One above all, the recent partnership between Marques Brownlee (one of the most followed and respected YouTube personalities in the tech world) and Top Gear, for the review of electric vehicles. But there are many more.

*YouTube largest Tech Reviewers Video previews related to electric mobility and electric cars reviews

*Speed expressed in seconds

Many automakers are more vertically integrated than ever, and their marketing programs extend in every phase of the customer journey. From the initial specification down to the numerous after-sales services. An idea like the Supercar Capsule, enriching the whole ‘man cave’ side of the experience (as it is commonly referred to) is the perfect complement for the other services usually provided almost exclusively by the automakers selling the car in the first place. And this is even more important in the age of social media where wealthy car owners and collectors often become proper internet personalities.

The capsule and special projects described add the missing piece in the car ownership experience that is already so refined in many other aspects and opens also unprecedented new opportunities for future developments. With electrification, AI, and IoT, the cars which are increasingly connected could become even more integrated with the capsules’ advanced technology making the whole experience richer and more seamless.

As Andrea specified, their projects now are so personalised that it is difficult to think about scaling the numbers up, with the contributing factor of the company being very new. So, the capsules are currently aimed at proper collectors. The ones that normally own several (£ million plus) extremely limited editions. However, it is not difficult to imagine the potential of a more standardised concept that strikes the right balance between efficiency and customisation.

Could the capsule, and the time spent with the car at home become the next addition to the already highly articulated marketing mixes of high-end car manufacturers? After all, they are a perfect expression of the direction in the modern luxury market.

Lamborghini follows a general trend under which more companies are adopting new plans to achieve the required results in terms of sustainability and cater to the upcoming generation of potential clients who are more and more interested in electric vehicles. From Bentley’s Beyond100 to Porsche’s Strategy 2025 and Ferrari’s latest announcement by CEO John Elkann.

Clearly, all the companies under the VW umbrella are quickly moving in a similar direction to catch up with the competition from electric manufacturers and leave behind those traditional automakers still lagging. The German group claimed it will spend €73 billion over the next 5 years in R&D, with around half spent on BEV development, a further 37% for car digitisation and software capabilities development, and the remaining 15% for existing models hybridisation.

WHAT ABOUT THE REGULATIONS

The measures taken by luxury automotive manufacturers are in response to the increasingly restrictive environmental regulations. The Euro 1 standard introduced in 1992 has been updated around every 5 years up until now with the standing Euro 6 standards.

*SourceSMMT

This period forced several automakers to undergo significant reorganisation. UK automakers Bentley, Aston Martin (already going through a difficult time), and McLaren particularly, had to lay off a considerable share of their personnel. Around 1,000, 500, and 1,200 workers respectively out of relatively small workforce compared to regular automakers. Additionally, many companies employed part of their resources to help their respective local or national public health system providing medical equipment.

However, despite the suffering, as discussed earlier, the luxury automotive segment was impacted less seriously. The first half of the year hit the companies more severely with the lockdowns, and all the companies showed signs of recovery in the second half of the year.

LUXURY CAR MANUFACTURERS SALES IN H1 AND H2 2020

WHAT ABOUT 2021?

The recovery continues in 2021. The vast majority of automakers (with a few who still haven’t published official numbers) reported positive results.

In the luxury segment, results are not just positive, but Bentley, Lamborghini, and Rolls-Royce have all reported record sales for their first quarter, growing respectively year-over-year by 40.2%, 24,6%, and 61.8%. Ferrari too has increased its deliveries to 2,771 units, a 1.2% more compared to 2020. This might seem less impressive, but it must be considered that its sales were already in line with 2019, the best year of the company, with deliveries that exceeded for the first time the 10,000 units. And surely Ferrari does not want to increase that volume massively incurring the risk of brand dilution.

On a separate note, Aston Martin, which was already going through a difficult time, instead made an even bigger step forward. The British automaker (which, must be said, started from a significantly low base volume in 2020) reported a +134% with 1353 cars sold in Q1 2021. 746 of those were SUVs. So, the DBX introduction seems to have had the effect it was supposed to have. Slightly more concerning, however, is the fact that almost like at Lamborghini, the other segments have remained almost stagnating, even though this is most likely due to the current line-up lifecycle and thus expected by Aston Martin’s decision-makers. The second rebirth could come with the production and delivery of the much expected Valkyrie, Valhalla, and Vanquish Vision.  

