Twingo 3 A-B segment renewal by Ali Kassai

TWINGO 3: A & B-SEGMENT RENEWAL COMPLETION
A. KASSAI
PROGRAM DIRECTOR, SMALL PASSENGER CARS
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
DISCLAIMER
Information contained within this document may contain forward looking statements. Although
the Company considers that such information and statements are based on reasonable
assumptions taken on the date of this report, due to their nature, they can be risky and uncertain
(as described in the Renault documentation registered within the French financial markets
regulation authorities) and can lead to a difference between the exact figures and those given or
deduced from said information and statements.
Renault does not undertake to provide updates or revisions, should any new statements and
information be available, should any new specific events occur or for any other reason. Renault
makes no representation, declaration or warranty as regards the accuracy, sufficiency,
adequacy, effectiveness and genuineness of any statements and information contained in this
report.
Further information on Renault can be found on Renault’s web site (www.renault.com),
in the section Finance / Regulated Information.
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
2
AGENDA
01
02
03
04
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
B-SEGMENT TURNAROUND
A-SEGMENT TREND & TWINGO SUCCESS
TWINGO 3: A NEW EQUATION
Q&A
SEPTEMBER 23rd-24th
RENAULT PROPERTY
3
01
B-SEGMENT TURNAROUND
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
4
INNOVATION FOR A BETTER LIFE
CLIO
ZOE
LIFE
CAPTUR
TWINGO
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
5
B-SEGMENT DRIVES RENEWAL OF RENAULT IN EUROPE
European B-segment share
CLIO, CAPTUR
& ZOE
12.9%
CAPTUR
comp 1
comp 2
comp 3
CLIO
Renault
• #1 position
•
2007
2008
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
2009
2010
2011
2012
2013
SEPTEMBER 23rd-24th
2014
RENAULT PROPERTY
6
Design & innovation
image in progress
CLIO IV SELLING PRICE IMPROVEMENT
SELLING PRICE EVOLUTION
(avg 2007-2011 to 2013)
Selling price
CLIO IV
• TOP 3 FOR
MARKET SHARE
Comp 1
• HIGHER SELLING
PRICE vs CLIO III
Comp 1
• TURNOVER
+600 M€ vs CLIO III
(2007)
CLIO III
6,0%
7,0%
8,0%
9,0%
10,0%
11,0%
Segment Share
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
7
CAPTUR SELLING PRICE IMPROVEMENT
SELLING PRICE EVOLUTION
(avg 2007-2011 to 2014)
Selling price
CAPTUR
•
MARKET SHARE
LEADER
•
SIGNIFICANTLY HIGHER
SELLING PRICE vs
MODUS
•
TURNOVER +1,000 M€
vs MODUS (2007)
Comp 1
BENCHMARK
2012
BENCHMARK
2014
MODUS
6,0%
26,0%
46,0%
Segment share
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
8
02
A-SEGMENT TREND
& TWINGO SUCCESS
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
9
A MANDATORY SEGMENT FOR BIG PLAYERS
SEGMENT WEIGHT EVOLUTION IN EUROPE
(G5 countries)
45%
40%
35%
30%
25%
A
20%
B
15%
C
• A-segment
resistance during the
crisis with around
1M units per year
10%
5%
0%
• B-segment stable in
% but with a drop of
1 M units
2006 2007 2008 2009 2010 2011 2012 2013 2014
4 500 000
4 000 000
3 500 000
3 000 000
2 500 000
A
2 000 000
B
1 500 000
C
1 000 000
500 000
2006 2007 2008 2009 2010 2011 2012 2013 2014
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
10
A STRATEGIC SEGMENT FOR RENAULT
RENAULT SALES BREAKDOWN BY SEGMENT
(EUROPE)
60%
50%
40%
A-Seg
30%
B-Seg
C-Seg
20%
10%
• A-SEGMENT:
8% OF RENAULT’S
SALES
0%
700 000
2006 2007 2008 2009 2010 2011 2012 2013 2014
600 000
500 000
400 000
A-Seg
B-Seg
300 000
C-Seg
200 000
100 000
0
2006 2007 2008 2009 2010 2011 2012 2013 2014
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
11
TARGETING A&B SEGMENT LEADERSHIP IN 2015
European A & B-segment share
16,0%
14,0%
11,0%
12,0%
comp 1
10,0%
comp 2
comp 3
8,0%
comp 4
6,0%
Renault
• #2 position
comp5
4,0%
• Design &
innovation
2,0%
0,0%
2007
2008
2009
2010
2011
2012
2013
2014
• Image in
progress
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
12
A-SEGMENT TARGETED USP
A-SEGMENT PURCHASING REASONS
Urban ability : easy to drive and park
Features & innovations for a given price
Consumption
Styling
Roominess / Versatility
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
13
SOCIO DEMO
Female
Average age
Family status
Level of income
Multi owners
Paid price
Conquest
Loyalty
TWINGO TARGET CUSTOMER: THE ACTIVE WOMEN
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
: > 59%
: 52 years old
: 70% no kids (1/3 pre, 2/3 post)
: under average = 41k€
: 63%
: 11 500 €
•
•
•
35 yo, single,
Urban, upper class, paid price +++
Car is a beautiful object & reflection of personality
=> ELEGANCE, ORIGINALITY, HEERFULNESS, MODERNITY
SEPTEMBER 23rd-24th
RENAULT PROPERTY
14
TWINGO SAGA SUCCESS…
300000
250000
200000
Twingo2
150000
Twingo1
100000
50000
5
competitors
44
competitors
0
1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
15
A 20-YEAR STORY TO BE CONTINUED….
