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Let Us Count the Ways

One size fits all. Or does it?
Honda has always kept their lineups tidy with simplified trim package offerings. With the 2005 RL, Acura probed the extremities of this philosophy, offering the car with a single trim level - fully loaded, and right at $50k. Finding 20000 buyers with $50k who want EXACTLY that product configuration is a billion dollar bet that may have been a wee bit ambitious. For 2006, a technology package was added as a factory option (for $3800 it includes an adaptive cruise control system, collision mitigation braking system, and Michelin PAX runflat tires), but nobody was complaining that the RL was underpriced to begin with. Every one of Acura's competitors offer a full range of options on their competing models. These options usually include your choice of motor (V6, V8, sometimes more), drivetrain (front/all-wheel drive or rear/all-wheel drive). Some of these automakers have been criticized for offering too many options - showing a relatively low entry price but making virtually everything optional. Given the discounts that Acura dealers are offering just to sell RL's, it seems clear that an available lower priced version of the RL probably would have been a good idea.

Keeping it in the (Global Midsize) Family
In the past, Acura and Honda have done a pretty good job of implementing a platform strategy. The idea is to save money by sharing development costs across a family of vehicles that share some common underpinnings. But when you're playing in the premium sector, particularly as prices approach and eclipse $50000, a certain level of distinction is a requirement for success, and in this case the platform sharing may have ended up costing Acura in terms of sales and ultimate flexibility.

Strictly looking at the specifications, the RL has a number of distinguishing characteristics. For one, it's the only model in Acura or Honda's lineup with SH-AWD (that will change in a matter of months with the introduction of the RDX). Also, it's the first Honda or Acura to ever reach the 300hp mark (although that's been rolled back to 290hp for the '06 RL with the new SAE revision). But the apple hasn't fallen too far from the tree. Because it is based upon the global midsize platform, which is also found in the Accord, TSX, TL, and Inspire, to name a few, the RL's drivetrain configuration is limited to a transverse layout. That virtually eliminates the possibility of A) stuffing a V8 under the bonnet and B) offering a less expensive FR configuration. From a dimensional standpoint, the RL is very close to the TL and Accord, and in fact trails the Accord in several interior measurements and even overall passenger and cargo volume. Also, while the TSX and TL have garnered attention with their crisp styling and handsome proportions, the RL bears a stronger resemblance to the '03-'05 Accord, a design that could be most charitably described as controversial.

Let's be clear - the styling isn't completely dictated by the platform, but much of the running hardware is, and this is where we really think that Acura's decision to base the RL on the global midsize platform was a bit shortsighted. By going with the global midsize platform, much of the RL product development team's decisions were made for them years ago, when the platform was laid down for the Accord. For one thing, engineering this platform to accept an FR layout was apparently out of the question. We'd assume that if Acura could offer the RL in a two wheel drive configuration, they could trim thousands of dollars off of the asking price (not to mention hundreds of pounds of curb weight) without compromising the credibility of the car as a performance machine. Regardless of asking price, a 300hp (or if you prefer, 290hp) front driver is just a non starter. And this is doubly applicable for the V8. Wedging a V8 into a transverse configuration is suboptimal, and a transverse mounted V8 driving the front wheels would be tragic.

Where's the V8?
This question has been ringing in the air ever since the first Lexus LS400 and Infiniti Q45 hit US shores. When questioned at the 2005 RL launch, Acura suggested that if they offered a V8 version of the RL, the V8 model would account for fewer than 20% of all RLs sold. Based upon a quick analysis of competitors' actual sales figures, that figure appears to be a pretty accurate reflection of reality. But it's our contention that Acura is underestimating the benefits of the so-called "halo" effect that a V8 would generate for the RL. We have no doubt that the V8 would raise the credibility of the RL and attract more overall buyers into Acura showrooms. The 2005 RL we tested ran to 60mph in 7.0 seconds and took nearly 20 seconds to reach 100mph. By comparison, V8 Lexus, Infiniti, and BMW models are capable of hitting 60mph in 6 seconds or less and 100mph in 16.5 seconds or less. The beatdowns will continue. BMW's 550i now offers a 4.8L 360hp V8 and in 2007, Lexus will be upgrading both motors in the GS - a new V6 will displace 3.5L and around 305hp, while the V8 will be enlarged to 4.6L and is said to be good for 380 or more hp.

Check out a typical magazine cover page. V8s get ink, and oohs and ahhs. How many times do you see the BMW 525i making headlines? Acura likes to argue that V8s don't make sense in the current energy climate, but in case they didn't get the memo, the premium/luxury market is defined by conspicuous consumption. The anti-V8 argument would make more sense coming from a Honda executive, but we're talking about Acura, a brand that compares itself to BMW in the automotive universe.