LUXURY CAR MANUFACTURERS FIRST QUARTER’S SALES (2020-2021)

*Porsche's data include only 911 sales

These results are especially positive if we consider that the biggest hit from the pandemic came, as specified before, with the shutdowns that generally happened in Q2. So, in most cases, the sales numbers were not affected by the virus outbreak at the time in 2020.

The trend however is not limited to the top-end of the market. Numbers reported by OEMs in the luxury and premium segment, right below the ones described before, tend to show similar if not even better results. The overall segment experienced a 29.6% growth compared to the still noteworthy 20.1% of the top luxury niche.

More modest instead is the result in the low to mid-price range passenger car market, where the overall growth among the reviewed brand is 8.1%.

OVERALL SALES IN THE FIRST QUARTER BY SEGMENT (2020-2021)

*Premium and Mass Market Segments are expressed in thousands (‘000)
*Luxury segment includes data from Aston Martin, Ferrari, Bentley, Rolls-Royce, Bugatti, Lamborghini, Porsche (only 911 and special editions)
*Premium segment includes data from BMW, Mini, Mercedes, Audi, Tesla, Porsche, Jaguar Land Rover, Maserati, Lincoln, Volvo *Mass market segment includes data from Toyota Group, VW, Skoda, Seat, Stellantis, Ford, GM, Renault Groupe, Hyundai, Kia, Nissan, Honda

Third, Customers’ power might even increase due to the current changes in automotive. While the industry is quite consolidated around a few companies, the overall size of this market is relatively small too. So, in addition to the current alternatives, with established automakers moving toward electrification there are numerous start-ups entering the market. Thus, the available choices increase, even if with brands that have less strength.

Again, the survey conducted among luxury and supercar owners, Design, on a scale from 1 to 10, is rated on average as the most important factor affecting their purchase decision. 

Resale value is an extremely important factor in the luxury automotive sector as it affects different stakeholders and impacts the company long-term. Scarcity and exclusivity are arguably the most important elements of any strategy in this niche and are applied to different extents by every company. This allows maintaining a healthy balance between supply and demand, at least for this industry. And I specify this because as Enzo Ferrari himself said, perfectly exemplifying this concept:

“Ferrari farà sempre un'auto in meno di quante ce ne chieda il mercato”

“Ferrari will always deliver one car less than the market demand”

The production here is not about satisfying the demand. But creating more than what the market can supply. While overproduction is detrimental in any sector, that is even more relevant in luxury automotive. Oversupply can impact resale value negatively, scaring away potential clients and collectors who also buy these cars as investments, and ultimately diluting the brand value.

It is somewhat counterintuitive how right now the majority of luxury automakers are seemingly overlooking the ‘brand dilution’ factor with SUVs’ production numbers. One example is Lamborghini that has been steadily drastically increasing its production and sales in the last three years just thanks to the SUV Urus, while the other models have been decreasing the majority of times (with 2020 of course impacted by the pandemic). However, this trend should at least in the short-term help preserving the value of sold Huracán and Aventador. 

This solution was already featured, a while back, in the Porsche Design Tower, developed once again by Dezer with the German automaker.

Bentley in fact is just the last one of a fast-growing list of luxury automakers and luxury brands approaching this market. Before the British marque, similar developments have been started, or are already in the pipeline for Aston Martin, Bugatti, Mercedes, Pininfarina, Porsche, and Tonino Lamborghini(at least in a way related to the automaker).

Branded Residences have been a growing trend in the luxury industry for a while now. It is gradually expanding to lower segments of the market too. But while the vast majority of these projects is still handled by Hoteliers (Marriott being the largest), automakers now constitute a consistent share of this niche.

But how does it work and why would a low-volume automaker develop and sell or rent a super-luxury residence?

A MARKET OVERVIEW

The competition in the top-end of the luxury market is becoming fiercer. Along with automotive manufacturers, also fashion brands are approaching it. So, for anyone interested you could also decide to buy, or book a long-stay in an Armani Residence in Dubai, or a Missoni one in Miami.

Clients in the niche are becoming more and more demanding. A high level of customer service is expected,so brands have to constantly come up with new, innovative, and unique solutions to lure the attention of their selected clientele.

*Source:Savills 

Additionally, while right now the Automotive marques share of this market is around 5%, this is set to grow up to 24% by 2025, second, as a non-hotel brand, to fashion ones at 28%.

