Interview with George Wills, Managing Director, Porsche Middle East & Africa
Another in our series of interviews with senior car guys about the state of the industry as we head into 2012
By Shahzad Sheikh
Q. Whilst initial expectations for 2011 were optimistic, it appears to have been a case of a stalled recovery with political unrest across the region, a natural disaster in Japan severely impacting the car industry, and fears of a double dip recession causing buyers to put off purchases. Now in the final quarter, do you find things are better, worst or about what you expected for the year?
Our increasing sales figures prove that the Porsche brand is enjoying steady growth, despite all the challenges you’ve just mentioned. On an international level, Porsche delivered a total of 90,972 new cars to customers between January and September this year. This equates to an increase of 30.9 per cent compared to the same period in 2010. With the reveal of the new 911 Carrera in Frankfurt and now as a regional debut here in Dubai we once again have set a strong statement. The final quarter of 2011 will complete our outstanding performance results.
Q. What changes in strategy, if any, did you have to employ to cope with the changing situation and unsettling events of the 2011?
Offering the right products is the crucial key to success and thanks to this we had no need for a directional change in our company strategy.
As Porsche we offer a variety of sporty vehicles at different price levels but without compromise in our quality. This is what makes us so desirable. By following the principle of “Porsche Intelligent Performance” all our cars are segment leaders when it comes to fuel efficiency and emissions and our customers are aware of this.
Q. In the retail environment in the UAE what have been the major developments this year, particularly in light of the new finance rules requirement buyers to have a minimum 20% deposit on new car financing?
Our current year performance up until today proves that we are enjoying prosperous growth in the U.A.E. The new financing regulations do not show a major impact that concerns us. Our importers work closely with local banks to ensure the most attractive scheme possible for our customers. Besides, our buyers normally possess sufficient funds and securities since we offer luxury sports cars.
Q. Has there been any apparent shift in the demands, needs and requirements of customers? Are they buying more used cars, are they chasing more incentives, are they negotiating more, are they playing hard to get?
As already indicated, our sales show a strong growth trend for this year without changing our overall strategy. Certainly, customer demands are changing constantly which is our main driver to offer the best products and the best service.
In the luxury product segment there has been a general trend towards people being more cautious with their investments. Products need to be of high quality with long-term benefits. Proven by our success, our stable and high quality product range meets this demand. Distress sales and marketing efforts may result in short-term benefits but do not support achieving long-term goals.
In addition to our new car sales, our used car business in the UAE is growing, too. Our Porsche Approved Pre-owned Cars offers great benefits such as thoroughly inspected cars following an 111-point checklist, up to 24 months warranty and much more.
Q. Is a new product still helping you to get customers into the showrooms?
If a new Porsche model would not attract customers and fans to visit the showroom, this would mean our new product no longer represents the top sports vehicle in its respective segment. We will make sure that the Porsche brand and all our products maintain attractiveness and status of today.
Q. Have you had to work harder at marketing your products and brand this year? What’s been the most effective way to deploy your advertising spend this year?
We are focused on personalized communication with our existing and potential customers with an emphasis on long-lasting relationships and customer satisfaction. This is where we assign the majority of our marketing budget. The aim is to create a unique Porsche ownership experience through personal mailings and events. Still the best argument for buying a Porsche is putting it through its paces, thus we offer exclusive driving events on a regular basis throughout the region with the assistance of our importer network.
Q. Looking ahead, what are your realistic expectations for 2012?
With the new Porsche 911 Carrera being introduced in this region in the first quarter, we will start 2012 on a high. Without saying too much, watch this space, as there will be more surprises to come. We hope to maintain our performance but will have to see if and how international economic developments affect our region.