The graphic shown on the right compares the average monthly sales figures (for the 12 months through March 1, 2006) of the RL to its closest competitors. As can be seen, the RL is on the lower end of the sales charts. To compound the pain, a quick check of market pricing (source: Edmunds TMV®) indicates that while most RLs sell at several thousand dollars below MSRP, discounts on the A6. M45, GS430, and 545i are shown to be less than $1000.

The astute will note that Audi's A6 sales are only slightly better than the RL, despite the fact that the A6 is offered in both 6-cylinder and 8-cylinder versions. This is one indication that the lack of a V-8 isn't the only reason that RL sales are lagging, and in fact points to another trait that the RL shares with the A6 and leads to our next point.

It's time for FR
Acura has resisted FR (front-engine, rear wheel drive) for a long time, citing reasons such as cost, packaging, and safety. Obviously it's going to cost Acura a chunk of change to develop a platform that will support a longitudinally-mounted engine and rear wheel drive setup, but there's no reason this platform couldn't be amortized across several models. It seems pretty clear that before they can hope to earn the respect they deserve, Acura will have to address this one shortcoming in their strategy.

Why is rear wheel drive important? There are a number of reasons. Rear wheel drive can reliably deliver more power and torque to the road than a front-wheel drive setup, and with sedans routinely blowing past 300hp these days, front wheel drive is simply a non-starter in this class. The words "torque steer" should never enter any discussion involving premium automobiles. From a safety perspective, conventional wisdom holds that front wheel drive is superior in poor weather conditions. With the modern traction control systems, vehicle stability systems, and advanced all season tires that are offered these days, the inherent safety advantages of front wheel drive are rapidly diminishing.

In the case of the 2005 Acura RL, (again, given the limitations of the global midsize platform) the only answer for Acura was SH-AWD. Indeed, all-wheel-drive provides far greater power and torque delivery capabilities than front wheel drive and it excels in terms of foul weather performance. But there are two key downsides to all-wheel-drive: First, the mass and added frictional drag of the hardware is going to have an impact on acceleration, braking, vehicle dynamics, and fuel economy. Secondly, all of the required additional hardware adds thousands to the initial cost and maintenence costs of the vehicle. So by choosing AWD, Acura was able to meet goals in terms of safety and power delivery, yet compromises in terms of performance and price were unavoidable. While the RL's performance numbers keep it in the game when compared to its 6-cylinder competition, it just can't match the straight line performance of its 8-cylinder competitors, most of which are priced within a few thousand dollars of the RL.

AWD is certainly a big plus in select markets, but the lack of a two-wheel drive version greatly diminishes the RL's appeal to a substantial portion of the US market. Since automakers rarely break out the sales on a trim level basis, we don't know exact numbers for AWD sales vs. their two-wheel-drive counterparts, but all indicators we have are that it's a pretty small percentage here in the southeast.

SH-AWD is a tough sell
Acura was clearly hoping that their first production fitment of the Super Handling All-Wheel-Drive system would pack a huge marketing punch, but unfortunately that hasn't been the case.

We predicted that Acura salespeople would not only have a tough time fully comprehending the SH-AWD system, but they'd have an even tougher time educating their potential customers. Let's face facts - there are only so many slashdot readers out there with $50k burning a hole in their pockets. Recently we surveyed a number of Acura dealers, and most of them agreed that it is quite a task to keep their customers interested for long enough to truly understand the merits of the SH-AWD system.

Adding to the difficulty of the educational process is the test drive itself. Short of an all out blitz around a specially configured road course, most people will not sense the SH-AWD's operation. During our own time testing a 2005 Acura RL, we discovered that to fully experience and enjoy the benefits of SH-AWD, you practically need to drive the car beyond 10/10ths. Driven at a more reasonable yet still spirited pace, the RL behaves in a very similar manner to a (front heavy) front-wheel drive car, which means you will encounter an objectionable amount of understeer in some situations. Fortunately torque steer has been successfully removed from the equation, but the tendency to understeer hasn't, and this is not a good situation when your customers are comparing the RL to cars like the 5-series, M45, GS430, etc.

Acura appears to be poised to make SH-AWD a staple of the Acura brand. We feel this could be a dangerous strategy unless rear-wheel drive products are made a part of this strategy as well. Let's hope they make the right decisions going forward.



