No SUV spike for Rolls-Royce

Uber-luxury brand Rolls-Royce is not expecting a spike in sales from its first SUV "all-terrain motor car" – even in SUV-obsessed Australia.

Officially confirmed in February and codenamed Cullinan, the new model – Rolls-Royce refuses to classify it as an SUV -- is currently in the mid-stages of its development and is not expected to arrive in Australia until 2017-18.

But even though it will attract a wider group of customers, the iconic UK marque’s Asia Pacific boss, Paul Harris, says the Cullinan – a pre-production 'mule' version of which can be seen here in testing -- won’t boost sales significantly.

In sharp contrast, Bentley’s local operation is targeting around 50 per cent growth from its oddly-named Bentayga SUV, which Rolls-Royce says it is not worried about.

Harris spoke to motoring.com.au last week during a flying visit to Australia. He says this market is key for the brand in this region, but denies Cullinan has hard sales targets underlining its introduction.

“We’ve never been about chasing volume.  We’ve always been about luxury and bespoke -- that’s our heartland,” Harris explained.

“But, by nature, that segment of cars in itself is a large segment in Australia.  So if we have got the product right... then we believe that we can grow there and it [Cullinan] will certainly be something that adds to our portfolio – it doesn’t substitute,” he commented.

Harris says the new vehicle will particularly appeal to “ultra high net worth individuals” in areas where “infrastructure is less developed” but believes it will win fans in Australia as well.

“Here you’ve got a very mature infrastructure, so it’s not such a big issue here, but in other markets… it gives people, you know, a variety of [benefits] like [extra] ground clearance.

Indeed, Harris describes Cullinan as a vehicle for “adventurers” but cautions it’s no SUV.

“It’s a segment that was very interesting for us, but it had to be very appropriate for us because most people would associate it [rough road capability] with what’s called sport utility vehicles, and the term sport utility vehicle doesn’t really fit in the Rolls-Royce portfolio.”

“These [prospective buyers] are the more adventurous people who take on, you know, a slightly more outbound dynamic. They want flexibility about seating patterns and want to, you know, want to take four people on adventures. It’s an adventure type product.

“[But] We had to be very appropriate about what we were doing and we were very careful in the way we researched it and took feedback -- just with clients and people who may be interested. We’ve got what we think is a very, very magic opportunity in that marketplace… in that vehicle area itself… It’s a very exciting project for us,” Harris stated.

He says Australia is “a very important market” terms of the success of Cullinan but shied away from talking volume.

“We don’t target a specific [volume]… We’re confident that what we’ve got is such a phenomenal proposition that it will, by nature, be successful.”

By the time Cullinan does arrive, Harris’ four Australian retails outlets should have a reasonable customer base on which to build – Rolls-Royce fortunes are on the up Down Under. The BMW-owned brand’s sales more than doubled locally in 2014 – albeit to just 39 units. In 2013, the marque sold just 16 cars -- down from 22 in 2012.

The recent growth is largely of the success of the Wraith and its sedan counterpart, the Ghost, says Harris.

“Wraith is a very appropriate market [entrant] for Australian drivers. A very much driver-focused car, a fantastically roomy grand touring car… for taking those long drives between two points.

“We get feedback from Australian customers [and] they get wowed and blown away that they never expected in a Rolls-Royce to drive in that way. It’s [Wraith] really significantly changed Rolls-Royce and the way Rolls-Royce is going and particularly appeals to Australian clients.”

And Harris believes these customers and more will also embrace the next model in the Ghost family -- a convertible version of the Wraith, called Dawn and also seen here in spy shots.

A small group of Australian Rolls-Royce customers will have the first private showing of the production version of the car in Tokyo next month (July). Harris says Dawn will arrive Down Under "in the second quarter of 2016".

In addition to product, the Rolls-Royce exec says Australia’s changing ethnic mix present key opportunities for the company. And other changes are also creating new prospects.

“We’re seeing a larger mix of females in the ultra-high networks as well. And I think that that ultimate democratisation of ultra-high network people means that the acceptance will come… In one aspect, the attraction [of the brand] to younger people, and secondly, you know, a more balanced demographic between male and female.

"It’s a very interesting development at the moment, but the attraction of driving a Rolls-Royce is much, much more [present] than it ever has been," he said.