Acura may expand its lineup with niche models
Kathy Jackson
Automotive News
September 24, 2007 - 12:01 am ET
DETROIT — There are some gaps in Acura's lineup, but any additions would probably be in niche segments, said John Watts, product planning manager for American Honda's struggling luxury-car division. “We will look at smaller segments,” Watts said at a recent press event here. “There is potential for a coupe like the CL,” which was killed after the 2003 model year. “A retractable hardtop, we're always looking at that, too. But that market is fickle.” Through August, Acura sales were down 7.8 percent to 122,357 units, with every car nameplate lagging behind 2006. Only the redesigned mid-sized MDX crossover had a year-over-year increase. The small RDX crossover, introduced in August 2006, added 15,526 units to the mix. John Mendel, executive vice president of American Honda Motor Co., acknowledges that Acura still is finding its way. But he says steps are being taken to elevate it to a first-tier brand. He's confident that will happen. “As a brand, Acura is not there yet,” Mendel says. “The next three to four years will be important as we develop a clear message. We have separated r&d for the first time for Honda and Acura. This year is Acura's first full-fledged entry into racing.” You may e-mail Kathy Jackson at kjackson@crain.com
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Small lineup Acura sells just three cars and two trucks. Its flagship, the RL sedan, has been a major disappointment. Its best-selling model, the TL sedan, will be redesigned for the 2009 model year. Critics say Acura's biggest disadvantage is the lack of a rear-drive flagship car with eight or more cylinders. The RL is all-wheel drive and powered by a V-6. There's no doubt that Acura can build a V-8. The cars it races in the 2007 American Le Mans Series are powered by a 3.4-liter V-8 making more than 500 hp. And through the first 10 races of the season, ending Sept. 2, Acura cars finished in the top three in seven of those events. “The brand name is strong, but there is no real flagship sedan,” says Lincoln Merrihew, senior vice president of TNS Automotive. “That's the single most important missing element. “But they've hinted at” bigger engines, Merrihew says. “If they back off, there will be so much damage to their credibility. It doesn't matter if it's an eight or a 10; a six is not enough.” At the 2006 Los Angeles auto show, Acura showed a massive concept sedan design that Dave Marek, designer for Honda R&D Americas, said “gives you a glimpse” into what Acura styling may be in the future. The coupe concept on display at the 2007 Detroit auto show was an early hint at the next-generation NSX sports car expected in 2010 or 2011. The company says that will be powered by a V-10. “That's the plan,” Watts said. “We'll see how people react to a 10 in the sports car and maybe move from there. Maybe instead of using V-8s, we'll take the next step up and go to V-10s” for some of the other car lines. |
Dealers mixed Michael McGrath, who owns two Lexus stores and an Acura and Honda store in the Chicago area, says Lexus does well because the company has strong support from Japan. “We all would like to see Acura elevated to the next level,” he says. “But there is not always support from Japan. There is always risk with new product, but we need new, innovative product.” Jim Edons, owner of Montano Acura in Albuquerque, N.M., says the new Acura design center and a plan to sell Acura globally will help the brand. He's not so much interested in a V-8. “If they come out with a nice V-8 or V-10 sedan, that would be nice. But I don't think you have to have a V-8,” Edons says. “We're looking for cars that can produce volume, and hopefully they'll have cars in the pipeline that can do that.” You may e-mail Kathy Jackson at kjackson@crain.com |
You can reach Kathy Jackson at kjackson@crain.com.
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At the Detroit auto show, Honda CEO Takeo Fukui showed off the concept that hints at a new Acura sports car - with more horsepower. |
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