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Date Thread Starter Thread
03-18-2006 21:33 Well written, good analysis, don't agree   (Score: 1, Normal) danielgr
03-21-2006 14:05 dodole
03-22-2006 16:25 shingles
03-23-2006 15:30 Nick GravesX
03-27-2006 20:51 Frogger
03-28-2006 17:36 Honda F1 Racing
03-29-2006 06:53 JeffX
03-19-2006 17:02 Maybe Honda's a LEADER and all the rest of you are FOLLOWERS   (Score: 1, Normal) Prox Enmity
03-20-2006 00:51 James Robinson
03-20-2006 05:40 Great_Tubimi
03-20-2006 09:12 James Robinson
03-20-2006 09:53 Great_Tubimi
03-20-2006 10:06 James Robinson
03-20-2006 10:40 Great_Tubimi
03-20-2006 08:56 JeffX
03-20-2006 15:31 dampflok
03-20-2006 15:59 Honda-D
03-20-2006 22:44 James Robinson
03-21-2006 12:30 Prox Enmity
03-21-2006 14:02 jsell
03-27-2006 01:52 roninsi02
03-27-2006 19:04 RyanDL
03-28-2006 12:05 BB25
03-28-2006 18:07 RyanDL
03-23-2006 03:22 It's a brand problem too ...   (Score: 1, Normal) fortan
03-27-2006 01:37 roninsi02
03-28-2006 17:16 CanadaCraig
03-28-2006 15:03 If Audi can do it....   (Score: 1, Normal) Dhaas
03-17-2006 16:19 Where would HMC get the V8s?   (Score: 1, Normal) civic_cx_92
03-17-2006 16:23 JeffX
03-17-2006 16:36 civic_cx_92
03-17-2006 16:55 JeffX
03-17-2006 17:17 BB25
03-17-2006 17:18 JeffX
03-17-2006 17:27 BB25
03-17-2006 17:31 JeffX
03-17-2006 17:47 civic_cx_92
03-17-2006 18:26 VTECaddict
03-22-2006 00:35 guywithodyssey
03-22-2006 01:21 roninsi02
03-22-2006 08:18 Prox Enmity
03-23-2006 00:03 roninsi02
03-23-2006 09:33 RyanDL
03-23-2006 15:56 Djaric
03-23-2006 17:02 halx94
03-24-2006 05:59 Nick GravesX
03-24-2006 06:00 Nick GravesX
03-24-2006 11:44 alva
03-27-2006 01:22 roninsi02
03-17-2006 17:33 97accordSE
03-17-2006 17:54 civic_cx_92
03-17-2006 20:09 notyper
03-17-2006 21:35 James Robinson
03-19-2006 00:07 civic_cx_92
03-21-2006 22:50 typer_801
03-21-2006 22:50 typer_801
03-19-2006 04:58 Great_Tubimi
03-19-2006 09:25 Great_Tubimi
03-19-2006 13:52 James Robinson
03-20-2006 05:20 Great_Tubimi
03-20-2006 13:16 QBoi
03-21-2006 14:10 dodole
03-22-2006 00:08 roninsi02
03-23-2006 01:06 accrd1
03-25-2006 05:03 Heres the fix Jeff, whats your thoughts?   (Score: 1, Normal) HONDA AFVM
03-26-2006 05:16 Prez808
03-20-2006 12:41 Decision makers in Honda...   (Score: 1, Normal) notyper
03-20-2006 13:55 JeffX
03-20-2006 23:25 shingles
03-24-2006 19:09 TonyEX
03-25-2006 16:10 Nick GravesX
03-25-2006 12:04 if Victoria secret had mediocre models....   (Score: 1, Normal) Acuradrian
03-25-2006 02:44 Interesting article in Edmunds   (Score: 1, Normal) nourvtec
03-25-2006 10:33 TonyEX
03-24-2006 23:06 The cure   (Score: 1, Normal) osaze
03-18-2006 12:18 Great article! How about the FR layout in S2K   (Score: 1, Normal) vtecrocks
03-18-2006 12:57 shingles
03-23-2006 15:59 Djaric
03-22-2006 21:33 generation and demographics   (Score: 1, Normal) canuck-in-NY
03-22-2006 12:30 What about a Hybrid V6?   (Score: 1, Normal) stevemk
03-21-2006 19:31 And yes.. dump the onstar.   (Score: 1, Normal) rkn
03-21-2006 19:14 I want to stay with Honda Motors   (Score: 1, Normal) nourvtec
03-17-2006 18:08 BIGGER BETTER THINGS TO COME...   (Score: 1, Normal) Acuradrian
03-17-2006 18:09 Acuradrian
03-17-2006 18:28 ducmnguyen
03-17-2006 20:33 DevilMayCry
03-17-2006 20:43 Powered by Honda
03-17-2006 21:29 James Robinson
03-20-2006 13:59 iharry
03-20-2006 16:14 Honda-D
03-20-2006 22:27 James Robinson
03-21-2006 14:27 iharry
03-17-2006 17:30 I think FR layout is possible!!!!   (Score: 1, Normal) magueto
