However, Mr Popham cautioned that although the current Defender’s relatively low global sales volume of about 25,000 vehicles annually is not enough to justify the development of an all-new platform, a wider customer base could do so.
He said Land Rover was still studying the complex equation of maintaining the Defender’s hallmark off-road ability while attracting the broader number of sales required for it to develop a fully redesigned vehicle.
“The dilemma we’ve got as a company, when it comes to replacing an icon like Defender, is you’re replacing a car that is known throughout the world and has been for 61 years, but its sells 25,000 units a year – not a lot in the automotive industry and not a lot within our portfolio of products at the moment,” he said.
“You've got to sell a lot more than 25,000 vehicles off a new platform to make business sense.”
Asked by GoAuto what Defender volume would make a replacement viable, Mr Popham said: “If you significantly simplify it on a modern platform, you still need to sell about 50,000 units a year to make it viable.”
He said number was achievable because the Defender is not currently sold in all countries in its present guise because of various regulations that preclude it
but a Defender on a modern platform would open up more markets, including the United States.
“We’re a small player in the commercial business which is probably three million vehicles a year. We need to understand what segments it can compete in, what body styles it needs to have, what level of capability, usage, duty cycle it’s going to have – and that’s the work we're doing at the moment.
“Defining exactly where it will sit will dictate what the car needs to do – how it needs to be engineered – and that will prove or disprove the business case,” he said.
But a decision not to go on would not be taken lightly. “(Defender) is our heritage. It underlines our history, our origins, our engineering credibility and leadership, and it’s passed on a lot of positive things to the products that followed.”
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