CERATO PE - A CRACKER!

First, we’ll park it in the driveway and stare at it.

The Schreyer-smoothed lines are a sophisticated solution on a conventional hatchback concept. Nothing outrageous or revolutionary, but it’s a tight blend of subtle surfacing, and a very strong statement of individuality in a crowded small car market. Around the 'A' pillar is ever-so-slightly 'cab forward'.

Officially, this is the 2017 Cerato PE - which is Kia-speak for 'facelift'; except it stands for 'Product Enhanced'. Okay, I get it, it's been 'freshened up' prior to being replaced.

It’s a very tidy design job, with new lamps front and rear, and when you take a look at the SLi spec page, this is Korea beating Japan at its own game. Well-equipped, good performance and excellent ride and handling adds up to a strong reason why the Hyundai-Kia powerhouse is blitzing markets around the world.

The ride and handling composure comes from Australian specialist engineer Graeme Gambold and a small team of Aussies working away on changing and massaging the moving bits – springs, shocks and roll bars. And what a great job they’ve done. The team also made changes to the steering system, which has resulted in much improved ‘feel’, especially on centre.

Australia is a blend of some of the best road surfaces you’ll find anywhere, and some of the worst. Crappy, rough-surfaced tarmac; gravel bush tracks and swoopy, undulating country roads that will catch out any suspension not designed to cope with the variety of roads we drive on Down Under.

That’s why Kia Motors in Korea deserves a pat on the back for listening to the locals, and accepting that the slush-bucket  ride standards the Koreans and the Yanks prefer, are simply not going to work in Australia – or Europe for that matter.

At an MRLP of AUD$32,490 the SLi version may be a bit much for some; so the S Premium model at AUD$24,990 should be just the ticket. That model blends most of the good stuff, including 16” alloys and SatNav, to deliver a well-equipped Cerato hatch that won’t blow the budget. It's also a great competitor for Toyota's top-selling Corolla.

Kia, together with parent company Hyundai are pushing very hard in developed western markets, and both marques have established an excellent beachhead in Europe and Australia; and while Hyundai is moving up the sales charts very quickly in the USA, Kia topping the list in the latest J.D. Power quality study should push its American sales further north pretty soon too.

Not much more to say about this baby in my driveway. Nice to drive, easy on the eye, roomy and excellent value, plus a 7-year warranty. Hell, under Peter Schreyer's tutelage this Kia could be a Golf competitor!

If this car could get some traction with potential Golf buyers, I'm sure they'd be impressed - once they overcame the badge snobbery!

CIVIC MINDED? QUALITY COMES AT A PRICE

Honda has a long and impressive history in the Australian car market, and despite a period of ‘beige’ cars (according to its Australian CEO), the company is back to doing what it does best – delivering cars which appear more engineering-driven, rather than inspired by ‘thought bubbles’ from the marketing wankers.

On my first official visit to Honda in Tokyo back in 1986, I was one of the first PR executives from an ‘outside’ company to be shown over both its manufacturing operations and its impressive R&D facility at Wako.

Back in 1974, when I tested the first Honda Civic I clearly remember being very impressed with the car’s rigidity, performance and handling. I had become used to small European cars, which because of their focus on fuel economy, would barely pull the skin off a rice pudding.

The Honda Civic was a revelation in small car terms. Despite its cheap-looking interior, the Civic spearheaded another Japanese assault on western markets.

Its packaging was as impressive as the original Mini; and its engineering integrity was faultless.

Like many Japanese predecessors the Honda Civic won a reputation for reliability, low cost of ownership and economical performance.

However, up until 12 months ago Honda’s position in the Australian market looked fairly shaky. The only models which showed any sort of sales stability are the Jazz light hatchback; and the Odyssey people mover.

Despite Honda’s impressive design, engineering and manufacturing integrity, the company has simply become a victim of a voraciously active and highly competitive market. 

The City and Accord barely sell enough to be useful, and until recently Honda has waffled about simply trying to remain relevant – especially with a huge effort by Hyundai and Kia eroding its previously strong position.

