MINI says new rivals are no worry
With up to a dozen premium hatches around the corner, MINI makes its moveWhen the BMW Group launched the modern version of the MINI 10 years ago, it had the premium hatch market to itself.
But it no longer has the luxury of being the only player in the top end of town in the tiny-tot class.
Rivals from Alfa Romeo, Citroen, Volkswagen, Audi, Fiat and Renault are either already here or around the corner – and more are on the way.
"There is no doubt the premium hatch market has grown at a rapid rate, but we aren't going to let [the new arrivals] take our sales away," the boss of MINI in Australia, David Woollcott, told the Carsales Network at the launch of the facelifted model in Melbourne today.
"We will have to do something but it won't be discounting. Being an expensive small car is nothing new to MINI. Instead we are going to be more clever about how we package up special deals," he said.
Even though most rivals undercut the MINI on price – and are roomier and often better equipped – Woollcott ruled out introducing a sub-$30,000 MINI One (the name of the price leader in the UK). Rather, he said, MINI buyers would be tempted by special finance deals, attractively priced option packs and guaranteed buyback schemes.
"One of the things we want to capitalise on is our strong resale value," he said. "We've established MINI as a premium brand and we don't want to take anything away from that."
MINI has also revised and rebundled its option packs to make them less expensive.
"The option packages are typically 25 to 30 per cent cheaper than if you bought all the items individually," says Sue McCarthy, MINI product manager.
Although MINI is on target to achieve a sales record in Australia this year, the car maker says it will not lose ground to its rivals despite price increases across the range between $400 and $1000.
"Previous history has shown more competitors stimulate demand. We don't view it as a negative thing. It keeps everyone on their toes. We say bring it on," said McCarthy.
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