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VIDEO: This is not how cars are built - Fiesta Love Factory

If Willy Wonka made cars, this is what it would look like. The cold, hard reality is that automobiles are ground out like sausages in huge factories that ingest raw materials at one end and spit out shiny metal boxes filled with ticky-tacky at the other end. Marketing’s a funny thing, though; building an emotional connection to your product can often lead to sales gold, so Ford’s slathering its Fiesta marketing effort in pheromones to make it irresistible to buyers. It’s all very trippy and fun, full of primary colors and smiling faces, but the thing is, we already love the Fiesta. They could put Orson Welles out there at his most cantankerous, and that’d be fine. We do dig the creativity, and since it’s an entry level car, maybe the target market will be entirely comfortable with the campaign, having just recently graduated from Sesame Street, anyway.

The Harbour Report released today reveals that the Big 3 gained major ground in closing the productivity gap with Japanese automakers building vehicles in North America last year. The report found that Chrysler had actually improved enough to tie Toyota as the most productive multi-plant manufacturer on the continent, with both automakers spending an average of 30.37 hours to build a vehicle. The most productive single plant in North America also belongs to Chrysler, as the once experimental Toledo Supplier Park takes just 13.57 labor hours to build a Jeep. For their parts, General Motors plants averaged 32.29 hours per vehicle and Ford plants averaged 33.88 hours per vehicle, both an improvement over last year’s numbers.

The news was not all good, however, as the report found that despite improving their productivity, the Big 3 are still unable to match the Japanese in profit made per vehicle. While Honda and Nissan earned $1,641 per vehicle built in North American last year and Toyota earned $922, Chrysler lost $412 per vehicle and GM and Ford lost $729 and $1,467 per vehicle, respectively. Much of those losses come from high health care costs and profit-shrinking incentives required to move less popular vehicles like trucks and SUVs. The Harbour Report suggests, however, that employee buyouts and those new contracts with the UAW that get them off the hook for retiree health care will improve the Big 3’s profit per vehicle dramatically.

Check out the lengthy press release from the Harbour Report after the jump if you’re into digging through the nitty gritty details.

[Source: The Harbour Report]

Continue reading Chrysler ties Toyota for most productive plants in North America

Just less than a year ago, the Big 3 domestic automakers’ combined market share dropped to less than 50-percent of the overall automobile market. That sobering statistic was made factual when the combined sales of vehicles from both Asian countries, such as Japan and Korea, were combined with sales from European companies, like Volkswagen, BMW and Mercedes-Benz. It seems that this sad state of affairs did little to stop the bleeding coming from Detroit, as last month marks the first time in history that Asian automakers alone, with a combined share of 47.8-percent, sold more vehicles in the United States than companies actually based there. Ouch.

Large pickup trucks and SUV’s have long been the last stronghold for Detroit’s struggling automakers. While the Big 3 still have a commanding lead in sales of these large vehicles, it’s the smaller, more fuel efficient vehicles which are taking the largest bite from the overall market share pie. Record-high fuel prices have put such a damper on truck sales that a shocking five vehicles outsold the F-150 last month, all of them highly practical sedans. It seems easy to see, then, where Detroit should be spending what engineering dollars it has left.

[Source: The Detroit News]

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Lincoln books 8,600 preorders for MKS

Click above for high-res gallery of the 2009 Lincoln MKS

The first 2009 Lincoln MKS is still a couple months away from arriving at your local Lincoln dealer, but Ford has announced that 8,600 customers have already signed up for the all-new sedan. The MKS has garnered this hefty dose of interest no doubt due to Lincoln’s new design language, its well-crafted interior and large number of high-tech gizmos, but Ford’s marketing team deserves some credit, too. They began their work announcing the sedan’s starting price of $37,895 way back in November during the L.A. Auto Show, then followed up by giving would-be customers early access to a build and price tool on the Lincoln website. The marketing team is also reportedly training dealerships to be knowledgeable about the MKS months ahead of the usual timetable, which has helped salesmen secure preorders for the vehicle sight-unseen.

Preorders traditionally happen for high-end trim levels of a model, and the MKS is no different. Sixty-five percent of the 8,600 preorders have been for the high-end “Ultimate Package,” which includes features like 19-inch rims, a THX audio system, and navigation system with Travel Link. An MKS with the Ultimate Package goes for $44,180, which means Lincoln’s making some money on the MKS before it even shows up for work.

Continue reading Lincoln books 8,600 preorders for MKS

In the Autoblog Garage: 2008 Chevy HHR SS

Click above for high-res gallery of the 2008 Chevy HHR SS

Our first experience with the Chevy HHR was back in 2006 when we rented one in Los Angeles while covering the 2006 L.A. Auto Show. Being a fleet vehicle, our HHR rental failed to impress with its raspy, underpowered Ecotec four-cylinder and cheap interior materials. The HHR does, however, have a way about itself. Its retro-inspired design is just plain good looking, better than the PT Cruiser to which this vehicle is most often compared (they were both designed by Brian Nesibtt, GM’s current Executive Director of its European design center), and its outward attractiveness shows even on bare bones rental units like the one we abused in L.A.

The 2008 Chevy HHR SS would seem to be the HHR we always wanted, with more power, an upgraded interior, aggressive tweaks to the exterior and the same two-box shape and clever cargo solutions that make the base model popular. But with the market for new car sales in the U.S. as soft as it is, should Chevy be spending its time making a high-horsepower, better handling SS version of a vehicle like the HHR? Read on to find out if their effort was worth it.

All photos Copyright (C)2008 John Neff / Weblogs, Inc.

Continue reading In the Autoblog Garage: 2008 Chevy HHR SS

Filed under: Sedans/Saloons, Euro, Hatchbacks, Saturn, OpelOver in Europe, midsize cars like the Opel Vectra, Renault Laguna and Ford Mondeo have long been offered in multiple body configurations including four-door sedans, station wagons and, of course, five-door hatchbacks. Unlike Americans, who for some reason are averse to a fifth body opening unless the vehicle rides 4 to 6 inches higher than it should, Europeans have always appreciated the extra utility. The Opel Vectra is being replaced this summer by the redesigned and renamed Insignia, but so far we’ve only seen photos (either spy pics or official GM shots) of the four-door sedan that will likely land here later next year as the next Saturn Aura. A sharp-eyed photographer, however, has captured what may be the first shots of the new hatchback Insignia. The five-door version doesn’t look radically different from the sedan, the main variance being the shorter rear deck that’s attached to the rear glass. Will the hatchback arrive as an Aura at Saturn dealers? Highly improbable, but then so was the Astra, so anything is possible. We more likely might just get a wagon version that we haven’t yet seen.