So, here we have the 2016 Honda Civic sedan (the hatch comes later), and it’s a very impressive package. The ride and handling is superb; interior room is excellent and fuel economy very impressive (average: 6.6 L/100km).

In the Vti-LX featured here, the 1.5L turbo-charged engine gets a little breathless when stretched, but as a ‘town’ car, the new Civic is almost unbeatable. ‘Beige’ it ain’t.

The CVT transmission is smooth, and efficient. The car comes with steering wheel 'paddles', but quite frankly, they're an affectation. Don't bother with them. You get all the flexibility you'll need from the CVT left in 'Drive'.

The interior is conservatively, but tastefully styled. The cockpit is a pleasant place to be.

And the instruments and touchscreen are clear and well-placed.  In equipment terms it's very well specced.

You won’t  buy this car for high-speed interstate driving, but in its accepted milieu it will not disappoint. The new Civic is quiet on the road, thanks to excellent Yokohama tyres, the ride is very comfortable, and the turn-in and handling is pin-sharp.

You may or may not like the styling. It seems best described as 'geometrically angular', so the rather contrived bulges in the side panels seem like overkill in trying to strike a difference between this car and its competitors.

I actually think the styling is a bit 'busy', but, hey. It’s different. Gotta give Honda points for trying to stand out.

My other observation with this new Civic is the subject of ‘model creep’. Just have a look at how the Civic has grown over the years. Another nameplate on steroids!

However, my biggest issue with this car is Honda Australia’s pricing policy. Launching this car into a market which remains volatile and cutthroat, Honda is proudly announcing a ‘premium price positioning’.

The car I’m driving has a pricetag close to AUD$34,000 – and that’s before the on-road costs.

I’m sorry guys, I think it’s a bit steep. Despite the integrity of the overall package, standard equipment and impressive design and build quality, I don’t think Honda Australia is in danger of selling enough Civics to meet its forecast.

Don’t get me wrong. I think it’s great. This Civic is one of the most enjoyable small Japanese cars I’ve driven in recent years – that is, apart from the impressive Mazda SkyActiv cars. On reflection however, overall I think this car could be easily selected to compete in the Car of The Year.

But, if Honda Australia is looking at taking a lead in a sales race, I think it will have to trim its prices. Otherwise, there’ll be tears before bedtime!

SHINING A LIGHT ON LEARNING

Honda Manufacturing North America has made a bold step towards recruiting more young Americans to train for work in its Ohio-based manufacturing operations.

The company has stepped up not only its internal training programs, but is also developing 'community programs'. Taking the view that future employees will more than likely be drawn from the area surrounding its extensive facilities in Marysville, Ohio, so it needs to broaden its training base to attract young graduates.

Honda has developed a video game about 'manufacturing' for youngsters, and is increasing its programs aimed at high school and college students in an effort to draw in new employees. Honda is also directly funding science and engineering curriculums, and has created a mobile laboratory.

I absolutely applaud this creative lateral thinking, although it must be obvious that if your major operations are located in a small community, where else will you draw in new employees.

Honda's moves remind me of the same sort of innovative actions taken by Peugeot back in 1982.

On a visit to the vast Peugeot facility in Mulhouse, in eastern France, I was briefed in great detail about how Peugeot management had taken the initiative to influence the local university to add, and develop, a specific curriculum to train new workers in its manufacturing and assembly operations.

The Mayor of Mulhouse very proudly told me that the University of Upper Alsace had willingly embraced Peugeot's proposals.

When I last checked in with friends in Mulhouse in 1997, PSA continued to attract the cream of graduates for its advanced engineering division; and lesser qualified young people to work in the manufacturing and assembly operations.

I have no problem with commercial interests influencing specific educational programs to suit the job opportunities in the  region surrounding the facilities - it just makes damn good sense.

HANG ON! JUST BEFORE WE HAVE SELF-DRIVING CARS .....

