Archive for November, 2010

Chevrolet looking at the Aveo to boost subcompact market performance

Thursday, November 4th, 2010

You may be wondering if the Aveo brand going to be dropped by Chevrolet.  Not really since the carmaker faces a big issued with regards to their global branding strategy. According to a report recently, the reworked compact vehicle might get a new name as it hits the U.S. market by next year. The car has been at their dealerships since 2003 but the market is just having a hard time pronouncing the name, thus it will be changed.

Although the carmaker did not exactly point it out, but maybe majority of the American consumers have not even heard of Aveo. The sales figures are really bad and advertising back up is not really there. Also, the Aveo does not hold much of an appeal when placed side by side with its competitors.

According to insiders, the upcoming Aveo will create a different story. It will not be marketed as an economy car but will get the standard features like heated side mirrors and air conditioning. It is also expected to have a handling and feel similar to the small cars of Volkswagen.

Chevrolet will also offer the car with a sedan variant and a 5-door hatchback which will be both manufactured in Michigan and other Chevy factories in different corners of the globe.

Overall, Chevrolet wants to tell us the new subcompact will be a different car compared to its older sibling. And this will require a name change. There is a big but to this story though since Chevrolet has a global branding strategy tagged as “One Chevy” and using a different name for the North American market will hurt this direction.

While Cruze is also being sold as Cruze in other parts of the world, and Spark sold as Spark, is there really a dilemma to have the Aveo pushed as the Aveo when it goes on sale in different continents starting next year?