Audi’s Future Cars Will Be Built for Specific Markets, Not the World

[Source: GoAuto]

For decades, automakers chased the dream of the “world car.” This is a single vehicle designed to satisfy buyers in Europe, North America, China, and virtually every other major market. According to Audi, that strategy no longer works. Speaking during the international launch of the all-new Q7, Audi Chief Technical Officer Rouven Mohr explained to Australian outlet GoAuto that customer preferences have diverged so dramatically that building one vehicle for the entire world has become nearly impossible.

“I think the idea of the global car—so one car that fits the world—is gone,” said Mohr. “It’s not fitting anymore in the U.S. and in China. You need this kind of local-for-local pillar.” For Audi enthusiasts, that shift could be very good news.

Market Specific Vehicles

Rather than asking one vehicle to satisfy every market, Audi is reorganizing its product development around regional preferences. In China, the company will continue selling traditional four-ring Audi models while also developing market-specific vehicles through its partnership with SAIC under the new AUDI brand. Those models are designed specifically for Chinese buyers, who generally place a greater emphasis on digital technology, automation, and large-screen interfaces. That separation gives Audi’s traditional lineup far more freedom to focus on what customers in Europe and North America actually want.

In recent months, Audi executives have already hinted that future interiors will feature fewer oversized screens, more physical controls, higher-quality materials, and a stronger emphasis on craftsmanship. Instead of trying to strike a compromise between vastly different customer expectations around the globe, Audi can now tailor its vehicles to better suit regional tastes. Just as significant is how Audi plans to develop those vehicles.

Project Houses

The company has dramatically streamlined its engineering process through what it calls “project houses.” Rather than relying on multiple committees and layers of approvals, engineers, designers, and decision-makers work together in focused teams with direct access to Audi’s executive board. The goal is to build better cars faster.

According to Mohr, the strategy is already paying dividends. The recently announced limited-production Nuvolari supercar, the upcoming production version of the Concept C sports car, and the all-electric A4 e-tron are all being developed using this faster, more agile process.

Fast and Aglie

“We were fast like never before,” Mohr said of the Nuvolari program.

That speed could become increasingly important as Audi faces growing competition from rapidly developing Chinese premium brands that are beginning to expand into markets around the world.

For North American buyers, however, perhaps the biggest takeaway is philosophical rather than technical. Audi appears to recognize that what appeals to customers in Shanghai isn’t necessarily what resonates with buyers in Chicago, Los Angeles, or Philadelphia. Instead of forcing one global solution on every market, the company is embracing the idea that great luxury cars should reflect the people who buy them.

If Audi follows through on that strategy, future four-ring models may feel more authentically Audi than they have in years. And for enthusiasts who have been hoping for richer interiors, more tactile controls, and a renewed focus on driving dynamics, the death of the “world car” may be one of the best things to happen to the brand in a long time.