From the Rolls-Royce experimental archive: a quarter of a million communications from Rolls-Royce, 1906 to 1960's. Documents from the Sir Henry Royce Memorial Foundation (SHRMF).
The branding, production, and market potential for a new car model codenamed Phoenix.
Identifier | ExFiles\Box 111\2\ scan0258 | |
Date | 12th November 1937 | |
-3- (b) Are we in a position to take full advantage of the liquidation of this our greatest asset ? If we call Phoenix a "Rolls-Royce", we shall undoubtedly get more orders, initially at any rate, than if we call it a Bentley. The history of the P.III shows what sometimes happens with a new model. A big rush of orders, uneconomical production; a lot of cars sold at little profit, a falling off in demand just as the factory is beginning to get costs down, the project a failure. We believe that above all things we should avoid jumping into a production of 50 Phoenix chassis a week before we know how the car is going to behave in the hands of the public. In addition to our chassis problems, the Company has got to learn how to get a satisfactory body made by a coachbuilding firm at less than one half the price it has ever paid previously. If our Derby experience is anything to go by, we always suffer the tortures of the damned for the first twelve months business we do with any outside firm, even over simple articles like clutches, carburetters or petrol pumps. It is difficult to understand why bodies should prove exceptions to this rule. We, therefore, believe that if we call Phoenix a "Rolls-Royce" from its inception, we should not be able to obtain the maximum amount of financial benefit from the increased orders which might eventuate. (c) Are we convinced that we cannot attain the volume of business required in any other way ? So far for about four years we have managed to sell about 10 Bentley cars a week at over £1,500 per car. They are all incredibly difficult to get in and out of. We believe 80% are sold with a standardised body which in no way compares for roominess or convenience with the similar type of body that we are offering on Phoenix at more than £500 less with independent suspension. Additionally, Phoenix caters for an entirely different clientelé with the saloon, and a further market with the saloon with division. Why, therefore, should we expect a demand of less than 40-50 chassis per week. | ||