In terms of pure number 2015 is not such a wonderful year for Scandinavian Motors Corporation (Volvo Philippines). Although the Philippine automotive market grew substantially last year, premium brand cars saw a single digit percentage decline in sales associated with the non-participation of the company in Bonanzas sales discount, known as "APEC". However, there was no pressure from regional offices to provide a four-digit unit sales annually. Instead, it's all about delivering a customer experience that is not measured can not be matched by the competition.
This fact confirms once again the Volvo Cars visit the Company's Vice President for Asia and the Pacific Mr. Jari Kohonen and Market Area Director Asia Pacific, Mr Chris Wailes last week. Even with Shanghai, like the rest of China in the virtual shutdown for the Lunar New Year, Mr. Kohonen and Mr. Wailes not here for the beautiful beaches and cheap beer. Instead, they were in the country to throw their support to Volvo Philippines and helped lay the foundation for a strong and aggressive plans in 2016.
And surprisingly, the plan has nothing to do with the sheer volume.
Instead, it's all about focusing on what is important for Volvo: people. It will return to Volvo founders Assar Gabrielsson and Gustaf Larson who said: "Cars are driven by people. The principle behind everything we make at Volvo, therefore, is-and must remain safety."
After half a decade of rough included sales from Ford to Geely, Volvo has learned to make some difficult choices. At the same time, it managed to see it yourself to make intelligent people. At the foundation is new Scalable Product Architecture or SPA and Drive-E.
Underlying the new generation Volvo XC90 starts with an all-new, SPA allows the company to realize its vision that no one will be seriously hurt or killed in a new Volvo car by the year 2020. If that sounds too far-fetched, it is not. The current models already have injury rates 60 percent lower than the average modern car. SPA incorporates new, patented safety cage made of different steel and safety technologies that surrounds the occupants become active, passive, or avoidance.
Regardless of which is designed for safety, SPA allows for adaptation in the future including electrical structures that help Volvo easily adopt advanced functions, especially in fast-moving areas such as microprocessors, sensors and camera technology. This means that Volvo can easily adopt their cars for car-to-infrastructure and even car-to-car faster than any other brand. self-driving cars because it can be developed with minimal modifications to existing models.
Finally, it also allows a relatively small operation such as Volvo to build everything on a flexible production line. This means that one line can produce XC90 in addition to other new-generation vehicles.
Apart from SPA, Volvo is investing in a completely new drivetrain that will power all models of the future: Drive-E. Was found in the 2016 XC60, Drive-E shows Volvo's commitment to provide a quiet and understated luxury. Instead of joining the war horsepower, gasoline and Volvo diesel engines, both with four-cylinder, will offer fuel efficiency and low emissions is unmatched. Plus, they will offer performance comparable to six or even eight-cylinder engine.
The introduction of the SPA and the Drive-E will, according to Mr. Kohonen, allowing Volvo to complete with other premium car maker parallel. However, instead of offering a model that is increasingly complicated line-ups, Volvo will instead focus on delivering great products in a simplified product structure. "With Volvo, it will be a case of small, medium, and large. It's as simple as that," said Mr. Kohonen.
It is still too early to say for sure if the move Volvo to put all the eggs in the basket SPA will work, but the early signs are encouraging. The all-new XC90 has been successful selling to the brand while scooped 55 international awards to date. And this is just the beginning. Volvo promises even more new models for this year and together with the current stable of premium sedan, SUV and hatchback, Volvo optimistic that 2016 will not just be a banner year for the Philippines, but globally as well.
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