lineup has that kind of HP numbers even currently. For some reason, the Camaro doesn't appeal nearly as much to the younger demographic, nor the Challenger... Mustangs do, and you find girls in them too. That's another thing... you can get an automatic in either the Mustang or Genesis coupe.

Price point is going to be very important if you want to get younger aspirational buyers into the fold. The RSX/Integra of past did that, but the ILX is somewhat overpriced... when they said R20/5AT, I expected 24k or so with CLOTH seats. All that extra refinement put into the ILX, do you think Gen Y would care?

I just don't see many Gen Y in the ILX... its a boring sedan, you buy 4 doors when you get older and need more room. Not when you're young and single.

But pretty much, they hit just about every mark for the mainstream buyer of a small ute ie. the RDX should be a great success. I can't figure out the pricing... the RDX is priced so well, the ILX is priced so badly.

Bottom line - I don't think Honda/Acura has a clue on how to appeal to the young. Even the Element attracted an entirely different crowd. And you know those CR-V ads? I think they're targeted towards a younger demographic, yet the CR-V will appeal more towards an older demographic.

The ILX will be compared to the Verano. Seems like both these brands will definitely be challenged, as far as appealing to the younger demographic.

Things were so much easier back when Honda/Acura made tuner rides... younguns buy them up, slam them, etc, and they OWNED that whole scene back then! Gen Y... they totally don't get.
Potenza
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-27-2012 23:19
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Nick Graves wrote:
Potenza wrote:
In researching Gen Y -- consumers aged 19 to 31 -- Acura has discovered that "value for money" is the primary concern, replacing the baby boomers' focus on quality, reliability and fun-to-drive vehicles.

That is a depressing sentence.

After reading this article, it's clear to me that Acura needs to step away from the computers filled with numbers and research on age groups and get back to building desirable cars.


Is that any surprise? I've always presumed that the questions asked on focus groups are loaded to get the answers they want:

"Do you want a cheap FWD plank and do you like puppies, or would you prefer a bespoke RWD one with a trunk for molesting kids in?"

Lol. Ding ding ding... we have a winner!

And don't forget the hard facts confirming the positive results. "Since introducing the ILX, Acura's website traffic has increased 400%."

Oh brave new world...
HONDA AFVM
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-28-2012 05:16
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DCR wrote:
WongKN wrote:
Reminds me of "CRX Del Sol". Design by committee. Designed by survey results.

From my point of view, this kind of statement about 'shifting focus' is also the stupiest thing a manufacturer like Honda can make. The message is crystal clear now I think. "Enthusiasts, long time Acura fans. Acura supporters, we are no longer interested in you. You guys are too old. We now focus only on 'sensible' Gen Y'ers". With a single sentence, Acura has now dumped ALL of its established fan base. The only problem is the question begs : "WHAT exactly is meant by 'sensible'".

Oh yes, time to kow-tow and lick the balls of the mass market media and pander to the whims and fancy of things like EPA ratings. Everytime some shitty review about a new Acura model comes out or an Acura model gets outdone by a competitor in EPA rating, time to panic. Arguements oft heard here about how "informed people and Honda fans would know EPA numbers are baseless" will no longer hold water. In the first place, Acura has now openly said that they are now longer interested in the business from these people. So what they think no longer matters. After all, their focus is only only on "sensible Gen Y'ers".

Sorry to be so negative. But this reminds me of one the biggest mistake my employer have made in the past, what IMHO dropped us from the top of the heap in the I/T. "We compete only in the markets we choose to compete in". What kind of message has this given to our customers at that time ? What kind of message has Acura now given to its dedicated fan-base ?



Nope, you aren't negative...you are seeing it as many of us have. Forcing the market vs. letting the market decide is plain stupid, and again, they will learn the hard way.


I don't know about licking balls.........OUCH!....LOL!

I hear you WongKN...........DCR............But, I think they are just trying to make the 35.5 MPG CAFE NUT! I am not sure if you guys really understand the FEAR this administration has put in to automobile manufactures...........They have imposed regulation and threats of fines for 3 years now. This is not the way Honda is used to planning for the future, nor any other manufacture, but most other manufactures have had hard line restrictions where Honda, Toyota have not. Please correct me if I am wrong.............

Europe is much more strict with their regulations then Japan if I am not mistaken. But the European governments don't seem to be out to rape the manufactures........every time you turn around here in the States there is some sort of fine or change in a standard which cost the manufactures MILLIONS.......we are lucky they even want to sell cars here.......Think about it since 2009, we had the CAFE move the 35.5 from 2020 to 2016, the Tail pipe emissions change, the crash standards change, the side impact change the roof structure go from 2.5X the weight of the car to 4X the weight of the car and now the window stickers have changed, and that is just the PUBLIC stuff........there is WAY more that we don't even see.........the EPA is KILLING these guys and the DOT is looming over companies like Honda and Toyota like VULTURES............just WAITING for a screw up and if you don't think it is politics, you need to hit the refresh button..............

