Q: Will American drivers really adapt én mass to a car of this size, or is this more of a niche market? Do you plan an advertising blitz to sell the concept?
A: Smart USA has seen a tremendous interest in the smart fortwo. Volatile gas prices, an increasing awareness about the environment and urban congestion are just a few of today's issues facing the American consumer. Over 30,000 people have placed a reservation for a smart fortwo and there is a wait list of approximately one year, in some markets, so we feel the smart fortwo has caught on with the American consumer. We are seeing all manufacturers shifting to smaller, more fuel efficient vehicles. At this time we are not planning any type of advertising campaign.
Q: Are your U.S. sales figures in line with your original expectations?
A: We are not releasing production goals or numbers, but we are satisfied with the response from the American market. We have seen an uptick in dealership traffic as gas prices climbed to the $4 mark earlier this year but great fuel economy is just one reason people are attracted to the car.
Q: The smart fortwo has been presented as an urban traffic vehicle. Americans in rural areas are having an extremely tough time paying to gas up their large SUVs for running routine errands, such as a 32-mile one-way trip for a medical appointment, etc. Is there any chance that the smart fortwo will be marketed to those living in rural regions?
A: We are finding consumer interest in the smart fortwo is strong across the country. We have reservations from all 50 states. We also have dealerships in rural areas such as Omaha, Neb.; Tulsa, Okla.; and soon to be Jackson, Miss. We based dealership locations, in part, based on our reservation system which started in March of 2007. We allowed consumers to place a reservation for a vehicle nine months before they went on sale. This tool not only allowed interested customers to take the first step in the sales process but it also allowed us to be able to best serve customers once cars when on sale.
Q: What are some of the common demographic traits and purchase-reasons expressed by smart fortwo buyers?
A: The smart customer is not based on age and income but rather attitude and lifestyle. We are finding the smart fortwo appeals to a variety of people for various reasons. First-time buyers tend to be attracted to the car because of its attractive price. The pure coupe starts at $11,590. Urban dwellers are attracted to the vehicle because of its urban attributes. Baby boomers purchase the car for many reasons. In addition to the reasons above, we are finding cars are purchased for a son or daughter learning to drive or maybe as a commuter car to save money on gas or simply because the car is unique and fun to drive. Empty-nesters are attracted to the car because in some instances they do not have a need for a large vehicle any longer.
Q: Which of the three models sells the best?
A: The well-equipped passion coupe accounts for approximately 60 percent of our sales to date.
Q: Is there an aftermarket supply network yet in place for smart fortwo accessories and repair/maintenance parts? If not, when can we expect one to be implemented?
A: At this time we do not have an aftermarket program for owners. We do have factory approved accessories and merchandise for customers to purchase that is offered in other markets. Smart USA is currently examining additional options for our customers.
Q: Do you anticipate a good market for smart fortwo appearance and performance accessories and other add-ons? Are there plans in place to develop this potential or license products to other manufacturers?
A: The smart fortwo lends itself to personalization. Couple this with a very passionate customer base and we feel there is a market for various accessories. We really need more time to evaluate our aftermarket programs. The first half of 2008 was all about opening dealerships and getting vehicles in the hands of our customers.