Hacking into a car's computer system is a real threat. It's been done. The first evidence came when a hacker interferred with a Jeep Cherokee and began over-riding its internal systems.

The FBI has issued warnings to the U.S. Federal Government to start thinking about legislating for car companies to build in more protection against hacking.

So, before we start blathering about self-driving, autonomous cars, let's solve the real time problems with today's cars. Just look at the computer-controlled systems:







Many experts have warned that more computer-control in cars opens the door to poorly-resolved, faulty, or malware affected software, and hacking.

Car thieves in the USA have begun stealing cars using laptops. This is a much more serious problem than it appears, because there is virtually no protection from hackers.

Two firms, Israel-based KARAMBA SECURITY and San Francisco startup VOYOMOTIVE have begun developing anti-hack apps and software firewalls, which involve two-factor authentication to foil hacking.


I fear there's more to come on this subject.

THE ORIGINAL LAND ROVER 'EXPERIENCE'

Before all of the modern marketing developments, such as lifestyle activities, and off-road adventures, Land Rover was the very first 4x4 company to create a track to demonstrate the Land Rover's unique off-road capabilities.

The 'Jungle Track' was opened in 1949, and followed a trail through the backblocks of the Land Rover factory site at Solihull, using parts of the old World War II air raid defences. 

Some of the bomb shelters were carved out to create deep ponds, to allow 'fording'.

The Jungle Track still exists today, and is utilised by 'The Land Rover Experience' to maintain a dramatic demonstration area for the current production vehicles.

In the mid-1980s Land Rover forged a link with the 6th Baron Somers, James Hervey-Bathurst, to use the extensive 5000 acre grounds of the Eastnor Castle estate, as a demonstration area for Land Rover owners. The tracks cover more than 40 miles of trails, through dense bush, and up and down the steep elevations of the Malvern Hills.

A NEW IDEA? REALLY?

I’m always skeptical when someone in the automotive industry announces ‘a new idea’.

As I found out myself in 1988 whilst writing the press releases for the Australian launch of Peugeot’s 405 Mi16 sports sedan.

Here I was making a big deal about the 2.0L engine, which featured twin overhead camshafts, with four valves per cylinder. It was an outstanding engine, and an outstanding car, which had won the coveted European ‘Car of The Year’ award.

However, as I began researching the engine, lo and behold, there was a precedent.
In 1913!

French-born Jules Goux, was chosen to drive the very first European car entered in the Indy 500. Not only did it lead the race on four occasions, but the Peugeot eventually outlasted all the American cars, to finish first with a winning margin of more than 13 minutes!

The 3.0L Peugeot featured twin overhead camshafts, and four valves per cylinder! It was a design replicated many times over the life of the automobile, and especially contributed directly to the performance, image, and ability of the brilliant Peugeot 405 Mi16.

Over the last 10-15 years as competition in the niche luxury sectors hots up, carmakers are searching for new ways to engage with their customers. Beyond just the brand values, design, styling, equipment and pricing. The car companies are desperately testing new ideas to differentiate themselves, and offer something new, something different, more surprises and delights.

As with my recent story about Cadillac House in New York City, which has a focus on art, fashion, coffee, oh! And cars – carmakers are introducing ‘experiences’; ‘related distractions’; ‘lifestyle elements’ and other concepts which expand the buyers’ perceptions of how the car they choose may appropriately interact with their lifestyle and their needs, plus create stronger emotional connections.

Two ideas, now widely copied and expanded on, which attempt to engage with customers’ senses and personalities began in Australia, created by some fertile Aussie marketing minds.

One of those marketing brains was my good friend Russell Turnham, who at Jaguar Rover Australia had been responsible for creating a range of good ideas to entice new buyers to Range Rover.

He clearly understood that whilst many Range Rover customers may never take their 4x4 off-road, they liked the idea that they had chosen the ideal vehicle – should they choose to venture off the tarmac. Those buyers were simply stimulated by the ‘idea’ of off-road adventuring.

