Aston Martin is loved in China

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So your friend has a red Ferrari, your other friend has a snot green Lambo, you could buy something similar, or you could buy class and performance at the same time. Rich young Chinese are flocking to the British super car brand more than ever according to Aston Martin’s Asia Pacific Managing Director, Matthew Bennet:

From China Daily:

Aston Martin, the luxury car manufacturer favored by investment bankers, is hoping to build a “special” niche with Chinese customers in the fast-growing luxury car market to boost its market share in the world’s largest market for automobiles.The British automaker anticipates that much of its future profit growth would come from new markets such as China, where demand for luxury goods is skyrocketing amid the rise of a new class of millionaires who are willing to spend money to own expensive wheels of desire.

Explaining the concept of “special” in the context of the luxury car market, Matthew Bennett, director, Asia-Pacific for Aston Martin, said: “The number of vehicles we have sold in the past 100 years is equivalent to the sales automakers such as Toyota do in two or three days.”

Bennett quickly explains that the vast difference has nothing to do with the flagging demand for Aston Martin cars. Rather, it is because the British company has always positioned its cars as luxury cars that are unique and rare.

“Since our customers pay a fortune to buy the cars, they need some individual treatment, and they need to feel special,” Bennett said.

“In our concept, there is no such thing as a ‘typical customer’ or a ‘target customer’, as we ensure that we have one-to-one relations with each of them.”

Such confidence also stems from the fact that the Aston Martin cars are priced between 3 million yuan ($463,500) and 5.9 million yuan.

That equals the cost of five BMW 7 series cars, and seven Audi A6L cars, models that are considered the epitomes of success in China.

Despite the stiff price, Aston Martin sells 5,000 to 6,000 cars worldwide ever year, and sold 100 cars in China last year. Exuding confidence, Bennett said that he expects to double the sales target for Aston Martin this year.

“Currently, we have three segments in our global market, each making up roughly 30 percent – America, Europe and Asia. The American and European markets are relatively steady, while the Asian market is extremely robust, driven by the strong growth in China,” he said.

“Though in terms of market size for us, China is still small. We have very ambitious growth plans,” he said. “This year we expect the Chinese market to become the biggest in Asia.”

Despite the Asian headquarters of Aston Martin being in Tokyo, Bennett spends nearly two to three weeks every month in the company’s Shanghai office.

That special attention clearly underscores the importance luxury car makers are giving to China. Aston Martin debuted in China in 2008 at a time when other luxury brands, such as Mercedes-Benz and Audi, had already been present for 16 and 20 years.

Clearly the British automaker was at a disadvantage as most of the German brands already had successful local joint ventures and considerable market share.

Bennett, however, does not seem too perturbed at playing second fiddle to other luxury car brands in China.

“Rich people have a fleet of cars, not just one; if they like Aston Martin, fine, they will buy one; and if they like Ferrari, fine, they can afford another car. It doesn’t matter which car they use for commuting or for fun.”

What Bennett, however, is keen on cashing in on is the purchasing power and generosity of Chinese customers.

Describing the 2011 Shanghai Auto Show as the biggest sales event for Aston Martin in the world, he said the company was inundated with enquiries and orders for the six models displayed at the expo. Four of the Aston Martin models made their Asia debut in Shanghai, said Bennett.

Refusing to divulge the exact sales numbers, Bennett said he is “extremely pleased” with the results. “We have received enough orders for four to five months.”

But was he prepared for such an overwhelming response? A candid Bennett said that he warned his staff that the Shanghai Auto Show would be a busy, noisy and even a messy affair.

“This was the only occasion that we needed to set an extent fence and guards to keep the crowds at bay,” he said.

Unlike other auto companies, Aston Martin does not have TV commercial or printed advertisements to showcase its cars.

Such is the brand recognition among its well-connected customers that it does not have to resort to any marketing gimmicks to push its products. Rather the company selects potential customers through previous customers’ recommendations, or from high-level get-togethers and invites them for test drives or exclusive visits, said Bennett.

“Since our customers are successful and super busy, we usually stick to their schedule,” he said. “Sometimes we go to the customers’ homes and bring the car with us, so they can have the Aston Martin experience just outside their homes.”

Bennett admits that most of his Chinese customers are “confident”. Compared with some successful people who want to keep low profiles, Aston Martin owners in China are “more willing to reward themselves, with the super luxury, fancy and attractive vehicles from our stable”.

Aston Martin owners in China have another striking difference than other markets: their ages. “The Chinese customers are younger than those in the United States and Europe.”

The Chinese customers also have a penchant for bright and sharp colors, such as red, green and orange, he said.

“Recently, the red and black combination is becoming popular among our customers,” he said. “I think it’s a cultural thing. When I sit in my office in Shanghai, many orange cars pass outside my window – it is hard to imagine something like this back in England!”

Bennett said that most of his customers either make their decisions quickly, or prefer to wait.

“Some customers quickly decide to buy the car, quickly make designs and even don’t want to wait for the car to be transported to China by sea from the England factory, which usually takes a month. They fly their cars here, although that means a lot of money.

“Some customers are very patient. They chose to wait. It may take one or two months of e-mail communication between our staff members and the customers to discuss the special features they want to add to the car, which can be a special fur seat, a special color, or other requirements,” he said, adding that most customers usually don’t make technical changes on the car, only aesthetic ones.

Like many other luxury car brands, Aston Martin is satisfied with its technology and has no intention of making its vehicles electric.

“As a luxury car brand, we don’t compromise on power or speed. Going electric might hurt the speed and joy of driving. I believe there is an alternative to make it environmentally friendly. We may make small compact city cars, that are greener but still exhibit the qualities of a luxury car.”