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Source: Ford
There’s a big difference between a sporting concept car and an automobile set to see production. Innovative and advanced real-world cars and trucks take years of product development and huge investments by automakers. Should their bet on superior technology and a willing consumer base fail, it could damage the company’s reputation for years.
This is why so many exciting ideas and concepts never really take off. They’re simply too much of a risk for big companies to take on.
The world’s top auto shows are typically where top automakers are ready to introduce cars that will drive their brands in very different directions. This is done to feel out consumer interest and create brand buzz, among other things. In some instances, it means a model known for excess will get an electric motor; in another, it involves a famously durable pickup truck getting a new suit of body armor. Other times, there are cars that simply buck industry trends. At the end of the day, these vehicles all share one thing in common: they’re calculated risks.
Needing some examples? Well dig in, because here are seven vehicles that represent major gambles for automakers. Some are on the market. Some will be soon. But rest assured that industry execs and insiders will be watching like hawks to see what happens.
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Source: Hyundai
1. Hyundai’s Tucson Fuel Cell Crossover
What happens when you tell drivers they need a hydrogen refueling station in order to fill up? Well, we don’t know yet, and that’s what makes this vehicle a gamble. Though Asian automakers are paving the road for hydrogen fuel cell vehicles, California drivers (who else?) are among the first getting a shot at the innovative technology. In fact, the Hyundai Tucson FCV and other fuel-cell models have electric motors on board, which has sparked a bit of a feud between electric car makers that will power their vehicles using hydrogen and those that already do so with lithium-ion batteries (one from Palo Alto stands out).
Hyundai is powering full-steam ahead with its fuel-cell Tucson that produces only water vapor emissions. Released in early 2014, you can find the crossover in Southern California for a $499 per month lease, with fuel and maintenance included. With respect to pricing, the Korean automaker is eliminating most of the risk it is taking in the rollout. The gamble comes in the bet the technology will catch on and the automaker’s extensive investment in development will be worth it.
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Source: Ford
2. 2015 Ford Mustang
Whenever you alter an automobile icon, you risk alienating the loyal car enthusiasts gathering in garages all across the country. Ford has taken numerous chances in the redesigns of its classic pony car in the past, and the next generation is no different. The 2015 Ford Mustang appears less aggressive to the eye than its predecessors, but even more controversial was the inclusion of Ford’s EcoBoost engine in select models.
A Mustang that saves fuel? Before wondering what heathens Ford consulted in the new Mustang’s design, it’s useful to recall the expanding auto market. China is the world’s biggest car buyer, and India is growing rapidly. Ford expects that global clientele will appreciate a more efficient ‘Stang. For the car guy that loves the roar of the Mustang V8, Ford made sure to up the horsepower quotient in that model. Bet hedged.
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Source: Cadillac
3. Cadillac ELR
What do Cadillacs and fuel efficiency have in common? Prior to the announcement that General Motors’ luxury brand had a plug-in hybrid model on the way, few would put the two together in a sentence. That’s about to change with the Cadillac ELR, which is based on the Chevy Volt powertrain, and has a range of 340 miles.
Cadillac is taking a two-pronged gamble with the ELR. On one hand, the lack of the Cadillac growl in electric mode may turn off some loyal fans. On the other hand, the steep price tag presents a greater challenge. At a base price over $75,000, it’s reasonable to wonder how many will pay such a sum, when some other highly regarded Cadillac models cost far less. That’s not to mention the all-electric Tesla Model S, which also has a lower base price than the ELR and a much greater all-electric driving range, and the slew of other upcoming luxury electric and hybrid cars.
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Source: Honda
4. Honda FCEV
Honda has taken up the cause for fuel-cell vehicles, just as Hyundai has. In fact, the Japanese automaker already has a limited-edition hydrogen car on the road in California. The concept Honda FCEV, which appeared at auto shows in late 2013, is the fuel-cell car with the most futuristic design so far. Like its competitors, it has the potential to travel over 300 miles after fueling the hydrogen cells that power an electric motor.
On top of the hydrogen factor, which still must pass numerous hurdles to make it to the mainstream, Honda is taking a major gamble on the styling front. Are auto consumers ready for a car that looks at home in a sci-fi flick? We’re going to find out soon enough, as there are plans for several other fuel-cell models in the near future.
