How's this for a marketing challenge: Soon Mazda will be selling five different people haulers – all about the same size and all within a relatively narrow price band.
Isn't that cutting things a little too fine for a brand that's a niche player to begin with?
Mazda marketing executives say no. They insist the five products can exist comfortably in one showroom because they appeal to different buyers.
But it seems like a lot of finessing for one smallish brand – not to mention a lot of manufacturing complexity. Combined, all five vehicles are expected to sell only about 135,000 units annually. Their base prices vary by just $11,400 from top to bottom.
Mazda will have a tough time, said Wes Brown, analyst with Iceology in Los Angeles.
“They're basically saying, 'We don't know where the market is going to go, so let's offer the consumers as many choices as we can and see where the cards play out,” Brown said. “In three or four years we can get rid of the ones that don't work out.”
The lineup consists of:
* The Mazda5, a compact minivan that seats six.
* The Tribute, a mid-sized, car-based SUV that seats five.
* The CX-7, a mid-sized crossover that seats five
* The Mazda6 sport wagon, a mid-sized wagon that seats five.
* The CX-9, a mid-sized crossover that seats seven.
Room for everyone
Most of the vehicles are either new or have undergone recent changes. The Mazda5 was introduced in summer 2005. The CX-7 arrived last fall. The CX-9 goes on sale this month. The Tribute will be redesigned this fall.
Robert Davis, senior vice president of product development and quality, thinks there is room for all five.
He cites demographic and psychographic differences between buyers who want a traditional SUV-looking vehicle such as the Tribute and those who fancy the racier CX-7. There also are differences between people who want a five-seat crossover such as the CX-7 and those looking for a seven-seat crossover such as the CX-9.
“They are different ages,” Davis said. “They have different lifestyles. They have different needs.”
Demographically, people who want a CX-9 are closer to minivan buyers than SUV buyers, said Chris Hill, vehicle line manager of product marketing.
“The CX-9 is not a CX-7 with a jump seat,” Hill said. “It's a more hip and stylish alternative to a minivan or SUV, but with a true seven-seat layout.”
Still, a niche brand such as Mazda should be careful how it overlaps segments, says Lincoln Merrihew, an analyst with TNS Automotive in Marlborough, Mass. “Mazda has done a pretty good job of distinguishing the products,” Merrihew said.
For instance, the engine offerings among the five are much different. That allows salespeople to better distinguish the products. With the redesigned Tribute, Mazda also has a hybrid.