AUTOMAKERS COMPETITION AND OBJECTIVES

On the one hand, this is an interesting diversification solution in a market that is steadily growing and is relatively new. On the other hand, some risks must be taken into account.

The branding of these buildings is usually licensed by the marques to the developers, and later the owners will also pay some fees on it. Other earnings can come from design work and technical consultancy. So, while this represents an additional stream of revenues, there might be risks connected with brand image. The reduced control over the property management might affect negatively the company’s name if the services or facilities are not considered up to standard.

If money is invested too in a different type of contract the risk might increase. This is in fact a very competitive niche and with a small customer base. Luckily, at this end of the market, with the asked price in the tens of millions, the possibilities are almost endless. So, luxury automakers and their partners have to rely on features and services that other brands outside the automotive niche cannot, or would not think about.

*Source:Aston Martin Residences - Aston Martin Residence Penthouse Floor plan

Its entire line of mid-engine cars goes straight into the competition with Ferrari's, Lamborghini's, and McLaren's core businesses. These models though, along with the brand that is being heavily revamped, will also bring the signature of star Formula 1 engineer and aerodynamicist Adrian Newey. His contribution led to countless victories in the sport, and he is considered to be one of the best ever to work in it. This factor alone contributed massively to the expectations for these cars.

The two most important attributes for an Aston Martin product have to be Brand and Design. An Aston Martin is and has to be immediately recognisable by its unparalleled elegance and design features, such as the front grid. Also, as reported in the survey I carried out, featured in the article Not Just Luxury Cars: Aston Martin Diversification Strategy, Aston Martin scored particularly high (8.1) when it comes to brand importance in the purchase decision. On a 1-10 scale, outscored all of its competitors, except for Ferrari by a mere 0.1. This indicates an extremely important brand name to be preserved as a crucial component of its marketing mix.

*Aston Martin Design Evolution and consistency. From the Left: 1958 DB4, 2003 DB7 Zagato, 2018 DBS Superleggera, 2023 Vanquish Vision Concept - Photos, except Vanquish Vision, byAston Martin Media

All the core Aston Martin models have been positioned as a perfect mix of elegance and comfort while still offering thrilling performance. In the middle between more luxury-oriented automakers like Bentley, and pure performance-oriented ones like McLaren. Valkyrie, Valhalla, and Vanquish should significantly change that.

Regarding the features, while having lagged behind some other automakers due to the deal that allowed Aston Martin to install only previous generation Mercedes technology in their car, the renewed collaboration should solve this issue too. With the new Partnership detailed here, Aston Martin will have access to the latest technologies offered by the German automaker which is currently one of the leaders in the industry.

PRICE

The price positioning is at the top-end of the market. It ranges from £125,500 of the Vantage up to £247,500 for the DBS Superleggera Volante. DBX starts at £162,125. The hypercar Valkyrie will be well over £2 million, while the Valhalla should be around £1 million.

All of these starting prices might vary massively once options and personalisation by specialised division Aston Martin Q are applied. These can go easily over an additional £100,000.

*A relatively lightly equipped DBS Superleggera Volante reaching £265,805 after options

Value retention is a crucial component of this market for collectors, investors, and the brand itself. This is in fact, a big factor in the company's decision to change its business model. In the past years, Aston Martin cars suffered from steep depreciation. 2005/6 Vantage can be found on the market for a little over £30,000.

Thus, a big effort by the company in 2020, went into destocking. And limiting the offer with the ‘Ferrari-like' production-to-order model should grant a minor depreciation of pre-owned cars in the future preserving the brand exclusivity too at the same time.    

PLACE

As of 2020, Aston Martin sells cars through a network of 168 dealers, with a significant increase in Asia, and particularly China with new locations in Kunming, Foshan, Shanghai, Shenzhen, and Xi'an.

The network is operated through franchises, which enables strong control over brand positioning and limits investments.

Also, like in the previous analysis, Aston Martin dealers are located in specific areas with a higher density of high-net-worth individuals or other luxury car dealerships.

*Aston Martin and other dealers locations in two areas of London.

The pandemic in 2020 deeply affected the dealers' operations. Globally there were many closures and the network had to adapt putting in place health and safety measures for staff and clients. This also brought an acceleration on the development of remote points of contact, with increased services digitization and online engagement. These processes will be maintained in the future offering the option of online or face-to-face service.

PROMOTION

Aston Martin's restructuring and new strategy modified radically its promotion channels as well.

