Definition of luxury has changed, will take on new meaning, GM's Lutz says
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Definition of luxury has changed, will take on new meaning, GM's Lutz says
Definition of luxury has changed, will take on new meaning, GM's Lutz says - - AUTOMOTIVE NEWS - -Source: Autoweek
General Motors Vice Chairman Robert Lutz says the definition of luxury has changed and will take on a new meaning this decade.
Lutz talked with Automotive News Editor David Sedgwick and Product Editor Rick Kranz and other journalists last month at the Paris auto show.
How has the definition of luxury changed?
In the 1960s, it clearly meant Cadillac and Lincoln. Today, the word seems overused, with some nonluxury brands touting luxury. How will luxury be defined this decade and next?
We used to have a definition of luxury that was sort of synonymous with plush and wood, soft, and cushy and quiet. (Lutz points to his wristwatch.) A watch like this back in the old days was not a luxury watch - it was called a sports watch. It is titanium; it is interesting technology; it has more precision and accuracy than you need; and it is expensive. Therefore, it is luxury.
I think the new definition of luxury is having more than you will ever need in the product.
In terms of …
Everything, whatever it is you want.
More than horsepower, more than cylinders?
Whatever. The definition can change from brand to brand as people come up with various formulas for satisfying the craving for more than the customer needs. Give whatever the customer wants.
Hummer is a luxury vehicle, which is a crazy thing to say. The H2 is a luxury vehicle despite the somewhat functional interior.
It is unconventional luxury because the customer is receiving more than he or she ever thinks they will need in terms of off-road capability, intimidation factor and so forth.
Does this mean that GM is moving toward the European idea of luxury?
I think there is a convergence. Americans always tended to equate value with size, and in many areas we still do.
In our houses - we have enormous houses, but by European standards, they are very flimsily built.
I would say at restaurants we still have, "Man, I still like to go to that place. The steak is so big it is hanging off the sides of the plate."
So there are still products and segments of the population where luxury is equated with quantity. I think it is less and less in the case in automobiles.
What probably changed it was the advent of European cars, where the American customer got attuned to the fact that a BMW 2002, back in the '60s, was really a very fine and, in fact, prestigious automobile despite its small size.
General Motors Vice Chairman Robert Lutz says the definition of luxury has changed and will take on a new meaning this decade.
Lutz talked with Automotive News Editor David Sedgwick and Product Editor Rick Kranz and other journalists last month at the Paris auto show.
How has the definition of luxury changed?
In the 1960s, it clearly meant Cadillac and Lincoln. Today, the word seems overused, with some nonluxury brands touting luxury. How will luxury be defined this decade and next?
We used to have a definition of luxury that was sort of synonymous with plush and wood, soft, and cushy and quiet. (Lutz points to his wristwatch.) A watch like this back in the old days was not a luxury watch - it was called a sports watch. It is titanium; it is interesting technology; it has more precision and accuracy than you need; and it is expensive. Therefore, it is luxury.
I think the new definition of luxury is having more than you will ever need in the product.
In terms of …
Everything, whatever it is you want.
More than horsepower, more than cylinders?
Whatever. The definition can change from brand to brand as people come up with various formulas for satisfying the craving for more than the customer needs. Give whatever the customer wants.
Hummer is a luxury vehicle, which is a crazy thing to say. The H2 is a luxury vehicle despite the somewhat functional interior.
It is unconventional luxury because the customer is receiving more than he or she ever thinks they will need in terms of off-road capability, intimidation factor and so forth.
Does this mean that GM is moving toward the European idea of luxury?
I think there is a convergence. Americans always tended to equate value with size, and in many areas we still do.
In our houses - we have enormous houses, but by European standards, they are very flimsily built.
I would say at restaurants we still have, "Man, I still like to go to that place. The steak is so big it is hanging off the sides of the plate."
So there are still products and segments of the population where luxury is equated with quantity. I think it is less and less in the case in automobiles.
What probably changed it was the advent of European cars, where the American customer got attuned to the fact that a BMW 2002, back in the '60s, was really a very fine and, in fact, prestigious automobile despite its small size.
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Funny he should mention the 60's. GM's interiors are still stuck in the 60's. I would love to help them with that. Does anybody know how I can contact them? Like, their interior design department or something? Looking for a career change.
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Funny he should mention the 60's. GM's interiors are still stuck in the 60's. I would love to help them with that. Does anybody know how I can contact them? Like, their interior design department or something? Looking for a career change.
