Mercedes Commits to a Broad Line-up, Despite Fixed-Price Strategy

Hot on the heels of Japanese rival Honda, Mercedes-Benz is set to restructure its business as it moves towards an agency-style structure in the new car market down under. The move is pencilled in for January 1, 2022, although the luxury auto-maker is still working to put the finishing touches on all the details before then.

Explaining the changes

Like Honda, it is expected that Mercedes-Benz dealers will take on a role whereby they act as an agent for the parent company. With this, prices will also be fixed, the parent company will dictate terms of business, and headquarters will also hold all vehicle stock, thereby limiting the potential for customers to negotiate directly with the dealer.

Unlike its rival, however, Mercedes-Benz has suggested that it will look to differentiate itself in one key area from what Honda is currently doing – that is, by committing to retain the breadth of its model line-up and not cut any entry-level variants.

In supporting this plan, the company points to the fact that it is seeing success in the luxury component of every segment, where it is “winning” in most of these areas. So while Honda might have plans to deliberately streamline its line-up and cut total sales volumes in order to generate higher margins, Mercedes-Benz is going about things differently.

Why there still might be less ‘choice’

Mercedes-Benz will also focus on customer service and satisfaction by addressing core areas that it has identified as important. This includes improving the accessibility to purchase any vehicle from its range online, and also embracing transparent pricing.

Although Mercedes-Benz has committed to its broad line-up, there is still an expectation that each model range will be simplified so as to improve the buying experience for customers by minimising confusion. After all, sometimes too many choices for something largely similar can be problematic for customers who are not yet ‘over the line’.

There is one potential drawback with this. If Mercedes-Benz does opt to simplify each of its model ranges, there is a possibility that optional extras may be ‘built’ into the existing models that are currently more affordable in each range. The risk here is that prices could very well increase, although at this stage details remain to be seen, even if the company has just increased prices across the board for the third time in just over a year.

The good news sees the breadth of Mercedes-Benz’s line-up set to remain, unaffected by the move towards an agency model. What is found in each range, however, will make for interesting consideration.

The 308 To Peugeot: Update Time For 2022.

Peugeot continues its rollout of updates to their range. With the facelifted 2008 available, and 5008 not far away, it’s time for their mainstay hatchback, the 308, to get the magic wand. There’s one key feature to the change, says Peugeot, and that’s to the body styling.

2022 Peugeot 308

The wheelbase has been in creased by 55mm, overall length up by 110mm, and height dropped by 20mm, making for a sportier profile. The A-pillar has moved rearwards and is raked more in comparison compared to the previous model. The nose is the new corporate look, complete with the mildly refreshed lion badge. Peugeot will offer seven colours: Olivine Green, Vertigo Blue, Elixir Red, Pearl White, Ice White, Artense Grey, and Perla Nera Black.

The wheelarches sit inside fenders with defined squarish lines, and the rear window line flows stylishly down from the roof into the triple-claw LED powered rear lights. Up front are the vertically themed LED driving lights paired to new LED main lights and strakes on the outer edges of the bumper. Exterior changes have the aero drag down to 0.28cD.

2022 Peugeot 308

Changes too for the interior, with a futuristic and hard edged style change, along with a more tactile-inclined steering wheel. Changes to the safety package see sensors in the wheel measure hand and finger pressure. This works with the step-up in the semi-autonomous driving level, with Peugeot’s Drive Assist 2.0 (where fitted) which has three new features for the Lane Keep Assist. There are: Semi-automatic lane change, suggests that the driver overtake the vehicle in front and then suggests moving back, from 70 km/h to 180 km/h; Anticipated speed recommendation, the system suggests to the driver that he adapt his speed (acceleration or deceleration) according to the speed limit signs; and Curve speed adaptation, optimises speed according to the curve of the bend, up to 180 km/h.

2022 Peugeot 308

Blind spot monitoring reaches up to 75 metres behind the 2021 308, with a higher definition rear camera providing up to 180 degrees of rear vision. This integrates into the four camera, 360 degree camera parking assist system. For colder climes there are a heated steering wheel and defrostable windshield. Peugeot include their E-call+” emergency call with passenger number information and location including the direction of the vehicle in the lane.

The boot has up to 28L of underfloor space complementing the standard 412 litres. Fold the rears eats and that increases to 1323 litres. Convenience goes up with teh addition of (model dependent) two USB-C data transfer and charge ports. Phone mirroring is wireless and the new 10.25 inch touchscreen, sitting above a silver coloured and angular centre console, part of the driver oriented cockpit, is more tablet oriented in look and usage. It’s a multi-window capable device, and has features such as a home screen tab and widget functionality.