Traditionally, the pillars of its strategy are motorsport, events, alternative projects, and movies. Over the last decade and especially in the last year, the range of activities and channels has been expanding significantly.

Like other automakers in the space, Aston Martin was born, in 1913, from a racing heritage. Despite the focus on sports car production, one of its founders, Lionel Martin, actively participated in hill climb races. Over the decades its racing heritage was firmly established. Since the 50s, the marque has successfully participated in endurance championships such as the Le Mans 24 Hours. In the 2000s, after a long stop, it returned to the endurance competitions such as the FIA WEC. This has since become part of Aston Martin's image in luxury automotive, and an important promotion platform.

After many successes, in 2021, the new executive decided to partially leave the WEC activities to re-enter Formula 1. This has been a massive move, in which Lawrence Stroll, rebranded his Formula 1 team Racing point as Aston Martin Cognizant Formula 1 Team, bringing effectively the marque back to the motorsport top series after 60 years. Along with this, the team brought in one of the most successful F1 drivers of all time, Sebastian Vettel, which in fact, being a very influential personality in motorsport has already been featured in the latest beautiful ad online for the DBX. And thanks to the newly established partnership, Vantage and DBX also became Formula 1 official safety cars during the Grand Prix. This campaign brought massive results, and the team reveal was by far the most anticipated of the season, with huge coverage on every channel. Most importantly, it brings Aston Martin closer to what, so far, only Ferrari and McLaren could boast in terms of Motorsport activities and promotion channels.

Additionally, it is known that Aston Martin has expressed its interest in entering with Valkyrie, in 2023, the new FIA WEC LM Hypercar series, which is another championship that promises to attract a lot of attention.

*Photos byAston Martin Media

With regards to the events, Aston Martin offers a range of experiences to both clients and enthusiasts. From the Art of Life lifestyle program, bringing guests through road trips in special locations, to bespoke events for groups, to the AMR Drivers' Club started in 2019. A program of track days offering both clients and enthusiasts driving experiences on famous racing tracks with cars from the fleet available or private ones.

Aside from its core business, Aston Martin undertakes a range of innovative and unexpected projects. Bicycle, boats, real estate, and more, detailed HERE, which contribute to expanding the brand's reach and reputation.

The fourth channel I mentioned was the Movie industry. Because, while many luxury automotive brands today and in the past have been featured in movies and television shows, no one enjoys an almost exclusive presence in one of the most successful franchises in Cinema. Aston Martin is, in fact, 007 car of choice. And the next James Bond movie ‘No Time to Die', now delayed multiple times due to the pandemic, will be no exception with four different Aston Martin models featured in it.

Of course, along come also a wide offering of fashion and lifestyle apparel and items developed in partnership with luxury brands.

Finally, tying in with all the previous points, the company enjoys a strong and distinctive online presenceon all the major platforms, with the F1 entry giving it a further boost. To this, must be added the models and new unveilings coverage by reviewers and influencers in the automotive space. One above all, Mr. JWW, a successful YouTuber and entrepreneur that in partnership with the brand developed a bespoke highly personalised line of DBX.

Over the summer, to take advantage of the fast-growing E-Sports sector, Aston Martin participated with its team in official competitions, and from 2021 it will have one as well in the F1 E-Sports Championship.

PARTICIPANTS

Participants are involved on multiple levels through the customer journey that, as dictated by modern standards in the industry becomes increasingly diversified and complex.

From the order to the specification and personalisation through Aston Martin specialised division Q, of after-sales services and brand experiences. These points of contact will likely be expanded too, via online services. The automaker already has a range of apps for clients and enthusiasts to configure a car and gather other useful information. But right now, solutions bringing together clients as a family and closer to the brand through new seamless services to improve loyalty are more and more common. So a specialised app for owners can be expected as well.

PHYSICAL EVIDENCE

Aston Martin's online presence, overall brand appearance, and physical locations all convey a consistent messageand pretty much the same feeling one gets while sitting in a real car. A sense of proper refinement and luxury. As specified by the company, this is maintained through strict control over their dealers' management. The spaces themselves are proper ateliers where clients can specify their cars' options down the tiniest detail. A similar look & feel is brought also in stores and shops selling branded merchandise.

PROCESS

The process can vary a lot depending on the involvement of each individual. As reviewed before, all the services are increasingly personalised and the improvement in digital technology will probably strengthen them. On-demand content delivered to potential clients will be more common.

