Porsche: The Cayenne Launch

SECTION-A:
GAURAV KOTHARI (15P081)
JYOTHISH K JOSE (15P085)
NEENU SURESH (15P095)
SHASHANK KOTHARI (15P108)
UTKARSH CHOUDHARY (15P115)

Questions for Porsche

Does Porsche Brand gets diluted when diversifying in the new

category of SUV

Do the short term negative opinions of loyal Porsche enthusiasts

online affect the long term sales of Porsche cars

Should Porsche keep moving into new categories, despite the

protest from its loyal followers to remain in the sports car
category

Difference in how brand identity is seen by the enthusiasts and

the company itself; Followers: High performance sports cars,
Company: Fun Cars

Target Market and SUVs

North America: Young professionals, soccer moms, people who

already own a Porsche, looking for larger, powerful and fun SUV,
those who aspire to own a Porsche

Negative opinion about SUVs: Gas-guzzlers, accused of being a

part of increase in global warming, highly fuel-inefficient

Why SUVs

Porsche have been in luxury automobile business for long

Company wanted to leverage its brand recognition and legacy to

move into new markets

Wants to build fun cars hence Cayenne was brought in as a SUV

sports car

Other competitors already diversifying, Threat of new entrants

A new brand personality created in Cayenne

Reasons of Uproar

Cayenne completely different from previous Porsches, SUV with

front engine, water cooled; Moving away from established brand
identity of engine in the back, high performance sports cars

Purists/current owners of Porsche hostile towards those buying

Cayenne; embarrassment in acknowledging Cayenne, believed to
be driven only by soccer moms and rich people who know
nothing about the Porsche legacy and only buy it because its a
Porsche

Options for Porsche

Discontinue Cayenne and continue with their focus on sports car

like Ferrari

Improve Cayenne, also bring in the Panamera in sedan category

Option 2 preferred because Porsche achieved more than 20000

sales in 2003 and the negative reviews have decreased by 2005
by a large amount

Brand Identity Prism: What is being received by current

customers is different from what the company wants to convey;
self-image is of fun cars and no category classification but
receivers see it as a sports car company

THANK YOU