Going Places – August 2019

(Brent) #1

goingplacesmagazine.com


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32
| August 2019


  1. The electric or EQ cars
    2 & 4. The dream cars

  2. The GLC 300 Coupé and GLE 450 SUVs


Mercedes-Benz has always been synonymous


with luxury and exclusivity, but in my view that


wasn’t enough. It needed to be more than that.


Our task was to rejuvenate the brand without


pushing away our loyal customers, and finding


that balance is obviously a challenge.


IN PROFILE | Mark Raine


communication, activations and engagement.


The third one is what I call best customer


experience, and that includes our dealer


network, all our touchpoints, the digitalisation


of the brand, the customer journey and


obviously, the sales aspect of it.


The product portfolio was fairly thin when I


arrived in Malaysia in 2014. In 2014, we sold


6,932 cars. In 2015, we sold 10,845 cars, out of


which 27 were SUVs because we didn’t actually


offer this in the market. In 2016, we sold 1,800


SUVs, and last year, we sold 2,600 SUVs out of


a total of more than 13,000 cars. So, that has


been essential in terms of our growth story.


I think the key decisive moment, to a certain


degree, was the decision I took to dissect the


portfolio into four product segments, which is


compact cars, limousines, SUVs and the dream


cars, because that allowed us to curate the


tonality according to the individual product


groups and the target customer segment.


Mercedes-Benz has always been synonymous


with luxury and exclusivity, but in my view


that wasn’t enough. It needed to be more than


that. Our task was to rejuvenate the brand


without pushing away our loyal customers, and


finding that balance is obviously a challenge.


The tonality for our compact cars is more


progressive, edgy and youthful, and this is


reflected in the activities that we do. If you


compare that to what we do with the SUVs,


which is about pursuing an active lifestyle,


this again differentiates what we do in the


limousine segment; for instance, if you look


at the launch of the S-Class family in August


last year, it was very grand and exclusive. That


has to be my favourite launch because it was


the most challenging. The expectation towards


what we do for our S-Class is so high because


that’s our pinnacle of luxury (cars). Changing


that perception to make the Mercedes-Benz


brand more progressive and more desirable


while retaining its luxury and exclusivity was a


huge task.


There has been a number of new launches


in recent years that have really appealed to


millennials. Was the intention to capture a


younger generation of buyers?


Yes, on the one hand, but also the customer


mindset is changing. Nowadays, if you’re


in your 40s and 50s, you don’t want to be


considered as old. Most people in that age


bracket still live a very active lifestyle. I have


many friends who are in their 40s and 50s who


go running and cycling with me. But if I look at


my grandparents’ time, if you are 50, you are,


not stone age, but you are old! There is also


that “young at heart” factor. I mean, we capture


a lot of young customers, but we also needed


to make the brand more edgy and youthful in


order to appeal to the older generation. I don’t


like any segmentation by ethnicity, gender or


age. For me, it’s the mindset, the attitude and


the lifestyle that determine the perfect match


(car) for the person.


Is this going to be the company’s strategy


in the next 2-3 years?


What we always try to be is agile and flexible,


never be dogmatic because the environment


we live in is so fast-moving and changing. You


always need to be at the forefront of future


development, for instance, the introduction of


the GLC coupé as locally produced cars. The


Malaysian market has come from a traditional


three-box limousine sedan market. It has


progressed a lot in that a lot of SUVs are being


driven, and I think the next big thing is the


crossover segment. It’s a combination of the


usability of the SUV with something which is


more design oriented, more visually appealing


like a coupé.


Having a lot of new cars to launch is very


important, but the investment into the after-


sales facilities and into the dealer network to


provide the promise of first-class service is


also very important. We have invested a lot


into training and into our people to ensure


that we have the human capital to deliver


on that promise. Also, our sister company,


Mercedes-Benz Financial, has looked at new


ways and means in terms of financing and our


leasing products. Driving, developing, exploring,


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_Aug 2019_InProfile.indd 32 18/07/2019 11:38 AM

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