TOTAL VOLUME : 3 306 000
(July-2014 – Worldwide)
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
16
… IN A VERY COMPETITIVE ENVIRONMENT …
European A-segment share
IN 2015:
• 1 225 KU
• 44 competitors
• 14 models reach 80% of the
market:
• 3 Key players
>100ku/year
• 2/3 new comers
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
17
WITH 3 KEY PLATFORMS OVER 300ku / YEAR
Up!
500
Citigo
Mii
Panda
C1
Ka
108
+
Picanto
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
18
Aygo
03
TWINGO 3: A NEW EQUATION
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
19
TWINGO DNA
Affordable
Roomy
Versatile
Multi-purpose
Safe and re-insuring
Customization
Strong personality
Innovative
Colorful & collections
Sassy
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
20
TWINGO 3
CITY PROOF
GIVE ME SPACE BACK !
EASY TO USE, FITS DAILY LIFE
Easy to drive and park, some driving
pleasure, No fragility
Visible hardware reduced to the max,
push away “the furniture”
Built to fit everyday needs even if compact :
commuting, dropping kids, shopping, leisure…
5 doors !
3,59m
- 10 cm vs. Twingo 2
Flexicases©
8.65m
2203
Rear camera
12,1°°
Excellent lower
front vision
1288
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
Best in class loading length,
L boot shape,
Color & light
trim parts
SEPTEMBER 23rd-24th
RENAULT PROPERTY
R’&GO ©
21
TWINGO 3: SELLING PRICE IMPROVEMENT TARGET
EXPECTED SELLING PRICE EVOLUTION 2013 TO 2015
14 000
•
12 000
10 000
8 000
4%
6%
8%
10%
12%
Segment share evolution
2013 to 2015
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
22
Price increase vs
Twingo 2 (w/o diesel
& sport version)
PRESS FEEDBACK
“New Renault Twingo pleasant and playful”
(Autovandaag)
“Renault Twingo : La nouvelle Star”
(Caradisac.com)
“Twingo’s back with a Twinkle”
(Daily Express)
“Baby Twingo finds its feets”
(Daily Telegraph)
"Now the Twingo is fun again! "
(Autobild)
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
23
EDISON PROJECT: COOPERATION WITH DAIMLER
Core Batch 1
Add. versions
Convertible
US
LHD&RHD
LHD&RHD
Core Batch 2
EV
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
24
MANUFACTURING FOOTPRINT
4 Seaters Manufacturing
2 Seaters Manufacturing
•
Novo Mesto, Slovenia
•
•
180K veh/year (2016)
Hambach, France
ICE Powertrain
•
Pitesti, Romania & Sevilla, Spain
Mechanical parts
•
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
Pitesti Romania / Le Mans, France
SEPTEMBER 23rd-24th
RENAULT PROPERTY
25
VALUE EMBEDDED IN CONCEPT BENEFITS
2 Seats
Compacity : 2.7m
4 Seats
Roominess
Easy city
driving
EV Ready
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
26
CUSTOMER VALUE ORIENTED
TWINGO 3 VS TWINGO 2
∆Value
∆Cost
Fuel Eco (Petrol)
5 doors
Safety (New EUNCAP)
Features
Roominess
Productivity
Manoeuvrabilty
Connectivity
Design
INCREASE
Rear sliding bench
DECREASE
Diesel version
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
27
ENTRY TICKET BENEFITED FROM COOPERATION
ENTRY TICKET
Carry over
platform
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
New
platform
TWINGO 2
TWINGO 3
2006
2014
SEPTEMBER 23rd-24th
RENAULT PROPERTY
28
CONTAINED DELEVERY COST
Decontenting
Enrichment
Cost savings
TWINGO 2
TWINGO 3
2006
2014
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
29
A&B SEGMENT: AN IMPROVED EQUATION
PROFITABILITY
B
SEGMENT
B
SEGMENT
A
SEGMENT
A
SEGMENT
2005
2013
2006
2014
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
30
Q&A
INVESTOR RELATIONS
TWINGO 3 TEST DRIVE
SEPTEMBER 23rd-24th
RENAULT PROPERTY
31