PEUGEOT

Brand misses strategy when evading turbo engine for new 208 in the Brazilian market

Do you know that person who makes a mistake once and asks for another chance? So you take the chance and make a mistake again? Then ask for one more and make a third mistake? It looks like Peugeot do Brasil. Once again, in the process of recovering the brand image, Peugeot makes a mistake. The choice of the 1.6 engine aspirated for the Brazilian market was a strategic error that could harm the performance of the new 208 in sales. A pity, because everything we have seen about the new Peugeot 208 makes us believe that it has lost the chance to be the undisputed leader in quality in its segment.
Peugeot do Brasil had two engines on the shelf to choose from. On the one hand, the old EC5 engine aspirated with 118 horsepower. On the other, the modern Puretech 1.2 turbo engine of 130 hp, much more efficient. Uni-duni-tê… and Peugeot chose the worst. But only for Brazil, because in Argentina, as far as we know, there will be the option of the turbocharged engine. It's more or less like buying a new Ermenegildo Zegna suit, putting on a Salvatore Ferragamo tie and going to the party with an old, worn Vulcabrás 752 shoe. It doesn't fit. That's what Peugeot do Brasil did - perhaps worse, because it missed the heart of the car.
If it were to make the Peugeot 208 a more affordable car, to fight for volume, it would make sense. But not. The new 208 is expensive, starts at R$ 74,990 and goes up to R $ 94,990. Therefore, it is positioned at a higher level than three reference cars: Hyundai HB20 Vision 1.6 AT aspirated (R$ 64,590), Volkswagen Polo Comfortline 1.6 AT aspirated (R$ 69,100) and Chevrolet Onix Turbo 1.0 AT (R$ 65,090) . The new 208 has a six-speed automatic transmission like all of them and delivers 118 hp with ethanol. There are 2 hp more than the Onix turbo and 1 horseback more than the Polo 1.6, but the Polo 1.0 TSI has 128 hp of power and costs R$ 77,790. And the aspirated HB20 1.6 offers 130 hp. Is the engine all in the car? No. But for Peugeot do Brasil it should be. With a history of complaints that has been reversed in recent years, Peugeot cannot afford to make mistakes in the Brazilian market. It needs to offer cars that are absolutely indisputable in terms of construction, dynamics and mechanics. The most amazing thing is that the new Peugeot 208 - voted Car of the Year in Europe - has it all. But, as we said, Peugeot preferred to go with an old shoe at the party where it appeared with an impeccable suit. Why she did it? For cost savings, obviously, to prevent the 208 from becoming too expensive, but we believe there is something else there.
If it were equipped with the 1.2 turbo engine, which is manufactured in Europe and China, the new Peugeot 208 would cost even more. And? For the public that Peugeot seems to be looking for, at least in the high-end versions, the price is relative. Many people are buying expensive cars for a combination of design, connectivity, safety and mechanics. However, the 208 Griffe 1.6 for R$ 94,990 will not deliver an engine compatible with the i-Cockpit 3D and its various electronic safety and driving aid systems.
Peugeot, of course, can argue that it has the most beautiful design, offering differentiated connectivity items, etc. But it will not convince. The true truth is that the new Peugeot 208 takes a bath in the performance of these three cars: to go from 0 to 100 km / h, it takes 12 seconds, against 10.5 for the HB20 and Polo and 10.6 for Onix. Worse than that: even though it is slower, the new 208 is more wasted than the three in all consumption measurements, as it does 11.0 and 13.2 km / l with gasoline (city and road) and 7.7 and 9.3 km / l with ethanol.
It is possible that Peugeot preferred to sacrifice the 208 with thermal engine in order not to leave its performance very close to that of the 208 e-GT, all electric. After all, this will have a 136 hp electric motor with acceleration from 0-100 km / h in 8.1 seconds. The maximum speed, on the other hand, will be limited to 150 km / h in order not to compromise the range of the car too much. The brand did not disclose how much the electric 208 will cost, but it will hardly be less than R$ 200 thousand. So, to highlight the qualities of the electric car, is it necessary to hide the qualities of the combustion engine car?
It seems that this was what Peugeot do Brasil did when choosing the 1.6 aspirated engine and not the 1.2 turbo engine. More or less as if to say: - You are looking at me with an old shoe now, but at the party next year I will be wearing a Louis Vuitton shoe that will shine more than the chandeliers on the ceiling.
IS. Can be. But this shows a certain contempt by the sales and marketing departments for the Brazilian consumer intelligence. What is the problem of saying: - We have two wonderful cars here, with close performance, but one uses the best combustion engine technology and the other offers a completely new experience, an electric motor that will put you in sustainable use of automobile, with zero emission of pollutants.
I believe that consumers interested in a Peugeot 208 would understand this differentiation perfectly. But, now Inês is dead, as people say. With the engine chosen, the new Peugeot 208 will try to impose itself by style in the entry version (R$ 74,990 or R$ 82,490 with reverse camera, sunroof and digital air), by the i-Cockpit in the intermediate version (R$ 89,490) and by the electronic systems of assistance for driving at the top of the line (R$ 94,990). Peugeot will be able to highlight these attributes and argue that the aspirated 1.6 engine is sufficient for the use of the Brazilian consumer. But you won't be able to fill your mouth and say you have the best compact hatch in Brazil. To say that, you have to cross the border and say in Spanish: - Tenemos el mejor hatchback de Argentina!

Prices quoted in the report are from the Brazilian market

Source: Sergio Quintanilha, Brazil