Also, Aston Martin's new production-to-order approach, intrinsically means that the overall process will become more personal and involving for each car produced, further improving brand loyalty and reputation. This process, anyway, has just started so there are time and space for new solutions.

PERSONALISATION

This is the one characteristics around which revolves most of the modern innovations and refinement in this industry.

Aston Martin Q division announced in 2012 (its name inspired by the 007 series), has recently been updated with two different programs.

The first is Aston Martin Collection. A service that offers a range of pre-designed components to enrich a model. The second, Aston Martin Commission instead gives access to the virtually unlimited options offered to clients and a close collaboration with the specialised team. Materials, colours, finishes, graphic details, internal components, and more.

Along with these, Aston Martin produces a number of limited series dedicated to specialised events and anniversaries, the last of which is the Aston Martin Wings series inspired by the connection with the Royal Air Force. Its three industrial plants, in fact, are located on the former RAF bases.

*Aston Martin Victor. Photos byAston Martin Media

Last but not least, going with bespoke high luxury, is the One-Off Luxury car development trend. The Prototype Operations program that gave birth to the Aston Martin Victor could bring new one-off models more regularly in the future. This represents the absolute peak of luxury personalisation, with clients working closely with the brand's designers and engineers to develop a unique car.

There is still much that has come to fruition in this renewed business. The DBX potential success, the F1 campaign, the new models, and other projects such as electrified cars. All in all, anyway, Aston Martin has laid the foundations for a successful new decade and a competition stronger than ever. For sure, all this makes it one of the most exciting companies to follow right now.

THE CURRENT MARKET

Mostly in the last decade, luxury automotive has seen the rising trend of personalisation. It has become crucially important and extensive tailor-made programs turned into a necessity for luxury automakers to complement their products and define the customer experience it is expected from such them today.

While modern automotive ateliers are refined places, where clients can review a huge variety of fabrics, material samples, and hues for the cars’ bodywork paint, there is an obvious issue with this process. Dealerships will not have the actual product the client wants to showcase. At best, the same model with a different specification. This is even more relevant for OEMs that produce an extremely limited volume of cars such as Pagani, Koenigsegg, and Bugatti.

Pretty much all the modern luxury automakers nowadays have a car configurator to bypass this obstacle. This can come in different versions. A basic one, built in the companies’ websites which is useful for new models, or first-time buyers to get an idea of what to expect but also available to anyone. And a more in-depth one, which is used by employees in dealerships, ateliers, or other specialised departments where the personalisation can really get to the smallest detail.

So, what are the limitations of this model? How can it be improved and what’s the next step?

THE PROJECT

Here’s when MHP and Unreal Engine come in. As said by the Senior Consultant at MHP:

“Because every single vehicle is built exclusively for a customer, the retailers don’t have the physical cars available in the stores. We had to develop a solution that is visually appealing, photorealistic, and provides this immersive feel, all inside of an Unreal Engine-based application.”

This experience was enabled by the evolution of the Unreal Engine and especially by the addition of ray tracing. This graphic rendering technique simulates the behaviour of light in an environment and when recursive it even replicates the effects caused by light refraction, reflection, absorption, and fluorescence hitting different materials. This last step effectively achieved photorealism.

The video below is a quick demonstration of the Pagani configurator capabilities only in its lighter version that you can try out at the link at the end of the page:

The importance of this new application is that along with being aesthetically superior, it will not just be limited to the configurator. MHP transformed a “Point-of-sales application into a flexible rendering backend”.

This means that along with the retail configurator, and differently from other similar applications, the new platform can be used as a streaming configurator, or to generate high-quality images, videos, and other digital content and giveaways on demand. In turn, this availability will make for a more immersive customer experience, a closer connection with the brand, and limit the costs as everything can be managed by the same application.

Another noteworthy achievement is the creation of configurable videos. Posing the client’s personalised car into a digital environment allows seeing a realistic rendering of it in different settings (those who have been to the Pagani museum in San Cesario sul Panaro will recognise the extremely accurate setting reproduced in the configurator and visible in the video above), times, and weathers. Also, along with a specialised crew, MHP shot a film around the Imola racetrack in Italy. Here, the subject, a Pagani car, can be swapped or modified according to the clients’ requirements to see the actual vehicle's appearance in real surroundings making the experience much deeper and overall better.

