Autoextremist rips Porsche for the Cayman

[RallyJon]

Great stuff...

Porsche. Word from Porsche Land is not good. We're hearing from some very big and very important Porsche dealer principals that the Porsche Cayman S is as close to being dead in the water as a new car can be. "Customers come in, call it a Boxster S Coupe, see it's about ten grand more than a regular Boxster S any way you slice it, mutter something about 'why is a Coupe ten grand more than the convertible?' - and then they either start looking at the Boxster S or they walk out. Porche blew the Cayman pricing, period," was the word from one dealer we talked to who shall remain nameless. Why are we not surprised? When it comes to the basic pricing of their cars (or the even more ridiculously priced options), there is always one overriding factor that Porsche brings to the table - and that is flat-out greed. No auto company in the world has more cojones than Porsche when it comes to overcharging their customers, and unfortunately, customers in the U.S. have born the brunt of Porsche's usurious pricing strategies over the years. But it's a different world now, and there are too many great cars out there that bump up against Porsche in terms of performance - and crush the vaunted German automaker when the question of performance-for-the-dollar is factored in. Traditional Porsche buyers are not amused by the Cayman's pricing - and more importantly, the dealers are not smiling either. So let's review, shall we? The Cayenne is over, relegated to yesterday's news and piling up on Porsche dealer lots like so much cord wood. The brilliant Carrera GT has run its course in the market, which is not unexpected. After all, the people who could actually afford one are now moving on to what's next - and the dealers who still have one in their showrooms are left to sit there and think about the interest they're paying on them every single day. The 911 market is getting smaller with each Porsche price increase and with each hot new competitor that equals or surpasses it in all the relevant categories, and now the Cayman S, Porsche's most important launch this year, is teetering on the brink of being a non-starter. We predict a desperate cash-to-dealers program will begin shortly to try to salvage any momentum from the Cayman's launch - good luck with that. This publication has been relentless in its skewering of the exalted Wendelin Wiedeking and his Greed Posse in Zuffenhausen and for good reason, since these guys have demonstrated about as much vision as a carnival barker - which means it only stretches as far as the next show. While ol' Wendelin keeps collecting German business "executive-of-the-year" awards and bathing in his various accolades, a storm is brewing that threatens to derail the vaunted Porsche money train once and for all. Porsche apologists will say that the numbers don't indicate any impending doomsday, but if they can look up from counting their short-term profits long enough, these brainiacs might just have a shot at steering the ship away from the iceberg in time to save it. On second thought, these guys just don't get it, so why expect lucidity and rational thought at this point?

From here: http://autoextremist.com/page6.shtml

[Doug&Julie]

[Wil Ferch]

Much of this is ...unfortunately....true...

( rolling eyes notwithstanding).

- Wil

[sand_man]

...not really sure what to think about all of that. I guess it's still sinking in. The (dare I say) "newer" cars just don't interest me. I'm not hating on them, they're just not my thing - Cayman included. However, I do love the Porsche marque, and thus am concerned with Porsche's future. I hope it's just extremist banter from the "Autoextremist"...

[petrolblue83911]

wow terrible news, the next thing you know, VW will be buying up 20% of Porsche and we'll be stuck driving golf knock offs with carerra badges on the back..

[masraum]

No auto company in the world has more cojones than Porsche when it comes to overcharging their customers

Exactly, valid point. that's why Ferrari, Lambo, etc... are such bargains.

[naparsei]

Most enthusiasts I know like the Cayman, and want one. I know the guy who bought my Boxster would have dearly loved to buy one, if he could afford it. If you think a new 911 is a decent deal, then the Caymen is at least as good.

CGT - we've got one at the dealership here, and I agree with the comments. It's not the next new thing, and the waiters are also more cautious by definition - and the rumors about the volatile handling are probably scaring some off. I know I'd be worried about spending $400K on a car that was too easy to stack, when I could buy a 430 or a Vanquish or really just about anything... and have less concerns.... I mean, the Stig found it a challenge to throw down a fast lap - not because the car was slow, but just that it was hard to drive...

