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Subaru wants customers to have pride in 'premium' cars

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Alex Law

''For us,'' says Lalka, ''it's about how the person made the right decision and how they feel good every time they get into it. ''It's dependable and it puts a smile on my face; its sensible in that I didn't spend more than I had to it. It's all the right things for me, and fun to drive.''

Those ''right things,'' by the way, are ''reliability and durability and leadership in all-wheel-drive technology.''

To get to this new position in the market, Lalka said, Subaru knows it's going to have to find a new brand of buyer. ''We're finding that there's a declining number of retirees,'' he explained, ''with an increasing number of professionals and younger people, particularly with WRX and Impreza overall. The type of people those models attract are very different.''

Cross shoppers for WRX also looked at Audi and BMW, Lalka said, ''and Volvo and VW are appealing to Legacy buyers. That's a really good indicator that we're attracting a different type of person.''

These new buyers tend to buy more upscale versions of the new products, Lalka said, with more and pricier options, which of course pleases him because they're more expensive and profitable.

He is quick to add, however, that ''at the same time, in Canada the volume opportunities are with the more affordable trim levels. So we pay special attention to less expensive models, which are positioned very competitively.''

Whatever their price positions, Subaru models are being reasonably well received by Canadian consumers. Unlike such Japanese firms as Nissan, Honda and especially Mitsubishi, which registered disappointing to scary sales drops so far this year, Subaru Canada is actually experiencing sales growth. It's modest to be sure (1.2 percent by the end of September), but it is growth in a declining market.

Lalka said it ''wouldn't be appropriate for me to say what our sales target is,'' but he previously talked about doubling Subaru's share of the Canadian market to around two percent, which would be in the neighborhood of 32,000 units in an average year.

That's a lot of pride of ownership for Subaru or any company in this country, especially if it means paying more for the privilege.

Alex Law
Alex Law
Automotive expert