Wednesday Briefing: Jaguar's Electric Car Rebrand and Market Shift

Dec 4, 2024 at 6:45 AM
Good morning! In recent days, you might have been curious about the neon pink tank that has been making waves on the internet. Rest assured, this isn't an algorithm judging your taste or predicting your next purchase. In fact, it's a Jaguar Type 00, an object of extensive media coverage that may hold the key to the electric future of the car industry.

Uncover the Mystery Behind the Neon Pink Jaguar

What is the "Copy Nothing" Campaign?

The first indication that Type 00 discourse could become a concern was the appearance of a teaser video online before its launch. The "copy nothing" campaign, featuring stern-faced models in fluorescent outfits exiting a lift on what we suspect to be Mars, was celebrated by Jaguar's managing director as a means to "move away from traditional automotive stereotypes." However, to many, it just seemed like a generic marketing ploy, reminiscent of Apple's "think different" campaign. ("Delete ordinary," Jaguar also claimed. "Go bold. Braindump spacecar.")This campaign sparked a lot of debate. Some, like Nigel Farage, called Jaguar's efforts "woke" and deserving of bankruptcy. Others, like Andrew Tate, dismissed it as "gay bullshit." But whether these reactions were genuine or just for personal branding purposes remains a question.

What is a Concept Car?

In theory, a concept car is a vision of the future, a way to test out radical styling and technological advancements outside the constraints of mass production. They are meant to drive technological progress, whether they succeed or not. (Remember the Plymouth Voyager III? It briefly appeared in 1990 but didn't lead to the widespread adoption of detachable minibuses.)In reality, concept cars are primarily marketing tools. Car salesmen get to feel like Steve Jobs when they present them at product launches. If the features that attract attention don't make it to the road, it doesn't matter. "They try to be as ambitious as possible, then they back off a bit in the production versions," Jasper explained.The road version of the Jaguar Type 00 has already been tested, wrapped in black-and-white wrapping paper to hide its design. It appears to be a similar vehicle with four doors instead of two, but it's unlikely to feature a "travertine" plinth or a brass spine down the middle. And you might have more color options than just electric blue or pink.

Why Does it Look Like Fascist Dystopian Barbie?

This neon pink Jaguar may not be to everyone's taste, but it's not aimed at the aging market that buys Jaguars in smaller numbers. Jaguar Land Rover is focused on attracting a new customer base.As Jasper pointed out, when people think of classic Jaguars, they often think of the E-Type from the 60s or Inspector Morse's Jaguar. These images don't represent the market they hope to reach. The desired shift is from a "legacy automotive brand" to a "pure luxury brand."This new customer base is likely to be found in the luxury districts of cities like London, Paris, and Dubai. These are the places where supercars are common, and they attract parking fines or traffic rather than cruising on open roads."They've already said their first showroom will be in the Paris fashion district," Jasper said. "It's not a 'woke' younger person; it's more in their 30s or 40s, an international moneyed elite that may include tech entrepreneurs or those with inherited wealth."

What Does the Type 00 Tell Us About the Electric Car Market?

While Jaguar claims its new cars look funny as a "fearlessly creative" tribute to the brand's DNA, the main reason is that sales of the old models have been declining. In 2018, they sold 180,000 cars, but by 2023, that number had dropped to fewer than 67,000. Now, they've stopped selling new ones altogether.The transition to electric provides an ideal opportunity for a brand makeover. People expect cars to be different, and they may be more open-minded about what they buy. "You've seen Chinese carmakers entering the UK market and establishing a foothold that would have been difficult in the past," Jasper said. China now controls 76% of the global electric car market.Another reason is that electric cars are more similar than petrol cars. In the past, Jaguar ads focused on engine power, but now, the only technical aspect that matters is range. So, they have to differentiate themselves in other ways.The Jaguar marketing describes the car as a "physical manifestation" of the brand, similar to a loaf of bread representing Hovis or my face representing the rolling eyes emoji. If Jaguar can sell enough of these brand physical manifestations when they hit the market, all the mockery will be worth it.