SGM counts on Buick for economy roll-out

SHANGHAI: General Motors has chosen to ride on Buick's success in China, opting to launch its under 1.6 litre economy sedan as a Buick instead of the lesser-known Chevrolet brand. Market observers say the direction is significant as it will allow GM's Shanghai General Motors (SGM) joint-venture to capitalise on Buick's mainland success of the past three years to help the car maker expand its reach beyond the traditional car customer base of the government and corporate sectors. The Chevrolet brand is manufactured by a different joint-venture, the Shenyang-based Jinbei GM, and is still an unknown name in China, with the first Chevrolet rollout only due at mid-year. BGX managing/creative director Simon Siu said: "Research showed that Buick is seen as a premier brand in China. That is why SGM has chosen to use Buick as the core brand for the small car." Siu said the market for economy vehicles in the 100,000 Rmb price range offered huge potential as growing affluence is allowing individuals to own their own cars. BGX, the integrated branding and design subsidiary of SGM's advertising agency Bates, produced a glossy catalogue for distribution next month, ahead of the mid-year roll-out of Buick's Sail model. Barry Leung, national managing director for Bates, which will handle the launch campaign, said the economy Buick will launch in a fairly open field since competitors like Volkswagen and Toyota are only introducing their models next year. "Unlike the executive sedan, we will need to speak more to consumers for the Buick Sail so it may not be a traditional advertising approach although advertising will be part of it," he said. SGM is positioning the Sail as "My first Buick" to share with family and friends. This platform was deemed the most appropriate of the four variations of this positioning, which its inhouse research unit tested on the market. With direct consumer communications being a priority, SGM invested heavily in the brochure, commissioning a top car photographer, Mark Preston, and US' car prep company, Focus On Car, for the pictorial. In China's emerging car market, Siu said the brochure serves as a "vital marketing tool" since local customers require far more information than is needed in more developed markets.

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