However, Russell and his partners in crime, Geof Stubbs and Owen Peake, also realized that many Range Rover buyers really did desire to venture farther than the ‘burbs. There was definitely a market for creating a true off-road experience. It should involve instruction, familiarity with Range Rover’s many abilities, and the chance to test both themselves and the vehicle ‘out in the wild’.

Thus began the germ of the idea of a ‘Land Rover Experience’. 

Eventually the 'Land Rover Experience', after humble beginnings in Australia, was embraced in North America and in England.
These ideas led to the world’s most competent 4x4 winning new admiration from its legion of owners who really wanted to ‘use’ Range Rover’s superb ability to traverse virtually trackless terrain with ease.

In the USA, Land Rover North America created 'The Range Rover Driving Academy', and along the way decided that for integrity, it needed to bring a strong focus to preserving the environment, rather than bashing down all the bush and trees in its path – so Land Rover teamed up with a movement created by the U.S. Forest Service, called “Tread Lightly”.

“Tread Lightly” became wholly identified with the way Land Rover ‘sold’ its off-road potential, whilst caring for the environment.

However, there was also another retail focus based on 'experiencing' the Land Rover brand.

At your local Land Rover dealer you could do anything from buying tough, Land Rover-branded outdoor clothing or a Stetson, as well as booking a trip off-roading with 4x4 experts.

One U.S. Land Rover dealer reported selling roughly $15,000 a month of Land Rover-branded gear!

After Russell Turnham returned from a few years working with Land Rover in the USA and England, he joined Volvo Australia as marketing chief.

Volvo had a clearly defined image, status, and place in the automotive world, but as its competitors began to match the Swedish brand’s image as safe and reliable transport, Volvo Australia needed to look beyond its established identity, to appeal to a broader range of customers.

This need for a paradigm shift was prompted by the imminent launch of Volvo's first 'really sexy car'
the C70.

Extensive research unsurprisingly revealed Volvo was a pragmatic purchase, where the head ruled the heart.

Meanwhile the Swedish head office had sanctioned Volvo’s involvement in global yacht racing.

Unfortunately, although the big bucks sponsorship brought worldwide visibility for the brandname, it did little to shift perceptions of Volvos as safe and boxy!.

Back in 1997 the Volvo Australia marketing team came up with a bold, brand new idea – the Volvo Gallery.

Located in the heart of Sydney's CBD, with nary a Volvo car in sight. (Volvo Gallery photos - Landini Associates)

Far from being simply a car showroom, the gallery created a tangible connection between Volvo and the latest developments in art, technology, fashion and business – challenging perceptions of the Volvo brand in a surprising way.

I asked Russell Turnham to expand on the vision, and the execution:
"We decided to embrace a number of elements of classic Swedish design in art, glassware, polished metal and furniture.

We intended the Volvo Gallery to celebrate the fusion of Volvo's latest car designs, with edgy Swedish artistic exhibits and to illustrate a greater depth in the brand values.

"To our pleasure, it worked as intended. We not only improved sales of the traditional line, but the C70 brought new buyers into the showroom - especially after seeing one displayed in the heart of Sydney's CBD."

After successfully beginning to move  perceptions, Russell Turnham and the Volvo Australia ad agency developed (along the lines of the Land Rover Experience), the 'Country Roads' campaign, which focussed on taking your Volvo on a scenic country drive.

That campaign was a huge success.

Today, a look at the marketing activities of all the major players in the luxury and premium car sectors will reveal they are all embracing programs incremental to the normal avenues of advertising, marketing and promotion.


With these two ideas you can see how the Land Rover example brought out the strength of the marque's intrinsic brand values by placing the vehicle, the owner and the experience in its accepted mileau.

In Volvo's case, the project sought to actually give greater depth to the brand's strong safety values and create the image of a car you drove for pure pleasure and aesthetic satisfaction.

I'm very proud of the fact that these ideas were home-grown in Australia, and were so successful they have been copied all over the world.