Honda hopes dedicated team to work wonders for Acura

Article by Andrew Christian, on March 18, 2014

Now that Acura is a division separate from Honda in the United States, there are hopes that the luxury brand would be able to shore up its image, boost the appeal of its products and increase its sales. For almost three decades, Acura and Honda were grouped together under American Honda, which meant that the company’s product planners, marketers and regional sales staffs have to splitting their efforts between the two brands.

Honda Motor basically treated Acura vehicles as upscale trim levels of Honda-badged products. Because of this treatment, Acura’s product lineup became plain and the brand suffered from inconsistent marketing and a muddled alphanumeric vehicle-naming strategy. Now, executives at American Honda are hoping that the move will create a cohesive sales and marketing silo for Acura.

Now armed with a dedicated r&d team, Acura should come up with smarter product and better marketing and get on the radar of the Japan HQ. The new structure is somewhat similar to the relationship between Toyota and Lexus as well as between Volkswagen and Audi. However, there are some hurdles that Acura should leap. Currently, Acura only exists in the Americas.

In other parts of the world, it is rebadged as Honda. Likewise, almost Acuras are assembled in the US, making it even more difficult to get on the radar of the Japan HQ "Not many shoppers view it as a luxury brand. It doesn't have the status of a Lexus or Audi. It's more like a Buick, a semi-premium vehicle," remarked Dave Sullivan, an analyst with AutoPacific.

"They don't seem to know what direction they want to go in. They don't have the Lexus experience at the dealer. No one is clamoring for an Acura." John Mendel, American Honda's executive vice president, acknowledged that a key issue was that the company had "long been separated by function rather than brand,” adding that automotive operations was different than auto sales." [source: automotive news - sub. required]

Topics: honda, acura

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

Bentley Motors has just released the specs of the new Bentayga Diesel. Obviously, we couldn’t wait to share it here since it’s the first ever diesel model to come out...
by - September 26, 2016
A big chunk of Volvo Cars’ legacy in developing the most durable and capable car is evident in its latest Cross Country collection. Suffice it to say, our planet has...
by - September 21, 2016
Just very recently, we were all delighted to finally see a Bugatti Chiron out in the streets casually hanging around Cannes in France. The said car was purchased by a...
by - September 9, 2016
Earlier this year, Aston Martin wowed the world with a stunning concept car – the Vanquish Zagato. The concept made its first appearance in May during the Concorso d’Eleganza Villa...
by - September 7, 2016
Lamborghini has always been known to be the home to exotic supercars. The Italian automaker’s production facilities have hosted uniquely designed and powerful show-stopping supercars. It all started with the...
by - September 5, 2016