Toyota was found CLEAR of all charges, but still had to pay the 16 million fine...........Mean while they have Caddy CTS 2008 and 2009 DI 3.6 V6 engines snapping timing chains faster then Secret Service gets Obama out of a Burger King when Michelle calls on the SKYPE...........But that is all swept under the carpet.......

There is WAY more to this then meets the enthusiast boys.......Honda/Acura is just giving in, maybe the rest are just fighting a bit longer, but they are slowing down.........MB is stopping production of the "R" Class, they are making more Hybrids.......Audi is making Hybrids and smaller cars, BMW is doing the same............

We took in 3, THREE BMW's in 4 days, late models, we have 2 Chevy Suberbens taken in, Range Rovers, Audi's........ALL these gas PIGS are coming in on Honda's and Toyota's......all the same tail, nice cars, but TOO EXPENSIVE...... We bitch and bitch, but every morning our Acura or Honda starts, costs us $40.00 bucks for an oil change and next to nothing to drive......The door closes with a quality thump and they handle like no other car at a fuel sipping degree.............Sure, there are better equipped cars, better looking cars, but they all are in the shadow of the over all longevity and value of a Honda/Acura...........

I would LOVE a Legend Coupe......SH-AWD 6 speed......but REALLY, how many people will buy it.......I have a 2009 TL SH-AWD on my lot, $27,000 bucks with 33,000 miles, the thing is a MONSTER........we have had it for 2 months and NO HITS........It's not over priced, the miles are right........I have an Audi A4, same thing, sitting........Where are the enthusiasts?
superchg2
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-28-2012 06:15
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HONDA AFVM wrote:
I have a 2009 TL SH-AWD on my lot, $27,000 bucks with 33,000 miles, the thing is a MONSTER........we have had it for 2 months and NO HITS........It's not over priced, the miles are right........
....and it comes standard with the dynamic power plenum MONSTER grille!
:)


2006 concept

WongKN
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-28-2012 09:02
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HAFVM.

I DO understand and appreciate/agree with the things you wrote. My main gripe is the way Acura put it, it is too final and too direct and risks offending long time Acura fans and supporters. As even your great Hollywood studios have now learned, NEVER offend or alleniate the long time fans. Make friends with them. That's how legends like Star Trek (TOS), Spiderman, etc are now made. They pay tribute to the fans. But can the studio just depend on the fans for the movie to break even ? No way. They depend on the masses. That's why for the Star Trek TOS reboot, they 'renewed' it, to be more appealing to the masses. Yet they still made sure they paid tribute to the ST-TOS 'canon'. They might turn Star Trek more into a Star Wars feel. But they made sure Uhura has a first name (not many people actually knows this). And they paid tribute to lots of other tiny but important Star Trek 'history'. When they first made the original 3 movie Spiderman franchise, I remember Sony putting up images of their Spiderman re-imaging and getting fan feedback. The original Hollywood version of Godzilla was considered a failure by long time fan, though the producers actually went to Japan to get the studio approval for the Hollywood version. Now they want to remake the Hollywood version of Godzilla. And again they are making it clear that this time, they will pay proper tribute to the legend - and honour the fans.

It's always about the fans and supporters. The greatest and most successful artistes; singers, actors, etc ALWAYS make sure to thank their fan whenever they can. Those who didn't, don't really last long.

What Acura said, and had it published widely is simply suicide. It is a clear message to the fans that they are not important anymore. It is so conclusive - I have SHIFTED focus (away from you guys) to a new market segment. SHIFTED. You guys, our long time fans and supporters, we NO LONGER focus on you now. I.e. implied that Acura NO LONGER are concerned about what you think.

Yes, it is true the market has changed. The standard for a 'fast car' in Malaysia nowadays are 110hp Toyota Vios with a beam axle transmission. A 140hp turbocharged Puegeot is considered 'very powerful'. Personally I agree it is wise business logic to adapt to the changing market. But then, NEVER offend the long time fans.
CR-V9
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-28-2012 10:04
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Wong, I have great respect for you. But you had to mention "Godzilla", didn't you? You've touched my nerves, sir.
Ever since they(JP) made Godzilla a 'good guy'. They lost it. It was all about Nuclear Bumbs, Radiation and humanity. It was all about Humanity's fury.
I used to have nightmares. I couldn't get rid of Godzilla's mean looking eyes from my mind of child. There never was real Godzilla except the original one. In black and white, that is.
WongKN
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Re: Acura shifts its focus to sensible Gen Y shoppers    (Score: 1, Normal) 03-28-2012 10:27
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CR-V9,

Haha, trust you to bring some light-hearted mood to this rather serious thread. I do remember how Godzilla was THE ultimate bad guy. Then they had him turn into a hero, and created GAMELON as the new bad guy. And now they have aliens and other monsters, ala ULTRAMAN style, to fight Godzilla who has suddenly turned into the defender of the earth, showing up whenever a bad guy shows up. How times have changed eh ?

Which also goes to show that you are actually quite old, if you know about the original Godzilla and in black and white some more. I take it you also know about the first and original Ultraman ?
 
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