IMPLICATIONS AND TECHNOLOGY POTENTIAL EVOLUTIONS

According to Pascal Bayer, Application Architect at MHP, this system based on Unreal Engine is structured as a modular service that can cater to different needs all from this single source. This connects the different application interfaces used for each service and importantly, also allowed for the integration of analytics and CRM tools.

*Source:Unreal Build: Automotive 2021

Nowadays, Lamborghini is, for the most part, synonymous with flashy, futuristic-looking, impractical, “uncomfortable”, but luxurious, beautiful, and crazy-fast 2-seater supercars. Naturally, being impractical, and uncomfortable, to a certain extent, is not a concern for a Lamborghini owner. Because anyone who buys a car like this knows exactly what is signing up for.

After the Miura in the 60s and 70s, and even more after the Countach that has become a proper Icon of the 80s, Lamborghini’s main focus has become producing V12-powered (later V10 too) flagship supercars. As the years passed, along with maintaining the values mentioned before, the main focus for these cars has been offering outstanding performance. And they have achieved some noteworthy results. The latest with the Aventador SVJ at the Nurburgring (and we could expect more from the recently released Huracán STO).But the top-class performance and the right driving experience come with a cost. Harsh ride quality and weight-saving measures are a natural requirement. So uncomfortable does not mean that who buys a Lamborghini gets bad seats but will get the most appropriate gear to drive fast and properly enjoy the car’s capabilities. The same goes for poor practicality, these cars are born for the track, not for long trips.

In the beginning, though, I wrote “for the most part”because at the end of 2017, to the two product lines Aventador and Huracán, Lamborghini added the SUV Urus. This latest addition certainly addresses both the characteristics of comfort and practicality that lack in the other two, as well as giving the brand access to the hottest market segment right now. Saying, in fact, that Urus is just a mere part of Lamborghini’s production might seem an understatement as since its inception it straight doubled the company’s numbers. In the last two years, it sold more than 50% of Lamborghini’s total output. 

This is indeed the reason that attracted large investments from numerous top-tier automotive companies, both in the luxury segment and lower ones. The latest one being a stake increase by Porsche which already owned 15.5% of the company, and last week, with an additional €70 million investment brought it to 24%. To this and other companies that have already established strategic partnerships with the Croatian OEM, new European manufacturers could follow, especially in the performance market segment.

In the last few months, 2016 F1 World Champion Nico Rosberg's interest and C_Two's final purchase brought a lot of media attention. However, with only an extremely low number of Concept One produced and the C_Two still in development, Rimac (at least for now) cannot compete with other luxury automakers when it comes to content like car reviews and certain communication strategies.

Let’s see then which strategy the company is adopting on social media and which strength it is playing on.

MONDAYS WITH MATE

By far the most interesting is YouTube. In a previous analysis about the latest luxury automotive start-ups entering the market, it was highlighted the importance of a main figure at the top. An inspiring personality that becomes the proper face of the company. And as for the two before, Pagani and Koenigsegg, Rimac too adopted this narrative. One of their most prolific series on the official YouTube channel is ‘Mondays with Mate’, a particularly good example of that.

As the title suggests, in fact, each video is hosted by Mater Rimac himself, going in-depth into the topic chosen and usually supported by a professional working in that specific area of interest.

But there is more. The series is based mainly on questions received from the viewers, and the topics picked again, most of the time, revolves around technical aspects of the C_Two and other Rimac technologies development.

The series includes what could be called the three ‘pillars’ of Rimac’s online communication. Mate Rimac’s figure, the company’s technological prowess, and audience involvement.

For the first one, the brand’s identity is consistently communicated throughout the various platforms. A really unique history with the founder racing his electrified BMW E30 and later on starting the company.

The last two instead are present in numerous other videos and posts. The majority of content published, as said, regards the engineering and technological side of the business. This is always carried out with an eye on audience engagement. Are frequent the Q&As with company employees replying to viewers, and references to work opportunities at Rimac and talent acquisition activities.

PART OF RIMAC’S MESSAGE

Another way in which the young company achieves that and raises its popularity among aspiring professionals is through online challenges and giveaways. Especially, in 2020 there have been a few initiatives, directed at designers and proposing them to come up with their own concepts for a helmet, or a futuristic car.

To this, is connected another theme. The company’s origin, and most of all the country's lifestyle. Croatia, in fact, has no other established automotive companies. This, according to Mate himself, has been one of the biggest challenges to overcome, but one that, as people said it would have become an obstacle, probably gained even more importance.

