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I thought this was interesting enough to start a discussion.
Seems VW subsidiary Skoda will start to produce - again - an old version of the Octavia as a budget car.
SOURCE: AutoExpress-UK
We've seen some brands do this with vehicles in other markets. For example GM produces an old version of the Corsa in markets like Argentina and Brazil as a Chevrolet. When the new Jetta/Golf/Rabbit debuted in Canada, VW took the old Jetta and Golf - rebadged them as CityGolf or CityJetta - and sold them for a short period of time alongside the new models. In Mexico they still have the older Jetta on sale with an update (sold as a Jetta) and right across the new showroom they have the new Jetta (sold as the Bora). VW also has an increidibly old version of the Mk1 Golf it sells in South Africa as the "Citi Golf".
Point is, part of this is not really new. But reintroducing a car 4 years after it went out of production - in the same market where it debuted years before - is kinda news. And may also point to a possible trend.
The Mk1 Octavia went out of production in 2004. Having it reintroduced in the market it orginated from would certainly raise a few eyebrows and probably depress resale values of the car on the used car market.
I hope, at least, they have the common sense to update the styling a tad and give it another name so as not to destroy the "brand awareness" of the Octavia badge. That just makes sense; I know I would do this.
But looking to North America, what if GM or Ford or Chrysler (or any brand) did this here?
For example, the new Cobalt has been on the market for a few years - what if GM brought back the old Cavalier as a budget compact? Would it eat into Cobalt sales?
Or what if GM brought back the old S10 pickup since its dimensionally smaller than the new Colorado as a budget/economical small-pickup? Would this work?
Or what if Chrysler continued to produce the Neon as an ultra low priced product to compete in the market? It would be the size of a compact car (like the Focus or Cobalt) but competing in price against sub-compact cars (the Aveo, Fit, Yaris) - would it be well received?
All interesting stuff to ponder - and as cars get more and more expensive, it may be something to consider to keep factories running and market-share from shrinking.
And if they could do it with "reasonable and plausible" appearance updates - as Fiat does in South America, VW does in Mexico, or GM has started to do in China - then it may be a successful formula.
But it also reflects the trend that we are seeing in companies going lower in the market (Dacia Logan, the new Tata Nano, Renault-Nissan project, GM's push in the lower end of the market, etc)and are even establishing "low-budget brands" to market them successfully (consider what Fiat and Toyota are going to do).
Is recycling platforms and products to address this the wave of the future? Just a thought.
Seems VW subsidiary Skoda will start to produce - again - an old version of the Octavia as a budget car.
SOURCE: AutoExpress-UK
MORE HERESkoda to build old Octavia again
By Dan Strong
21st May 2008
Czech firm will launch new budget motor based on its old Octavia to take on models from Kia and Hyundai.
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It’s back to the future for Skoda’s original Octavia. The car, first launched in 1998, is set to return to full production as a discount model. It will provide a value-for-money alternative to challengers from the likes of Kia, Hyundai and future rival Dacia.
Details of the newcomer remain scarce, but Skoda has admitted the car is likely to go on sale in 2010 with a price tag of less than £10,000. Nevertheless, it will be reasonably well equipped, with electric windows and air-conditioning.
Described as a ‘world car’, the Octavia would be made available across Europe as well as new markets such as China. It’s possible that the first models will use an upgraded version of the VW Group’s proven 1.9-litre diesel and its 2.0-litre petrol engines. But smaller, more economical units could also be offered at a later date. The newcomer is likely to share some of its design and engineering with the recently confirmed SEAT Bolero. That model is based on the last Audi A4 platform, and is set to be revealed at the Paris Motor Show. However, the arrival of the updated Octavia is only one part of Skoda’s ambitious plans.
We've seen some brands do this with vehicles in other markets. For example GM produces an old version of the Corsa in markets like Argentina and Brazil as a Chevrolet. When the new Jetta/Golf/Rabbit debuted in Canada, VW took the old Jetta and Golf - rebadged them as CityGolf or CityJetta - and sold them for a short period of time alongside the new models. In Mexico they still have the older Jetta on sale with an update (sold as a Jetta) and right across the new showroom they have the new Jetta (sold as the Bora). VW also has an increidibly old version of the Mk1 Golf it sells in South Africa as the "Citi Golf".
Point is, part of this is not really new. But reintroducing a car 4 years after it went out of production - in the same market where it debuted years before - is kinda news. And may also point to a possible trend.
The Mk1 Octavia went out of production in 2004. Having it reintroduced in the market it orginated from would certainly raise a few eyebrows and probably depress resale values of the car on the used car market.
I hope, at least, they have the common sense to update the styling a tad and give it another name so as not to destroy the "brand awareness" of the Octavia badge. That just makes sense; I know I would do this.
But looking to North America, what if GM or Ford or Chrysler (or any brand) did this here?
For example, the new Cobalt has been on the market for a few years - what if GM brought back the old Cavalier as a budget compact? Would it eat into Cobalt sales?
Or what if GM brought back the old S10 pickup since its dimensionally smaller than the new Colorado as a budget/economical small-pickup? Would this work?
Or what if Chrysler continued to produce the Neon as an ultra low priced product to compete in the market? It would be the size of a compact car (like the Focus or Cobalt) but competing in price against sub-compact cars (the Aveo, Fit, Yaris) - would it be well received?
All interesting stuff to ponder - and as cars get more and more expensive, it may be something to consider to keep factories running and market-share from shrinking.
And if they could do it with "reasonable and plausible" appearance updates - as Fiat does in South America, VW does in Mexico, or GM has started to do in China - then it may be a successful formula.
But it also reflects the trend that we are seeing in companies going lower in the market (Dacia Logan, the new Tata Nano, Renault-Nissan project, GM's push in the lower end of the market, etc)and are even establishing "low-budget brands" to market them successfully (consider what Fiat and Toyota are going to do).
Is recycling platforms and products to address this the wave of the future? Just a thought.
