Good health and world peace aside, what do you wish for as Opel Group CEO?
Karl-Thomas Neumann: I want Opel to achieve the kind of success that it used to enjoy. We’re currently the third largest car brand in Europe and our long-term goal is to reach number two. We aim to be making a profit again by 2016 and increase our margin to five percent by 2022.
Jan Spychala: I wish that you would also make cars that appeal to fans like me. I don’t just want a car for traveling from A to B. I want a car that can appeal to me on an emotional level as well.
Neumann: Opel used to stand for two things in particular: superb design that really packed a punch and amazing technology. This is exactly what we are aiming to achieve again and every decision that we make is based on these criteria while maintaining the German reputation for high quality and engineering excellence.
You can’t go wrong with a SUV.
Neumann: As long as you get it right in the first place. While most segments are experiencing zero to negative growth, the SUV market continues to expand. It makes you wonder if we’ll all be driving SUVs in the future.
Spychala: I hope not.
Neumann: I doubt it too due to the trend towards lower CO2 emissions and more energy-efficient cars. We’re still looking for the right way to approach this and my expectations are high. We’re currently trying to develop and construct cars that are somewhere between an SUV and a passenger car. Opel has always been skilled at discovering these kinds of new segments.
If I buy an ADAM now and drive it for six years, I’ll have three new smartphones within this time. Will I be able to sync all of these different apps with the car’s display?
Neumann: We’re close to finding a solution to this issue and will have done so by the time the next-generation of models is launched. The ADAM already features a navigation system that runs on your mobile but is operated and displayed on the car’s large screen.
Spychala: I’m excited to see how this will develop. Manufacturers need to appeal to the Instagram generation who love to share everything and let the whole world see exactly what they’re doing.
Neumann: We need to appeal to a younger demographic again. Car buyers tend to be relatively old.
Mr. Spychala is 30. You still need to make something special for him.
Neumann: The average age for buying an ADAM is 37, which is extraordinarily young. The majority of buyers are women, too.
Young women driving stylish compact cars with flawless infotainment systems: Is that the Opel you know, Mr. Spychala?
Spychala: That doesn’t represent the old Opels that I grew to love, but you can’t live in the past forever. If you try to recreate history then it stops being history. I’m actually quite pleased that Opel isn’t trying to bring back the Manta.
Neumann: I’m also skeptical when it comes to retro design, but it’s good to draw on the past for inspiration. Opel always had an emotional appeal, which used to mean plenty of space and a large engine. Nowadays it’s the little things that matter. I always say that a car should make you smile, whether you’re walking up to it or already inside it.
Opel as a mass-market carmaker currently has a smaller share of the German market than premium brands. Is this maybe due to the fact that people are becoming wealthier and can therefore afford more expensive cars?
Neumann: No, a brand needs to keep up with these kinds of social changes. The main problem for Opel was that we had lost sight of what defined the brand. People forgot what Opel used to stand for. I personally never saw Opels anymore although my first car had been one.
Spychala: Which model?
Neumann: A Kadett D.
Spychala: My first car was an Omega 3000 when I was 19.
Neumann: The question at the time for me was whether to buy a Golf or a Kadett, with both being equally good options. There were no other cars that came into consideration. I chose the Kadett and was so proud of it. But I lost sight of Opel afterwards and it became more or less an afterthought for me – and that although I work in the automobile industry. Opel kind of became faceless and it wasn’t clear what it represented anymore. This damaged the brand because buying a car is an act of conspicuous consumption. Everyone can see what you’re driving and if you don’t actually know why you’re driving an Opel, then that’s bad.
And how’s it looking now?
Neumann: The problem immediately became clear when I started working here. When you get in the cars there’s no reason why you shouldn’t buy one. Look at the Astra GTC, for example. It’s a great looking car. But then there are still people that say, “Yeah, but it’s an Opel.” What we need to do is break down this mental obstacle. We’re currently working on this and I’m sure that we’ll succeed.