As a result, the attachment to the motherland and national identity is strong in the company’s image, and part of the communication is dedicated to that. The presence of such a prestigious brand (even if young) will surely help the popularity of Zagreb and Sveta Nadelja.

*Sveta Nadelja

WHAT ABOUT THOSE STILL IN THE BUSINESS?

Even with the majority of companies in the business either disappearing or changing completely or partially their model, there are some that still continue to design exclusively unique or highly limited models and concepts.

The biggest name is surely Zagato. The Milan coachbuilding company standing now for over 100 years counts collaborations with pretty much every major luxury car manufacturer. The most important partnership is the one with Aston Martin that, even in the last decade, produced several highly limited vehicles. One above all the Aston Martin Vanquish Zagato series. Other names are either relatively new or just significantly smaller. These are the Italian firms Spadaconcept, Ares Design, Manifattura Automobili Torino, and Fioravanti, the Japanese Mitsuoka, and the Dutch Vandenbrink Design.

*Aston Martin Vanquish Zagato Shooting Brake

2020 MAIN PREMIUM EV MODEL SALES

*Tesla reports Model S and Model X sales figures together
**Audi data accounting only for the first 9 months of the year
***New Data for Mercedes EVs coming on February 18th

Along with the good results shown in this graph, there are two important factors to keep in mind. The first is that except in its base version, Taycan is generally much more expensive than the competitors listed here (the new Tesla Model S and X Plaid come closer to it). Secondly, Model X, Audi E-Tron, and I-Pace are all in the small SUV or Crossover segment which is definitely more sought after these days. These two factors make the Taycan results even more impressive and more interesting the potential for the upcoming Cross Turismo.

This scenario is likely to change significantly in 2021 as a number of high-profile competitors have entered the market in mid to late 2020. Polestar 2, BMW iX3, Ford Mustang Mach-E to name a few.

Determined the Taycan noteworthy success, even within a competitive segment that is not the most popular nowadays, let’s have a look at how Porsche achieved this success. What kind of campaigns did Porsche employ for its first EV Promotion?

MODERN ONLINE MARKETING

Taycan like many other luxury vehicles, especially during 2020 with lockdowns and restrictions got a lot of visibility thanks to online reviews and driving tests. Since its release, in fact, it made the first page of pretty much every automotive social media outlet, not only for the novelty of being an electric Porsche but thanks to its characteristics. From the overall build quality far superior to that of its competitors to its driving capabilities.

Chris Harris, like others, in his review points out how the car driving dynamic and agility is superior to other electric vehicles and actually extremely close to the one in a regular Porsche ICE Sportscar despite its considerable weight.

Additionally, a consequence of the interest in the new drivetrain and technology started by Tesla’s success is that Taycan too caught the attention of a new audience that does not necessarily overlap with that of car enthusiasts. EVs have in fact grown in popularity among the tech fans community. Satisfying the needs and wishes of this new (and generally very young) audience can benefit Porsche by bringing in new potential clients and increasing brand loyalty.

These are crucial components of modern marketing for any luxury car. In the case of the Taycan though, there is more…

SOME UNIQUE MARKETING

I previously discussed the success of The Heist, the second most-viewed automotive video on YouTube, and a great example of the power of storytelling in automotive marketing that many other automakers are following. This is already quite a unique achievement and a display opportunity for Porsche.

The second one-of-a-kind initiative to promote Taycan has been realised in Seoul on the occasion of its launch in Korea. The show itself featured an extraordinary light show symbolising the futuristic look and technology employed for this car. What is even more surprising though, is that in the days leading up to the event, a lorry carried around through the city an installation with a 3D Hologram representing running horses. The idea comes from the name of the car which according to Porsche ‘can be roughly translated to mean soul of a spirited young horse’.

*Source:Porsche

While very impressive, this is not the last unusual campaign organised by Porsche to push the EV to maximum visibility. So here comes the Guinness World Records.

On two separate occasions, Taycan achieved World Records for the longest drift with an electric vehicle and the highest indoor vehicle speed.

On the first, driving instructor Dennis Retera completed 210 laps of a 200 metres circle, for a total of 42,171 Kilometres covered in 55 minutes. This specific record served also to showcase the potential of the rear-wheel-drive Taycan, produced exactly to enhance the fun and feeling of a true sportscar.

