“Hello, USA. Here I Am!”Automotive News World Congress

January 23, 2008

The USA is ready for smart

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right car

right time

right place

The USA is ready for smart

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Environmentally friendly is socially responsible

Urban congestion

Fuel economy

The Challenge

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How do you launch a new automotive brand, introduce the concept of an all new segment, in the USA with:

• Minimal brand awareness

• No existing dealership network

• And no traditional consumer target group

The Brand Promise

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The Brand Promise

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smart is the automotive brand that questions the status quo, that has the courage to demonstrate its personality while finding unconventional transportation solutions to urban congestion and environmental issues.

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The Brand Promise

Brand consistency

Brand connection

Warmth of a family restaurant

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The Plan

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Customize the smart product to best meet the needs of the American driver and the trends of the American lifestyle.

The Plan

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Identify smart prospects and understand their consumer behavior patterns.

The Plan

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Develop brand awareness and demand through non-traditional marketing efforts.

The Plan

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Generate widespread excitement for the 2008 smart launch through local, regional and national media relations.

The Plan

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Generate enthusiasm for the brand resulting in customer advocacy.

The Target Consumer

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• Transcends Generations

• Thought leaders– Take charge people

– Early adopters

– Making a statement through the products they buy

• Transcends traditional buying segments

• Four distinctive buying groups– Entry level

– Urban dwellers

– Baby boomers

– Empty nesters

Not defined by age or income, but rather by attitude and lifestyle

The Product

• The models, simple offering– pure, passion coupe and passion cabriolet

• The value– $11,590, $13,590, $16,590

• The safety– tridion safety cell

– 4 airbags and safety seats

– esp as standard

– Many more safety features usually found in luxury vehicles

• The drivetrain– Rear-mounted 1L gasoline engine, 3 cylinders, 70 hp

– 5-speed automated manual transmission

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The Execution

• smartusa.com– Lead management (insiders)

– $99 Reservation Program

• Discovery Marketing– “street smart” Road Show

– smart House

– Product Placement

• The Da Vinci Code

• A Good Year

• Pink Panther

• Media Relations

• Dealer Network

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Lead Management

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• Over 105,000 “Insiders”

• Over 4 million unique visits

• Average time spent on website: 5:29 minutes

$99 Reservation Program

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• $99 Reservation Program through www.smartusa.com

• Build-to-Order production

smart House

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• Venice Beach, California

• October 2007 – February 2008

Establishing the Dealer Network

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• Identify dealers across the United States that best understand the smart brand and provide the best solution for the smart business in their respective market

• Over 1,400 initial hand-raisers

• 74 dealers

Establishing the Dealer Network

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The Future

•Continue non-traditional marketing efforts, leveraging owner advocacy

•Continue $99 Reservation Program and Build-to-Order shopping experience

•Continue traditional media relations

– Additional focus on lifestyle media to develop an aspirational smart “culture” and create strategic partnerships

•Maintain top dealership network with unparalleled dedication to the customer

•Work with local municipalities to create special opportunities for smart owners

•Develop alternate fuel vehicles, such as Electric and Micro-Hybrid

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