03-17-2006 17:34 JeffX
03-17-2006 20:34 soursoup
03-21-2006 14:03 dodole
03-18-2006 15:04 Lux market is not easy   (Score: 1, Normal) Oldjack
03-18-2006 16:31 James Robinson
03-21-2006 14:01 dodole
03-17-2006 18:41 How to fix the RL   (Score: 1, Normal) 6SPDTL
03-17-2006 20:48 Powered by Honda
03-18-2006 02:05 krazeericeboi54
03-18-2006 09:29 James Robinson
03-21-2006 10:04 Deak69
03-19-2006 10:32 V10?   (Score: 1, Normal) Honda-D
03-19-2006 11:41 CivicB18
03-20-2006 13:07 QBoi
03-20-2006 13:36 JeffX
03-20-2006 15:52 Honda-D
03-20-2006 22:46 James Robinson
03-19-2006 15:18 The Arrogance of Honda   (Score: 1, Normal) akal50
03-19-2006 23:37 notyper
03-20-2006 00:40 James Robinson
03-20-2006 22:07 akal50
03-20-2006 22:24 James Robinson
03-20-2006 14:04 As the Quote Says...   (Score: 1, Normal) honda_freak
03-19-2006 23:06 The disaster that was the first-gen RL   (Score: 1, Normal) dampflok
03-20-2006 13:51 JeffX
03-19-2006 19:15 The consumer Reports effect   (Score: 1, Normal) 6SPDTL
03-20-2006 00:56 James Robinson
03-20-2006 13:02 6SPDTL
03-18-2006 05:25 RL's profile is a HUGE problem   (Score: 1, Normal) Great_Tubimi
03-19-2006 14:35 akal50
03-20-2006 00:52 James Robinson
03-20-2006 10:42 Great_Tubimi
03-17-2006 18:38 SH-AWD letdown   (Score: 1, Normal) 6SPDTL
03-17-2006 18:48 zapata
03-17-2006 19:36 6SPDTL
03-17-2006 20:00 notyper
03-17-2006 20:44 Powered by Honda
03-17-2006 21:39 James Robinson
03-17-2006 23:14 notyper
03-18-2006 01:34 James Robinson
03-19-2006 23:33 notyper
03-20-2006 00:44 James Robinson
03-20-2006 02:53 notyper
03-20-2006 09:15 James Robinson
03-20-2006 09:24 JeffX
03-20-2006 10:09 James Robinson
03-18-2006 07:37 zapata
03-17-2006 16:56 Beautifully Written Article   (Score: 1, Normal) Obsessed
03-17-2006 17:12 JeffX
03-17-2006 19:17 2K5TSX
03-17-2006 19:23 6SPDTL
03-17-2006 20:39 cksi1372
03-17-2006 23:14 James Robinson
03-18-2006 17:34 Prox Enmity
03-18-2006 18:14 JeffX
03-19-2006 07:45 CanadaCraig
03-19-2006 09:10 Great_Tubimi
03-19-2006 16:56 Prox Enmity
03-19-2006 17:15 cyisalwayshungry
03-19-2006 17:29 Prox Enmity
03-19-2006 19:04 cyisalwayshungry
03-19-2006 19:06 6SPDTL
03-20-2006 00:46 James Robinson
03-19-2006 13:06 Now I get to say: "I told You So!"   (Score: 1, Normal) Paul Perakos
03-19-2006 14:43 DevilMayCry
03-17-2006 17:23 Question for Jeff   (Score: 1, Normal) BB25
03-18-2006 17:51 Next1On
03-18-2006 18:04 JeffX
03-18-2006 18:24 Next1On
03-19-2006 01:47 Mikef
03-17-2006 22:25 Another classic case of TC Mits   (Score: 1, Normal) Mr-914
03-18-2006 01:39 anime_man24
03-18-2006 01:50 James Robinson
03-18-2006 03:12 Potenza
03-18-2006 07:26 JeffX
03-18-2006 20:11 Mr-914
03-19-2006 01:45 Mikef
03-17-2006 16:13 funny   (Score: 1, Normal) iNteGRaz92
03-17-2006 16:19 JeffX
03-17-2006 17:19 BB25
03-18-2006 13:29 buddha
03-18-2006 16:33 James Robinson
03-18-2006 12:12 GIVE THE RL POWER, POWER, POWER   (Score: 1, Normal) fortan
03-17-2006 21:25 Excellent Article!   (Score: 1, Normal) James Robinson
03-17-2006 21:27 James Robinson
03-18-2006 00:59 JeffX
03-18-2006 01:37 James Robinson
03-18-2006 07:31 JeffX
03-18-2006 09:27 James Robinson
03-18-2006 00:31 ??MUGEN??   (Score: 1, Normal) LOUDERMIKE
03-18-2006 01:01 JeffX
03-17-2006 23:55 my take   (Score: 1, Normal) SoR
03-17-2006 18:32 What the RL needs for MMC   (Score: 1, Normal) ducmnguyen
03-17-2006 18:19 On the dot.   (Score: 1, Normal) alisperling
03-17-2006 16:04 excellent analysis   (Score: 1, Normal) zapata
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