*Source:Porsche

The second record instead was set by racing driver Leh Keen reaching a top speed of 165.1 Km/h in an enclosed building. This time the AWD Taycan was used to maximise grip, acceleration, and crucially, deceleration, as the space available was limited by the Guinness World Record rules.

This was an important showcase of top performance. Complete trust in the vehicle’s capabilities on a tricky slick surface, allowed the driver to achieve the record on the first attempt.

*Source:Porsche

CONCLUDING THOUGHTS

Even though from an everyday performance perspective these achievements might not seem to mean much, this is different for car enthusiasts and will likely prove to be a smart move. Proving that a good electric sportscar is more than just straight-line speed, might help to convince current luxury performance car buyers that generally meet EVs with a certain scepticism.

If all the rest was not enough, this will at least be another way to record the Taycan on the history pages.

The company founded in 2017, revealed its first car, Naran Hyper Coupe in late 2020. CEO and founder Ameerh Naran from Zimbabwe, grown with a strong passion for high-performance automotive aims at creating the most powerful and most beautiful cars in the world.

Naran's first attempt, the Hyper Coupe, a GT3 inspired vehicle powered by a 5L Twin-Turbo V8 producing 1048 hp, 1036 Nm of torque, and 1377 Kg of downforce. It will also feature hydraulic steering, four-way adjustable dampers, forged carbon-ceramic brakes, double-wishbone suspension, hybrid carbon wheels.

*Source:Naran Automotive

THE TREND

From the graph above it is evident how Ferrari has been developing unique models for their clients for a while. From the first P4/5, it followed the 2008 SP1, with the name indicating the first model of the Ferrari Special Projects or Portfolio Coachbuilding Program. The Program has been started to bring back the experience of old days coachbuilding.

It is not surprising to see Ferrari being the first to embrace this kind of strategy. Not only they are one of the oldest companies in the space, but they have also been developing an extremely complex marketing mix whose example is being followed by other automakers in various instances.

The second trend observable in the graph is the overall increasing number of one-off or few-off projects. Much like bespoke personalisation programs, in the last decade, many companies claimed the intention to introduce their own highly bespoke division to produce unique models regularly.

*In order Ferrari SP1, Ferrari SP38, Ferrari Omologata, Pagani Zonda Zun, Bugatti La Voiture Noire, Bentley Bacalar Mulliner, Aston Martin Victor, Lamborghini SC20, McLaren Sabre

McLaren’s MSO before Sabre had stated the will to move in this direction. Pagani too, which already produced an extremely low volume of cars, started introducing unique highly modified models for their wealthiest clients.

Additionally, over the last three years, more companies joined this exclusive club. Lamborghini released its second one-off SC20 again developed by a client working with Squadra Corse, after the SC18 Alston. In Aston Martin, the Victor could only be the firstborn of a project called Prototype Operations teased by Andy Palmer in 2017 during an interview for Road & Track. The then CEO claimed their intention to ramp this production up to two cars per year. Bentley too withMulliner and the super limited Bacalar (only 12 units scheduled) reintroduced its concept of bespoke coachbuilding.

SOME OBSERVATIONS

It will be interesting to see if this dynamic turns into a proper trend. As of now, it does seem the direction these automakers are moving toward. If so, it would represent an entirely new competition stage that could, in time, even change how “regular” luxury performance cars are perceived and how wealthy clients approach these brands.

If these projects become more frequent, it can be expected to see more and more clients requesting this kind of service. In turn, some OEMs could either decide to partially lower their production volumes to focus more on limited series (following Bugatti, Pagani, or Koenigsegg business model), or sell their “slots” for even higher prices, considering that these one-off cars already sell for several million each.

In this respect, market regulations and restrictions evolving in the coming years might play an important role too.

The ownership of the vehicle ‘to go from A to B’ will cease to exist. In his hypothesis, when cars will not be allowed to drive on the road anymore as it happens for horses even today, they will survive thanks to enthusiasts who will keep driving them on tracks or other designated locations.

While some assumptions might be debatable, and the role of modern cars in our society, as well as their intrinsic and symbolic values, are probably quite different from those of horses, Mate Rimac’s vision is worth mentioning as it could tie in with the one-off cars trend. If luxury sports cars become objects for an even smaller customer base, one-offs could become even more relevant within the brand strategy and this could be the beginning of something bigger for the future of the industry.

*Cover Image byLamborghini Media