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Melissa McCormick11 Aug 2009
NEWS

Infiniti is nigh

Nissan Australia says the Infiniti brand is still coming to local showrooms - post GFC

Nissan's luxury and performance off-shoot, Infiniti, is definitely in line for Australia, according to local outfit MD, Dan Thompson.


The company has said it will bring the brand to local showrooms for several years, however, it's one step closer after the release of Infiniti models in the right-hand drive UK market. Infiniti was released in the UK early this year after a European rollout over several months in 2008.


Thompson wouldn't confirm when the Infiniti lineup would arrive locally, but said he would consider its local release as soon as the economy stabilises post GFC. He told the Carsales Network the auto industry could be out of its recent economic doldrums in as soon as 12 months.


If Nissan and Thompson are right we could see stylish options such as the G37 sedan, coupe and convertible and EX and FX crossovers sooner rather than later. In the case of the latter models, the likes of Volvo, Audi and BMW with XC60, Q5 and X3/X5 may face renewed competition. The FX is an attractive, spacious, well-equipped performance crossover with global aspirations and headed our way.


"I'm committed to bringing Infiniti to Australia. As soon as the market returns to stability; especially in the luxury and premium segments -- which have been even more volatile," Thompson told the Carsales Network.


"We can't go deeper into business discussions [about launching Infiniti] until stability returns to the market, and nobody really knows when that will be. I certainly hope we get some stability six-to-twelve months from now," he said.


Thompson said the company needs more than "a couple good months of sales in the luxury market" to feel comfortable with the brand's local launch and besides, it can't "just press a switch and the cars will arrive" immediately.


"It's extremely challenging these days and when we set business plans we want them to be robust and [hit] during the right market opportunity when the cars roll off the boats," he said.


Nissan maintains the Infiniti brand is a different attempt at the high-end market than Lexus; more tuned to take on the German performance brands like BMW and Audi.


"The global positioning is very much about performance. It is a different brand promise than what Lexus brings," Thompson explained.


"Infiniti is all about performance, so it is more aligned with the German brands versus what Toyota has done with Lexus. Every company has its own strategic vision and direction: Infiniti's is performance.


"We don't take our competition lightly but we're confident Infiniti is a good fit for what Australians want from a performance premium brand. And we see that very clearly with what Infiniti is selling around the world," he stated.


Unlike the launch stages of Toyota's prestige brand, however, Thompson cautions those who expect Infiniti to arrive with bargain-priced bahnstormers.


"The commitment for Infiniti isn't about [standing for] value; it's about bringing in a tier-one performance lineup."


Infiniti's launch outside the US market has been successful, according to Thompson. The rollout in Europe was staged over several months in '08, with the UK taking delivery of Infiniti models early this year -- all during the GFC's apparent worst.


Nissan Australia's opportunity is improved with production of right-hand drive models available for the UK market.


"Now that the investment has been made globally in right-hand drive, it's quite an exciting proposition for us. It's just unfortunate with the GFC that it's slowed progress," Thompson said.


Nissan's local lineup will not change with the arrival of Infiniti models, says Thompson -- even though models like the Maxima and Murano could potentially crossover with Infiniti entrants.


Distribution of Infiniti models -- nationwide or otherwise -- has yet to be decided. However Thompson told the Carsales Network that the brand will be promoted distinct of Nissan, including separate dealerships and service networks. This model is used by the Nissan Motor Company globally, like Lexus ex Toyota. In Europe, Infiniti does not use national distributors.


Thompson says his company has undertaken "extensive" buyer research regarding local opportunities. Due to recent hits on the luxury market, however, he says the company would prefer to look at "forward assumptions rather than projections based on study conducted two or three years ago".


Infiniti took the leap to other markets after 20 years establishing cred in the US market. It was always Nissan's intention to offer the brand elsewhere, according to Thompson.


So why has it taken until now to reach other markets?


"Infiniti is now very established there [in the USA] and it's been successful especially for the last seven or eight years, which has really given Infiniti the platform to take it globally.


"But every market is very different, especially in the luxury segment. The company has always had it [the global launch of Infiniti] as a strategic part of its plans; it's just been a very disciplined and methodical rollout to ensure that it's done properly. With a luxury brand you want to get it right from the beginning, so there's been a fair amount of cautiousness."


If Infiniti is faring well in markets like hard-hit UK's why can't it come sooner to Australia, which has sustained the GFC better than most?


"It certainly wasn't the ideal time to launch it at that [mid-2008] stage. But they [the UK and European markets] were well ahead of us in terms of a planning perspective.


"It takes a fair amount of time to establish your [dealership] network; the investment that needs to go into the network and in a lot of cases the actual construction of the facilities; and [staff] hiring and training.


"Europe was in a different position to us when the GFC hit. They were at least a year into the rollout and it just so happened that it hit by the time of the UK launch," Thompson stated.


Infiniti has launched a global website to serve its rollout of models in markets around the world.


"Infiniti.com is the new web address for all things Infiniti," said Toru Saito, Corporate Vice President and leader of the Global Infiniti Business Unit. "Like the cars, the website stands out for doing things that are a bit different, a bit more special, and a bit better."


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Written byMelissa McCormick
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