[RallyJon]

Porsche doesn't compete with Ferrari and Lambo.

If I were Porsche I'd be much more concerned about getting my clock cleaned by Corvette. Heck even the Mitsu EVO can spank a 997 C4S around a racetrack. Now that's embarassing.

Want to be a performance marque? Don't fall behind in performance.

Want to sell cars to people who wander into a showroom thinking the Cayman is a hardtop Boxster for $10k more? Well I don't have a snappy comeback for that--but if I were Porsche I'd be very concerned.

[speedingbullitt]

Well put! I was shocked to learn their pricing strategy when the Cayman was announced. Just like the american automakers, they will have to learn the hard way!

[HardDrive]

I had EXACTLY the same question that they posed in the article: Why is the coupe more than the convertable? This defies any car pricing I have every seen. And WHY didn't they offer the car with the standard engine? Its absurd. There IS a difference for some of us between $45k and $60K. Anyone shopping for a Cayman obviously does not have the resource for the 911.

I will be very curious to see how BMW prices their Z4 hard top coming out this summer.....

[dd74]

First of all, consider the source of the article: "Autoextremist." Then deduce from there that anextremist or extremists don't always speak for the masses.

[Wil Ferch]

The truth is still the truth....and it may sting.....

Wil

[SilverPoly]

regardless, it's just a matter of time when I'll be surrounded by Caymans on the 405. Afterall, this area is one of Porsche's largest markets.. California that is. Latte sippin, westsiders.. arggggg

[RallyJon]

Originally posted by dd74
First of all, consider the source of the article: "Autoextremist." Then deduce from there that anextremist or extremists don't always speak for the masses.

Autoextremist is a very highly regarded "insider" web newsletter, read by sr management at all the car companies. It's not some punk wannabe's blog.

[Vipergrün]

If Porsche wanted to do the "right" thing, they would strip 300lbs and 30K off the car and make is something an actual entheusiest would want to purchase.

[Cory M]

I agree that the Cayman price is too steep, especially considering that the new Z06 can be had for the same amount of money with a lot more performance. I like it though, just because I'm a hardtop guy and I like the mid-engined platform. I would be afraid that the resale prices will be as bad as the Boxster in a few years. Boxsters have gotten so cheap on the used market that a Boxster Spec series has been formed in the POC for cheap racing!

However, the article doesn't really match what I heard from a manager of a Porsche dealer here in CA. He said that the Cayman is really popular and that the Boxster sales are lagging as a result. Maybe it's a regional thing..

[s_wilwerding]

I just love, love people that sit back and criticize a CEO and how they run companies. Let's see, WW brought Porsche back from the brink of bankruptcy to being the most profitable car company in the world, all while having zero long term debt. You can argue ad infinitum about whether the Porsche cars have lost their mystique/soul, but it's hard for me to listen to some jackass blogger talk about how he would run a company so much better than someone who, at least from a business perspective, has been wildly successful.

As far I'm concerned, idiots like this belong in the same group as people who actively write/talk about whether Angelina Jolie and Brad Pitt are going to stay in love, and how well Jennifer is handling the breakup.

[sand_man]

Originally posted by s_wilwerding
As far I'm concerned, idiots like this belong in the same group as people who actively write/talk about whether Angelina Jolie and Brad Pitt are going to stay in love, and how well Jennifer is handling the breakup.

OMFingG...Brad and Jennifer broke up?

[Wil Ferch]

Steve:

Being an enthusiast forum I don't think the criticism is aimed squarely at how a CEO runs a company "from a business perspective"... I think the criticism is aimed at "product".

And BTW... WW *couldn't* make this the most profitable car company in the world if he didn't cash-in on some of the "mystique" and "cache" of the company in the first place....based on the history and products it *used* to make.

Make no mistake....you can't build ...what is essentially a $35k car and sell it for $65K unless there is a Porsche crest on the hood...meaning....he couldn't have done the same thing ( overall profitability) if this company were a mainstream "no history" company, that could not support the extra margins that *this* company *can*.

Wil

[RSBob]

How is Jennifer doing?