Sounds come from France’s famed Focal audio group and in selected models listeners will have the Premium Hi-Fi system. There are 10 speakers with 4 aluminium inverted dome TNF tweeters, 4 woofers/mediums with Polyglass membrane and 165mm TMD (Tuned Mass Damper) suspension, plus a central Polyglass unit along with a triple coil subwoofer. Power is rated at 590W from a Class-D 12 channel amplifier, with ARKAMYS sound processing.

2022 Peugeot 308

To be confirmed for Australia will be a choice of petrol, diesel, and hybrid powered drivetrains. Three petrol engines with differing outputs matched to manual and autos, a pair of diesels with a manual or auto, and two hybrids.

Peugeot lists these as: HYBRID 225 e-EAT8, with 2-wheel drive, with a 132kW PureTech petrol engine and an 81kW electric engine attached to the e-EAT8 gearbox. Emissions are rated as 26 g of C02 per km and up to 59 km of 100% electric range (according to the WLTP protocol, in the process of being approved). The other is HYBRID 180 e-EAT8, 2-wheel drive, combination of a 110kW PureTech engine and an 81kW electric engine attached to the e-EAT8 gearbox. Emissions and range are virtually identical at 25g/100km and up to 60 km of 100% electric range (according to WLTP protocol, in the process of being approved).

Capacity for the lithium ion battery is 12.4kWh, with up to 102kW of power. Charging is said to be either a standard 3.7kW single phase charger or an optional 7.4kW single phase charger.

Final model specifications for the Australian market are yet to be confirmed, as is the release date. However, it’s currently expected to be in early 2022.

2022 Peugeot 308

Ford Transit 12 Seater Bus: An Icon Returns.

Ford Australia has added the 12-seater Ford Transit Bus to the popular Transit line-up. The 410L RWD 12 Seat Bus comes with a 2.0.L EcoBlue diesel with 125kW of power and 390Nm of torque from 1,600-2,300 rpm, driving a ten speed auto and starts from $63,690 (Manufacturer’s Recommended List Price). Options include High Roof with Overhead Stowage Shelves is $2,500, Prestige Paint is $650 and Satellite Navigation with TMC & Enhanced Voice Control is $600.The engine is EURO 6.2 compliant and standard across the range. It features high-pressure direct fuel injection, an advanced aluminium cylinder head, a high-performance variable geometry turbo plus auto stop-start for maximum fuel efficiency and lower running costs. Service intervals are 30,000km or 12 months.

The Ford Transit Bus along with all Transit vehicles, comes with AEB with Pedestrian Detection as standard. There is also Adaptive Cruise Control, Blind Spot Information System (BLIS) with Rear-Cross Traffic Alert, Lane Keeping Aid and Lane Departure Warning with Driver Alert, plus Traffic Sign Recognition. There is also Automatic High-beam, Automatic headlamps, Automatic front windscreen wipers and a heated windscreen. Front and rear park sensors and a rear camera round out the safety package.

A programmable MyKey and FordPass Connect provide a range of services, along with smartphone access, including remote start and stop, allowing drivers to start their vehicle’s engine with a tap of their smartphone in order to heat or cool the cabin before driving. Info and technology are accessed via the 8.0 inch touchscreen which operates Ford’s latest SYNC 3 infotainment system with Apple and Android apps as standard and optional voice activated satnav. It also gives access to FordPass Connect, which offers convenient ‘connected car’ technology, pairing with the available FordPass App to simplify customers’ ownership experience and unlock a range of new services including Remote Start and Stop, Remote Lock and Unlock, Live Traffic Updates, Location Services, Vehicle Status and Health Alerts.

Access to the interior for the nine passenger capacity Transit Bus is via a powered left side door. It’s key fob operated or via a dashboard switch. Opt for the high roof version and there is extra storage and LED lighting.

Andrew Birkic, President and CEO, Ford Australia and New Zealand, says: “We know our customers have always loved the Transit Bus, but there’s been a strong demand for it to come with an automatic transmission. We can now deliver on that wish and help groups of Aussies travel in comfort and style, whether that be sports teams off to their big game, a shuttle to the airport, or colleagues heading to a conference.”

Along with the five-year, unlimited kilometre full factory warranty, the Transit Bus is eligible for the Ford Service Benefits program at participating Ford dealerships, which means for items listed in an A or B standard logbook service for the first 4 years or up to 120,000km, whichever comes first, the most you will pay is $399 (incl GST).

Further adding to the ownership experience, Ford Service Benefits also bring Transit Bus owners Auto Club Membership including Roadside Assistance as well as a Service Loan Car and sat-nav mapping updates where available.