Spychala: You should also be working on appealing to fans of the classic models.
Do you have an old car yourself then?
Neumann: I actually have two but I don’t know if I should tell you which ones.
You’re the boss. That’s for you to decide.
Neumann: I’ve already got a GT, and I’m in the process of buying the second classic car, a Diplomat Coupé.
But I’ve already seen some pictures of you with this car.
Neumann: You’re right, but that Diplomat was from the museum garage. That’s when I fell in love with it and just had to get one for myself.
Spychala: I’m definitely missing a Manta. While I’ve only ever driven Opel models and tried out every one I could, I’ve funnily enough never had a Manta, which has always been my personal favorite. Perhaps my expectations are too high because I’ve already been this close to buying one seven times but always returned home empty handed with my money and license plates.
Neumann: The Opel classic cars are still relatively affordable in my opinion. And I’m sure that the Opel classic cars have huge potential to increase in value once we’ve managed to successfully improve the brand image. Therefore I would definitely encourage you to buy a Manta.
Spychala: As long as it’s still affordable.
Neumann: Exactly.
Spychala: There’ll definitely be an old Opel in my life again soon, or maybe even a brand new one.
This question goes out for both of you. What are the chances that there would a situation where two people are sitting around chatting in 2040 and one of them asks, “Remember the 2014 Corsa?”
Spychala: Everyone can remember what it’s like to be young and sitting in the back seat of a car. This experience creates an emotional attachment to a brand. Or I can imagine now an 18-year-old first-time driver who’s just bought herself an ADAM and absolutely loves it. She’ll be the one reminiscing in 2040, or maybe she’ll even open the garage door and say, “There it is!”
Neumann: I completely agree.
You seem to know quite a lot about the older Opel models although you didn’t join the company until 2013.
Neumann: There was a period of several years where I wasn’t really interested in the brand but now I’ve developed a real fascination for it. I discovered that Opel employees had an incredible feel for their brand and a drive to be successful again. I clearly saw the kind of energy that is waiting to be unleashed when working on the new Astra. You simply need to challenge your colleagues and say, “Let’s try to be the very best out there.”
Spychala: But how much autonomy do you have when you’re part of a massive corporation?
Neumann: It’s a lot better than it has been for several years. We have everything that we need here with our own design center and a huge development center where some 7,000 engineers work. That being said, we can only go so far in our comeback with the Opel brand alone. We sell just over one million cars per year but our complete product range comprises 15 different models. It’s not enough to only sell 50,000, 100,000, or even 200,000 units of each model. Cars such as the Corsa, Astra, and Mokka need to be selling in the millions to keep our costs competitive. GM can definitely help us achieve this.
You need platforms.
Neumann: What we need are intelligent architectures. These will underpin our cars around the world, whether it’s a Buick or Chevrolet. The challenge for us is to develop a global platform, something that every carmaker is under pressure to do. The good news is that in contrast to my predecessors, I’m also a member of the GM Executive Committee so I can have my say there. I don’t always get my way but I’m always there to fully represent Opel whenever decisions are being made. I think that being part of the group is a huge benefit for us. They firmly believe we will be successful in turning around Opel. That’s why they’ve chosen to inject €4 billion in the company and take Chevrolet off the European market. All of these decisions show that GM is fully banking on Opel to serve its interests on the continent.
Spychala: Thank you for taking the time to do this interview with us.
Neumann: You’re welcome. Now all you need to do is find a suitable Manta.
Read the full interview in the car blog PS.Welt from the Welt Group. “Due to positive feedback from numerous readers,” PS.Welt has been included as a printed automobile and lifestyle feature in the Welt am Sonntag newspaper since the end of September. It is also available as a multimedia supplement on the Die Welt tablet app. The writers of PS.Welt focus on the thrill and exhilaration of driving as well as their passion for cars in lighthearted pieces and articles available on the blog, in the newspaper feature, or on the app.
