Disco now truly dancing

Too few vehicles, rather than too few customers, explains why half as many new Land Rovers were sold here last year as in 2008.

While, the overall downturn in car sales here definitely bit the luxury sports utility sector - and hard, with a 38 percent drop - Land Rover's issues were also caused by a stock shortage, acting chief executive Russell Reynolds claims.

Huh? No, really. In preparing for the launch of the updated 2010-issue Discovery, Range Rover Sport and Range Rover Vogue models delivering enhanced oomph, altered styling and extra opulence, the distributor had to work out how many of the preceding versions to have for runout.

It drastically underestimated demand, Reynolds says. End result? The cupboard was bare for ...um... three months or so.

The new models were also delayed by two months, the launch finally being held this week. "So, yes, in hindsight we were a little over-conservative with our runout counts. We just had no stock whatsoever."

As result, at year-end the annual tally was a mere 183 units. Reynolds is loath to provide an estimate for 2010, but would be surprised if the tally isn't comfortably higher, though working out how much stock to hold is going to be just as tricky, he says.

"The biggest challenge is balancing supply to meet market demand. When you're ordering hundreds of millions of dollars worth of motor vehicles, you don't want to take a punt," he observed dryly.

"I think that everyone has got their stock under control, but the natural reaction is to overcompensate so I think we'll see a peak of stock in the first quarter of the year and then everyone will taper off.

"The thing is, I don't think anyone really knows what the true run rate of the NZ market really is, or also where the economy is going to take the market."

Some volume players have suggested this year won't be much better for new vehicle distributors than last, when sales fell 28 percent for a 70,048 total, comprising 54,404 passenger cars (down 25.9 percent) and 15,644 commercials, a 34.6 percent fall. (Used imports also suffered, with 71,911 registrations, down 27.9 percent on 2008).

Reynolds is a little more upbeat. "I think that what we will see is consumers getting more confident and coming back into the market. When you only sell 55,000 cars in a year and the average is closer to 70,000 units then there has to be some pent-up demand there."

Indications are that the luxury SUV sector, where all the large Land Rover product is placed, is showing signs of recovery, though it'll be years until the brand is back to shifting 65 units a month, the peak achieved in 2006 and early '07.

Still, who can really tell? Reynolds says the downturn was not necessarily a signal that customers are desire or dollars. Many clients are business owners who have chosen to show restraint in deference to the economic climate.

"They have a social conscience and they know it's not right to be seen buying a new car when they are in the middle of laying staff off and telling everybody things are tough."

There are other positives. Used imports aren't such a threat, particularly now the market here is driven by diesel models, not sold in Japan, and a headache surround 'new 'grey' cars from the United Kingdom has gone.

While independent imports are accepted as a fact of life, Reynolds is pleased that, since late last year, his operation has not had to handle warranty claims on parallel imported Land Rover and Jaguar product being retailed outside of the official distribution network. The maker now accepts that a distributor should only be responsible for the cars it sells directly.

Now any claims on those cars meeting the terms of the brand's global warranty must be lodged directly with the UK. "The car's owner may well have to pay for the repair, then seek reimbursement out of the UK."

The brands' standing has also grown, with good returns for both in JD Power's sales satisfaction survey in the United States. Jaguar topped for the second year running, while its sister mud boot brand scored an above-average top-five ranking.

Such kudos will add lustre to the brands' allure, though those who already follow the green oval badge will find the MY10 vehicles are already attractive, particularly the Discovery, which benefits immensely from a swathe of technical revisions, a new interior and an improved diesel.

Externally the cars have smoother, simpler surfaces, particularly at the front, with a new more aerodynamic bumper on the Discovery 4. The Range Rover Sport has a new two bar grille, side vents, front bumper and mudguards to create a more sporting stance. The Range Rover Vogue has a new bumper and grille and the interlocking circular design headlights now feature LED technology.

But that's just window-dressing. The real action occurs on the mechanical side. Under the bonnets slip the same engines that have gone into the Jaguar XF and XK - two new direct-injection 5.0-litre V8s - and a similarly larger-capacity 3.0-litre diesel V6 (Discovery), in two states of output.

The flagship supercharged 5.0-litre V8, employing a twin-vortex Eaton supercharger to create 375kW of power and 625Nm of torque, is reserved for the flagship $174,990 Range Rover Sport and $219,990 Vogue models, for which 0-100kmh in just 5.9 seconds is claimed.

