- Rolls-Royce Holdings Plc has launched a new Landspeed collection that include both Wraith and Dawn and Black Badge editions.
- The company plans to produce a new model every two years from its new Coachbuild business division.
- Rolls-Royce is working on its first EV, which is expected to launch by the end of this decade.
Rolls-Royce Holdings Plc (LON: RR.), a wholly-owned subsidiary of BMW (Bayerische Motoren Werke AG) has launched a new Landspeed collection, which includes both Wraith and Dawn Black Badge editions. This collection is inspired by Captain George Eyston, a record-breaking racer who broke the world land-speed record three times in the late 1930s using his Thunderbolt car, fitted with a pair of Rolls-Royce R V12 aero engines.
The Bonneville salt flats’ fissured texture will inspire the car interiors, where Eyston achieved a record feat in the year 1937-38. The car will also feature honours awarded to Eyston during his life.
Landspeed collections will be limited edition with a production limit of just 25 Dawn Black Badge and 35 Wraith Black Badge. Also, the company’s all updated Landspeed collections have already been delivered to customers.
Rolls-Royce, a niche player
The automotive industry forms a crucial part of the economy that acts as an interlink between upstream (e.g. steel, chemicals, textiles) and downstream industries like repair and maintenance. Even before the pandemic hit, the traditional car industry was impacted by electric car growth and shared driving, impacting demand for new cars. The Covid-19 outbreak acted as a catalyst for the demand shock and reduced sales figures.
Every major passenger car maker was impacted, except a few like Rolls-Royce cars which recently reported a 62% increase in sales and delivered 1380 cars during the first quarters of FY21.
For any kind of industry, there are two kinds of companies, one which sells products according to market price and are termed as price-takers, and the other one who decides their own prices called price-maker. Rolls-Royce comes under the latter category, which has created a niche monopoly business around customer needs and desires.
Rolls-Royce recently announced its plans to produce a new model every two years from its new Coachbuild business division.
Coachbuild program is a new business division in the company’s long history of car making, developing highly customised cars involving car owners in the entire design and development process. Coachbuild’s first product was the Swaptail Model, which was built just for one particular customer, and its second offering was The Boat Tail Model (Priced at £ 20 million) that took four years to develop and only three models were made for its exclusive customers. The Boat Tail was made with the same engine which was used in the Phantom Model but still had 2000 unique parts.
After the Swaptail model launch in 2017, the company received a positive response and many inquiries from its loyal clients who wanted to join the next Coachbuild program. Over the next four years, the company has ramped up the business division and now is in a comfortable position to pick clients for the future program.
The Coachbuild program was possible because of the firm’s new aluminium architecture, which is flexible enough to hold different sizes of bodywork. The Coachbuild operation and Bespoke division will work in combination to develop and craft new ideas. According to the CEO, teaming both divisions will lead to fantastic new ideas in the area.
Torsten Müller-Otvös, CEO of Rolls Royce, said the Coachbuild program is not meant to boost the company’s sales volume but important for Rolls Royce heritage and Brand Image to develop and showcase unbelievable craft skills which the company has developed over the years.
Rolls-Royce recently announced that it is working on its first EV, which is expected to launch by the end of this decade. The all-electric car will be called Silent Shadow, and the model is expected to be built alongside the Cullinan SUV, Ghost and Phantom models at the existing Goodwood production facility.
Rolls-Royce delivered around 3750 vehicles to its customers in pandemic hit year, down by 26% from the FY19 sales of 5100 vehicles. Though FY19 sales were the highest sales for the company following the launch of the Cullinan SUV Model.
Rolls-Royce shares closed at GBX 98.58 on 29 June 2021. In the last 52 weeks, the shares have moved in a range of GBX 34.59 to GBX 137.40 and hold a market capitalisation of GBP 8,409.43 million.