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Originally Posted by srika
Funny he should mention the 60's. GM's interiors are still stuck in the 60's. I would love to help them with that. Does anybody know how I can contact them? Like, their interior design department or something? Looking for a career change.
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Originally Posted by titan
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and I have a ton of other ideas brewing in my head... they've been brewing in my head since the 80's... gawdamnit they need to be let out!!!
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Originally Posted by srika
and I have a ton of other ideas brewing in my head... they've been brewing in my head since the 80's... gawdamnit they need to be let out!!!
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Originally Posted by srika
and I have a ton of other ideas brewing in my head... they've been brewing in my head since the 80's... gawdamnit they need to be let out!!!
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this is an interesting topic. thing about it. you can get a hyundai with a V6, power windows and doors, leather, moonroof, power seats, alloy wheel... These are items that made up luxury cars back in the 80's (as far back as I can remember). So, the question is if you classify this hyundai as a luxury car (or any other 'nonluxury brand)? I have even seen our prestigiously badged CL referred to a 'near luxury'. For me, an automobile should possess a few attributes to be classified as 'luxury'.
1. Flagship sedan/coupe of the fleet (or at least the mid level sedan/coupe).
2. Luxury manufacturer
3. Leather
4. Alloy or Chrome wheels (this would exclude some BMWs and some Mercedes)
5. V6 or higher
6. Crap load of amenities (ie: too many for the average driver to want to bother with)
What do you think?
1. Flagship sedan/coupe of the fleet (or at least the mid level sedan/coupe).
2. Luxury manufacturer
3. Leather
4. Alloy or Chrome wheels (this would exclude some BMWs and some Mercedes)
5. V6 or higher
6. Crap load of amenities (ie: too many for the average driver to want to bother with)
What do you think?
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Originally Posted by knight rider
this is an interesting topic. thing about it. you can get a hyundai with a V6, power windows and doors, leather, moonroof, power seats, alloy wheel... These are items that made up luxury cars back in the 80's (as far back as I can remember). So, the question is if you classify this hyundai as a luxury car (or any other 'nonluxury brand)? I have even seen our prestigiously badged CL referred to a 'near luxury'. For me, an automobile should possess a few attributes to be classified as 'luxury'.
1. Flagship sedan/coupe of the fleet (or at least the mid level sedan/coupe).
2. Luxury manufacturer
3. Leather
4. Alloy or Chrome wheels (this would exclude some BMWs and some Mercedes)
5. V6 or higher
6. Crap load of amenities (ie: too many for the average driver to want to bother with)
What do you think?
1. Flagship sedan/coupe of the fleet (or at least the mid level sedan/coupe).
2. Luxury manufacturer
3. Leather
4. Alloy or Chrome wheels (this would exclude some BMWs and some Mercedes)
5. V6 or higher
6. Crap load of amenities (ie: too many for the average driver to want to bother with)
What do you think?
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Originally Posted by kansaiwalker1
"Premium" by definition means limited availability. Calling the Cobalt "Premium" is like calling economy class seats "First class."
Premium to me does not me limited in availability. Premium means, better than the non-premium. BEtter in what way? Any way that makes it better. Now the market will decide if that descrepancy that makes the premium offering better is worth the market's vote (= purchase). Especially when it's priced at a premium price. If it sells well, then it's premium. The market spoke in that case, all else is talk.
That's why Lutz knows what he is talking about when he says (paraphrasing) "luxury means whatever the market wants it to mean"
#19
You can add 3 inches of leg room to economy seats but they are still by no means "premium." You still only have "economy plus."
I think "premium" signifies an air of exclusiveness. For example when thinking of a "premium" small car the Mini or BMW 3 series comes to mind and certainly not the Cavalier, er Cobalt.
But the word has been so overused and abused by marketing types I suppose it can be twisted to mean whatever you want now, even "economy plus."
I think "premium" signifies an air of exclusiveness. For example when thinking of a "premium" small car the Mini or BMW 3 series comes to mind and certainly not the Cavalier, er Cobalt.
But the word has been so overused and abused by marketing types I suppose it can be twisted to mean whatever you want now, even "economy plus."
#20
I don't think the definition of luxury has changed at all, I think luxury is constantly evolving like everything else in our lives. What was a great tv is 1990? Maybe something that took up the whole corner of a room? What's one now? Plasma hanging on the wall?
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