A $134,990 entry Sport and the top $149,990 Discovery HSE-plus take the engine in normally aspirated form, but it'll be interesting to see what the take up is for either petrol, because MY10 is effectively a diesel attack.

Oilers are expected to account for 80 percent of Land Rover sales this year, with the 3.0-litre being the most dominant by far. Within the Discovery line, it features in two derivatives, a $105,990 SE and a $119,990 HSE, whereas the $89,990 entry special continues the old twin-turbo 2.7-litre V6.

The Sport also adopts the V6 diesel as a $15,000 cheaper alternative to the sweet 200kW/640Nm 3.6-litre V8, a carryover from the old car that's now a $149,990 choice in the Sport, and $184,990 in the Vogue.

After trying the new V6 in the Discovery 4, there's a good chance that vehicle may rise to become the dominant model in the family.

This 180kW/600Nm unit is not just sensible but also utterly inspirational; the first diesel engine truly worthy of this remarkable vehicle.

The enhanced efficiency and economy are attractions, but the real plus - one immediately appreciated by those who suffered the power-to-weight deficiencies of the old package - is the tangible bump up in urge. Both applicant cars feel much more eager on the move. To imagine the sprint from 0-100kmh takes but 9 seconds flat now in the Discovery will seem barely conceivable to anyone transferring out of the superceded model.

With 40kW and, more importantly, another 160Nm to throw into the mix, this engine is much more relaxed about hauling the hardly insubstantial Discovery and Sport - respectively 2.6 and 2.5 tonners unladen - than the 2.7.

Why it makes such light work of the job is entirely due to the torque characteristics. There is oodles of muscle from very low-down; peak, in fact, is there almost instantly from idle and it's quieter and more reactive - genuinely fast in fact. That it is as fitting an engine for the best all-round 4x4 on the market as it is in the Jaguar is a huge tribute in itself.

The mid-life makeover has strengthened the Disco in other respects. It not only has a much more premium look and feel - the point where traditional distinctions between it and the Range Rover have become blurred - but also improved functionality. A model originally developed as a workhorse has become more luxurious, efficient and capable in its roles.

Performance aside, what is most striking about the Discovery is its supple ride. Fore sure, it's a real lane-filler, but it feels confident in corners and simply steamrollers even the poorest road surfaces. I'd imagine it really comes into its own when you hit the rough stuff, but that wasn't on the itinerary.

There's a Range Rover-style grille, plus LED lights front and rear. Inside, a new leather-wrapped dash architecture has reduced the number of buttons, and gives a more luxurious feel.

The Terrain Response system - the brains behind this model's incredible off-road ability - is improved, too. Drivers can now choose between a variety of settings tailored for specific surfaces including snow, sand, gravel, rocks, mud and ruts. On the road, new dampers and tweaked steering produce a composed ride, road noise is kept to a minimum, while cornering ability is impressive.

Land Rover says all new engines are more efficient thanks to 'e-Terrain' technologies such as optimised engine calibration, lower idle speeds, reduced torque-converter slip and the new Intelligent Power System Management (IPSM) technology, including smart regenerative charging, improved aerodynamics and a clutched air-conditioning pump to reduce parasitic losses on the diesel.

All the engines drive through a revised ZF six-speed automatic transmission, with taller gearing.

So good is the Discovery that it's easy to overlook that the Sport's makeover is even more extensive. After just four years into production, it has adopted a completely new nose design, a new interior and a heavily revised chassis.

The Vogue set gets a technical edge with a new virtual instrument cluster with traditional dials replaced by a Thin Film Transistor (TFT) screen which has greater flexibility in presenting more information. There is also a dual view screen option, which allows the driver and passengers to look at different things on the centrally mounted dashboard screen at the same time. This could include Sat.Nav. information being displayed to the driver, while the passengers watch a DVD. The latest technology allows different images to be displayed at different angles. Stunning.

What's next? A minor facelift for the Freelander will be seen this year, but Motorcorp is still establishing whether the eco version with stop-start technology has any application here.

Land Rover's new premium soft-roader, based on the radical LRX concept shown at the 2008 Detroit motor show, will be here in early 2011. Destined to be the smallest, lightest and most efficient Range Rover ever, LRX incorporates a number of sustainability-focused technologies.

It is a world away from the oldest and most agricultural production model, the evergreen Defender, which ironically still seems to be the Land Rover of choice with inner-city trend-setting professional types.

What this means to you: Heavy-duty Land Rovers feel a lot more light-footed.