FCAI Sees Tunnel’s Light As Sales Increase

The Federal Chamber of Automotive Industries, the FCAI, has released the new vehicle sales figures for February 2021. 83,977 vehicles were sold in February 2021, which is up 5.1 per cent on February 2020. Sales for that month saw 79,940 vehicles sold.

This positive result was reflected in the increases seen for N.S.W., W.A., S.A., QLD, and the N.T. Victoria was down by 8.7%, Tasmania by 3.9%, and the ACT by 38.3% compared to February 2020. Year to date sales of 163,643 vehicles is up 7.9 per cent on the same period in 2020.

SUV sales continued to dominate the market with sales of 42,651 vehicles and representing 50.8 per cent of the total market for February 2021. Light commercial vehicle sales represented 23 per cent (19,326) and passenger vehicles 22.9% (19,194).

On a marque basis, Toyota had a 21.9% market share, Mazda 9.9%, Hyundai 7.4%, equal with Mitsubishi and just ahead of Kia, and Ford on 7.0%, and 5.6%. Nissan clocked 4.6% with fellow Japanese maker Subaru on 3.1%. VW had 3.6 whilst Chinese owned and built MG also saw 3.6%.February sales saw a continued shift in preference by buyers to move away from passenger vehicles. Sales fell 15.3% in February 2021 compared to sales in February 2020. Sales of SUVs were up 8.6 per cent and sales of light commercials were up 24.3 per cent. Hybrid SUVs continue their inexorable climb, with 2,713 sold in February 2021, against 2,546 for the same period last year, and 5,456 from January 1st compared to 4,018 last year. PHEV sales were also up, with 149 and 275 against 92 and 149 on a month and year to date basis.

Toyota’s RAV4 lead the way in the category, with 2,750 against the Mazda CX-5’s 2,048. It was a scrap for third place with Mitsubishi’s Outlander (1,178), Nissan’s X-Trail (1,151), Hyundai’s Tucson (1,062) and Subaru’s Forester (1,009) duking it out. In the large SUV category and at sub-$70K, Toyota’s Prado won comprehensively with 1,407. Isuzu’s MU-X saw 745 sales for 2nd place, edging the outgoing Subaru Outback on 608.FCAI chief executive, Tony Weber, said the result showed that confidence was continuing to grow in the market. “During the past four months we have seen an increase of 10.6% in new vehicles and this has been reflected with strong growth in NSW, Queensland, Western Australia, South Australia and the Northern Territory in February 2021. The sales reduction in Victoria can be attributed to the COVID 19 restrictions that were put in place during the month.“We remain confident that this trend of growth will continue in an environment where business operating conditions continue to normalise.”

Toyota was the leading brand in February with sales of 18,375 vehicles (21.9 per cent of the market), followed by Mazda with 8,322 (9.9 per cent), Hyundai with 6,252 (7.4 per cent), Mitsubishi with 6,202 (7.4 per cent) and Kia with 5,871 (7 per cent).

The Toyota Hilux was the best-selling vehicle in February 2021 with sales of 4,808 vehicles, followed by the Ford Ranger (2,900), the Toyota RAV4 (2,750), the Toyota Landcruiser (2,521) and the Toyota Corolla (2,427).

Kia’s revamped Carnival continued to dominate the People Mover sub-$60K segment, with 606 sales for a massive 62.5% market share, with Honda’s Odyssey on just 127. Mercedes-Benz listed 28 in the plus-$60K market for the V-Class.Purely electric passenger vehicles have seen a mild increase, with 119 for February 2021 against 86 for the same time in 2020. It’s the same on a YTD basis with 197 to 165 for 2020. For the electric SUV segment, it was a better result, with 139 to 60 for a month comparison, and 352 to 97 on a YTD basis.Key Points:
• The February 2021 market of 83,977 new vehicle sales is an increase of 4,037 vehicle sales or 5.1% on February 2020 (79,940) vehicle sales. February 2020 and February 2021 each had 24 selling days and this resulted in an increase of 168.2 vehicle sales per day.
• The Passenger Vehicle Market is down by 3,466 vehicle sales (-15.3%) over the same month last year; the Sports Utility Market is up by 3,378 vehicle sales
(8.6%); the Light Commercial Market is up by 3,784 vehicle sales (24.3%); and the Heavy Commercial Vehicle Market is up by 341 vehicle sales (13.8%) versus
February 2020.
• Toyota was market leader in February, followed by Mazda and Hyundai. Toyota led Mazda with a margin of 10,053 vehicle sales and 12.0 market share points.

(Information courtesy of FCAI)