Carlos Ghosn, Chairman & CEO, Renault S.A. & Nissan Motor Co., Ltd. introduced LeWeb today in front of 2 000 digital experts, entrepreneurs. His key point was « how to think outside of the box for brick and mortar industry? » It’s of course the focus of Idaos and here are the key points brought up by Mr. Ghosn who want to reinvent the car.
In Japan, cars ranked 17th in the interest for young people. The industry failed to remain a symbol of modernity because this insdutry is based on optimisation, not risk taking. Why? Because the stakes are high. The Megane program cost €2 billion.
Over the past decades, the car did not evolved much while the world changed dramatically: environnement; geopolitical situations, energy. The basic need for transportation will not changed. Cars are perceived as a problem. They need to be perceived as a solution.
Today, everyday, 1 billion cars are driven. By 2020, 2 billion cars will be driven every day. Why? Chinese, Brazilians, Indians and many others want to drive.
Electric vehicles can be a breakthrough in technology, processes, market strategies. It’s also good news for the consumers. Renault is starting selling The Leaf, a 100% electrical car, this month in the US and Japan. In US, 250 000 people raised their hand while only 20 000 cars will be available.
The electric car is a platform because autonomous transportation is a basic need. It’s open to opportunities. It’s $2 trillion revenue each year . We’ll have to rethink the business with innovations.
In his conclusion, Mr. Ghosn called upon people to help them move fast to drive this revolution.
NB 15% ot the $1.5 billion marketing budget is spent online and that share of marketing expenses will increase. On marketing, he does not see the car as a commodity and wants to beef up the emotional side of the product.