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Source: Kia
5. Kia K900
Auto consumers on the hunt for a stately, long-wheelbase luxury car don’t typically put Kia at the top of their options list. Yet the Korean value brand has officially entered the luxury market in the U.S. with the introduction of the Kia K900. The K900 has many things luxury consumers love: rear-wheel drive; a 420 horsepower V8 among its engine options; and an interior that’s more spacious than full-size luxury competitors’ offerings.
One could consider it a major gamble since it remains to be seen whether consumers shopping for a Mercedes, BMW, or Cadillac will instead turn to a Kia. If there’s a car that can do it, the K900 has a shot. But there are also some industry trends that are working against the K900’s favor as well. Large sedan sales are slipping, so it may be even harder for the K900 to gain any traction in a saturated market.
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Source: Toyota
6. Toyota Mirai
Toyota knows a thing or two about gambling on innovative technology. The development of the Prius hybrid family remains one of the biggest game-changing moves in recent decades. With the introduction of a fuel-cell vehicle, which we know will be called the Mirai, is showing it is not done making history.
Like the Honda and Hyundai fuel-cell vehicles, the Toyota Mirai will appear in 2015, and use hydrogen to power electric motors that emit water vapor as the only emission. As the top selling automaker on earth, Toyota is taking a significant risk in betting hydrogen will supplant lithium-ion batteries in the coming decade. If it wanted to, Toyota could have doubled down on plug-ins in the line of the Prius and Model S.
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Source: Ford
7. 2015 Ford F-150
Ford may have taken the cake for the biggest industry gamble in a decade, with its introduction of an aluminum-body F-150 for the 2015 model year redesign. As a rule, doing anything to mess with the runaway best-selling vehicle in the United States for more than 30 years is an enormous gamble.
Furthermore, F-Series pickup owners depend on the durability and “Ford Tough”-ness that has made the vehicle so popular among blue-collar workers, and others who rely heavily on their truck in a professional sense. The big question is whether customers will bite on the new construction. And if they do, will that lead to some big industry changes?
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Source: Justin Lloyd-Miller/The Cheat Sheet
8. 2015 Chrysler 300
While there is likely to be a fair amount of customer interest in a new Chrysler 300, industry trends seem to show that putting significant resources behind it is a bad idea. The truth is, America is falling out of love with full-size sedans, and gravitating towards mid-size cars, SUVs, and pickup trucks in droves. Despite the signs, Chrysler is pushing ahead with the newly-redesigned 300.
The gamble regarding the 300, which is being outsold at lightning pace by its younger brother, the 200 — is seeing if Chrysler can convince consumers to go for a large car with a V8 engine option. People looking for power are going for trucks and SUVs, and those who want cars are opting for smaller vehicles. So where does this leave the 300? We’ll find out soon enough.
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Source: Jeep
9. 2015 Jeep Renegade
Another roll of the dice being made by the Chrysler corporate family is on a brand new Jeep model: the Renegade. Being put on the market as part of an effort to win back SUV-lovers affections, the Renegade is a smaller addition to the Jeep lineup, and comes with a less-rugged design and aesthetics. The bright, cutesy exterior is quite different from models like the Cherokee, and a smaller and less powerful engine may turn some consumers away.
But therein lies the gamble: will consumers be willing to give a smaller, more fuel-efficient and flashy SUV a shot? Or will they stick with what they know, namely the Cherokee and Grand Cherokee, as far as Jeep goes? It’s a risk for Jeep, but it’s likely one worth taking.
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Source: Lincoln
10. 2015 Lincoln Navigator
Lincoln is staging a comeback year, with some new investment from Ford in an attempt to take on other luxury brands currently ruling the domestic market, like Cadillac. Perhaps Lincoln’s most memorable model, the Navigator is also back and as beautiful as ever. The question is, are luxury SUV customers even interested in it anymore? Adding on to that, are big SUVs even all that viable at this point?
The Navigator is getting some help from rapidly-dropping gas prices, but the fact is Lincoln’s name has really fallen in the mud. Many members of the younger generations are hardly even familiar with the brand, and it has an uphill climb to regain its past glory. Given the market’s gravitation towards fuel-efficient mid-size cars and SUVs, can a large, 18-miles per gallon, $62,000 luxury SUV still be a success? Lincoln’s willing to bet it is.
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