ShareThisProduct, product, product -- that's the mantra that has ruled the auto industry since time immemorial.
But today, it's more than a mantra. It's a key to survival for Detroit's Big Three auto makers. The product mix almost surely will determine which -- if any -- of the Big Three will thrive in the future.
No matter how much bailout money they get, U.S. automakers will not survive if they don't have the right products to sell. Cutting costs, closing dealerships and reducing payrolls won't bring buyers in the door. Miscalculate those product plans, and they're done.
Moreover, whatever they choose to do has to be good enough to please federal officials who must decide whether their plans and their companies are viable.
But as Detroit's automakers lay out plans for their survival, due with the federal government in a few weeks as a requirement they had to meet to receive the $17.4 billion "bailout" loans, their product plans are riskier than ever.
Will consumers be willing to pay higher prices for such lavishly equipped small cars as those on the drawing boards today? Will they go along with paying more for hybrid cars? Are they willing to take gambles in purchasing one of the all-new plug-in hybrid or electric cars coming out in a year or so?
Automakers also must somehow cope with the behavior of consumers who are so unpredictable they are turning their backs on the small cars they rushed to only months ago when gas prices spiked. In this business, timing is everything.
And perhaps most important, they must convince U.S. buyers that cars and trucks from the Big Three are better than ever, with quality that often beats foreign brands, according to many studies.
Here's what's coming from Detroit in the next few years:
Ford:
Arguably Ford's most important pending introduction is its little Fiesta, a robust-looking, highly contemporary small car with lavish, even luxurious appointments. It's reportedly slated for a 2010 model year introduction.
Next will be an all-new Focus and, like the Fiesta, it's almost identical to its British Ford counterpart.
And Ford plans to bring out a new battery electric commercial van in 2010, a new battery electric small car in 2011 to be developed jointly with Magna International and "next-generation" hybrid vehicles, including a plug-in one by 2012.
"These new vehicles pave the way for additional applications in the future, using Ford's high-volume global small car and midsize car platforms," a Ford news release says.
Ford also is flexing its muscle in the big car field, with its all-new 2010 Taurus. It has strong styling influences from the much acclaimed Ford Interceptor show car of a few years ago, with the squarish taillights and a muscular rear end.
Chevy
Chevy is undeniably GM's powerhouse, and it's one of the hottest brands on the market, thanks to the Chevy Malibu, Chevy Traverse, the upcoming Chevy Camaro and a new, vastly upgraded Chevy Equinox that analysts expect to sell well.
But few cars are as eagerly anticipated as Chevy's new hybrid plug-in, the Volt, a four-door sedan that will be able to go 40 miles -- more than the average to-and-from-work commute for Americans -- solely on electric power, with a gasoline engine ready to go as backup for several hundred miles. The introduction is set for fall 2010.
Chrysler
Chrysler's future is less assured than either GM or Ford. Nearly all of its products, except for the Dodge Journey, Jeep Wrangler Unlimited and Dodge Challenger, are older designs due for replacement, but plans for older products are unclear.
Industry sources say a new Chrysler 300 is on the way, and there are plans by Chrysler to introduce a series of plug-in hybrids and electric vehicles beginning in 2010.
Another new wrinkle is a proposed partnership between Chrysler and Fiat, the Italian automaker. Automotive News said the two companies would bring seven new vehicles to the North American market, with four as Chrysler brands and three as Fiats or Alfa Romeos.
The report said the vehicles all will be built at Chrysler plants in North America and sold through Chrysler, Jeep and Dodge dealerships. The cars will range from "urban-sized" microcars up to midsize products.
Under the proposed agreement, which is supposed to be completed by April 30, Fiat would have a 35 percent stake in Chrysler.
E-mail Don Hammonds at dhammonds(at)post-gazette.com
(Distributed by Scripps Howard News Service, www.scrippsnews.com.)
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