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Andy PalmerCEO
Aston Martin
May 2015
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The Reinvention of Aston Martin
Dr. Andy Palmer
Chief Executive Officer
Voted UK’s coolest brand 5 times since 2006 (CoolBrands®)
Reputation Products People Culture Image
Our identity. Our passion. Power Beauty Soul
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Reinvention of Aston Martin as a luxury Brand that makes automobiles
Luxury market growth is expected to continue; moving to BRIC markets
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280 299 319351
2011 2012 2013 2014E
Luxury Cars Market Trend (€B)(Bain & Co Global Luxury Goods Worldwide
Market Study)
Locations of HNWI
Africa Middle EastLatin America EuropeAsia-Pacific North America
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Global HNWI Growth(CapGemini Lorenz Curve Analysis)
Individuals
(Millions)Locations of HNWI
Africa Middle EastLatin America EuropeAsia-Pacific North America
2000 2050
The population of HNWIs has
the potential to double by 2050
Location of HNWI(CapGemini Global Wealth Report Extrapolated)
+7%+6%
• Luxury car market projected to post solid growth, driven by “high-end"
segment and emerging markets
- Especially Brazil, India, Middle East and China where luxury cars are still
perceived as "social enablers"
• 360° customization trend: from product to services
- Customers are choosing to customise their vehicles doubling or even
tripling the basic price tag
- Personalisation extended also to financing structure and after-sales
services
• Super luxury SUVs as a new emerging segment in which several high-end
carmakers will compete in the coming years
• Connectivity and ergonomics as "the two hot topics" in the industry
+10%
Our ‘Second Century Plan’ is targeted towards ensuring our sustainability as a luxury business
Second Century Plan
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Phase 1:
Stabilisation
Phase 2
Core Strengthening
Phase 3
Portfolio Expansion
Sustainable Luxury Business
Exclusive luxury cars will remain at our core; new luxury models will ensure sustainability
3-Pillar Portfolio Strategy
Power Beauty Soul
Sports SedanNext generation of 4-
door sports sedan to
compete with Rolls-
Royce / Bentley
To be funded from
future cash-flows
Sports CarsRenewal of sports car
range with iconic cars
with unmistakable
design and increased
visual differentiation
between products
X-Over GTAthletic and
dynamic GT with
increased usability
targeting female
HNWIs
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Inspiring Customer
Focused Product
Replacement of current product portfolio with new competitive luxury
products focused on a diverse global customer base
Strengthened Global
Brand & Sales Power
Power Beauty Soul will be recognised internationally as defining
Aston Martin luxury; driving the business and global sales growth
Leadership in Cost
Control
Sustainability depends on robust cost control, ensuring value add is
in everything we do
Enhanced Quality The foundation of being a great brand is in the quality of everything
we do – product quality, service excellence, customer experience
Passionate and
Professional People
The culture of the team that is the Aston Martin family – employees,
our dealers and brand partners defines Aston Martin
Financing & Funding Ensure delivery of the vision through funding activities, delivering
sustainable positive cash flow after 2017
‘HOSHIN KANRI’ (Policy Deployment)
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Aston Martin: A Sustainable Luxury Business
Aston Martin and ‘The Art of Living’
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Proven Pricing Power
An increase in Average Selling Price of 63% since 2007
Ability of halo products to command ultra-high prices
Strong second-hand values of halo products and classics
Brand Exclusivity
Exclusive yet visible
High-end dealer showrooms with equivalent luxury experience
Money can’t buy experiences
Product Desirability
Design leadership: assertive, distinctive style
Sensory superiority: materials, craftsmanship & sound quality
Competitive performance, technology and feature specification
Bespoke products & personalisation via Q by Aston Martin
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2007 2008 2009 2010 2011 2012 2013 2014
Average Selling Price (£k/unit)
+63%
Knowing Our Customers
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New Luxury Customers Cultivating Relationships
Personal Experiences Exclusive Club
Sophisticated engine
supporting cultivation of
long-term 1:1 relationships
Salesforce engaged as our
system partner
Omotenashi: every
encounter single and
unique
Anticipating needs;
exceeding expectations
Private club
membership for
VVIPs
Consistency: Luxury is now beyond the product
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End-to-End Customisation: The luxury business versus the mass market
LUXURY MARKET MASS MARKET
Detailed and bespoke product specification and ordering
process
‘One Click to Buy’
‘Omotenashi’; there when you need; anticipate needs
and wants
Self-service; algorithmic purchase suggestions
Collections; caretaking for future generations;
provenance
Disposable; always something new coming along; in-
built obsolescence
Direct relationship with the company; access to the CEO Out-sourced and off-shored customer call centres; on-
line FAQs
Visit the factory/workshop; meet the craftsmen and
women
Made in [?]; automated mass production
Surprise gifts, social events; previews and exclusive
access
Loyalty schemes – collecting points and coupons
Attractiveness of a compelling and relevant story Same
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Dealers remain essential interface with customers
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Network of 155 dealerships world-wide : Presence where the customers are, consistent experience
Future: Dealer partners not only investing in facilities, but also service, personalisation and customer relationships
Dealer network has
expanded 2.5x
since 2000
70% of our dealer
partners have been
with us for over 20
years
Our longest
relationship extends
almost 65 years
The Reinvention of Aston Martin
Continue to position Aston Martin as a luxury brand that makes beautiful cars
Ensure relevance for a new generation of HNW customers
Satisfy demand for experiences as well as product – wherever our customers are
Our dealer partners remain an essential enabler to delivering end-to-end service
excellence and personalisation
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