Exide ready for current and future battery market

Manufacturers wishing to succeed in any automotive industry sector need the right product for the target market. This may appear a tall order when the target market is the entire motor vehicle parc, yet Exide Technologies has developed a range of batteries that caters to vehicles with many differing and specialised requirements. Earlier in the year this attention to market coverage was acknowledged by the Institute of Transport Management (ITM), who awarded Exide Technologies the title of “Best Automotive Battery Range 2011.”

Explaining its decision to honour Exide in this way, the ITM noted that Exide Technologies has the “complete transportation supply chain covered, from OEM assembly plants to aftermarket product and service support through dealer networks and retailers.” It also pointed out that not only can the  company’s products be found as original equipment in top-selling passenger cars and trucks in Europe, the US, Asia and Australia, Exide has “almost every vehicle on the market covered too, providing a  broad range of starting and deep-cycle batteries for vehicles ranging from garden tractors to cars, pickup trucks, motorcycles, boats, jet skis, golf cars, farm equipment, RVs, motor homes, buses, tractor trailers and military equipment such as tanks and personnel carriers.”

“The customer is looking for tailored products – batteries that fit in with particular vehicle needs, products that perform reliably under specific conditions,” remarks the ITM’s Pat Sheedy. “It is because of this that the Institute of Transport Management has awarded Exide Technologies the title of Best Automotive Battery Range 2011.” The ITM also praised individual Exide products, notably its two battery ranges – Premium and Excel. The institute described the first of these as a “battery with a significantly extended product lifetime compared to a standard battery” due to its better resistance to discharge and recharge gained by improved active paste adherence on the metal grids, the larger capacity reserve provided by the use of thicker plates and better corrosion resistance. The Exide Excel, designed for everyday driving, was also praised by the ITM for offering “extra starting power compared to a standard battery” plus improved safety and maintenance-free operation.

Good, better, best

Having a broad range with multiple options available for consumers is no doubt a substantial asset for any company, but an issue linked with spoiling consumers for choice is that it adds a measure of uncertainty into purchase decision making. To put it plainly, many consumers have no idea which battery option is best for them. And when in doubt, customers often simply go for the cheapest. Exide is countering this kind of uninformed purchase with what it calls the “Exide Retail Concept.”

The Exide Retail Concept utilises a good, better, best approach that targets consumers at the point of sale. As Exide marketing manager Craig Everett told Tyres & Accessories, “when people don’t have much information they go for the cheapest option as they can’t differentiate between the cheaper and the better products. We have information positioned at the point of sale outlining the merits of each option in our range.” Higher-margin premium products are also placed higher up to maximise their ‘visibility’.

 Feedback from Exide’s customers indicates marked improvements in high-margin product sales can result from the Exide Retail Concept; some have even doubled sales of these items and it has played a role in helping Exide’s sales partners achieve annual sales growth of 20 per cent. “Exide’s retailers have transformed their battery programmes by embracing change and empowering consumers,” Everett comments. The UK-developed concept was launched in early 2010 and subsequently extended into Ireland, where sales surged to an extent that they now account for 15 per cent of the UK/Ireland total. Exide is currently considering extending the concept into other markets. The marketing manager reports that the initial Retail Concept price tag of £350 has now been dropped in order to encourage its further adoption.

Current and future directions

In addition to the Exide Premium range, an important product series in Exide’s current portfolio is Start/Stop batteries. Craig Everett notes that Exide supplies Start/Stop batteries as original equipment to a number of vehicle manufacturers, including BMW, Ford VW and Toyota. The main products in this Start/Stop range are Exide ECM, featuring Enhanced Cycle Mat technology, and the premium Exide AGM, which uses Absorbent Glass Mat technology.

The role batteries play in the automotive sector is currently undergoing a transformation, and to prepare for future market needs Exide is involved in a number of research projects and partnerships, such as with the US Department of Energy project to develop future batteries, and partnerships with Axion Power and Nano-Terra. “We’re doing lots of research around conductive glass micro-sphere additives, carbon-graphite additives and nanotechnologies,” comments Everett. Such research has been further aided by the 2010 opening of Exide’s Global Technology Center at the company’s world headquarters in the US state of Georgia. This 20,000 square foot facility is one of three Exide centres dedicated to the development of various forms of stored energy.

“Legislators around the world recognise the need to reduce carbon dioxide emissions. Fearing the economic consequences of acting unilaterally, countries are coming together to find a global solution to a global problem,” reflects Exide sales and marketing director Andrew Bevington. “The inevitable trajectory is towards a future with significantly reduced carbon emissions and this is why Exide are embracing change and inventing tomorrow’s battery. The flooded lead acid battery is around one hundred years old and will be around for a while yet. At the same time, the market is seeing unprecedented innovation and change. It is easy to see that the battery is no longer a basic part of the cars electrical system. By helping to reduce carbon emissions and improving operating efficiency, the battery is becoming the critical technology.”