Nissan counts on customer service
Greg Phillips
Phillips is an avid fan of Korea who made his first visit in 1973 when he was in the U.S. Army. Since then he has been in and out of the country for almost 40 years. He has also been happily married to a Korean for more than 20 years.
As a chief executive, Phillips tries to maintain an open relationship with his employees, while encouraging them to develop and submit their ideas, regardless of their position in the company.
A. Nissan’s strength lies in its advanced technology. Renault-Nissan Alliance Chairman Carlos Ghosn pushes company engineers to exceed expectations every year. Ghosn once announced that 15 new technologies would come out in a single year. I was amazed and wondered if that was even possible, but now we’re the leader in zero-emission electronic vehicle technologies and driver-friendly technologies like around view monitors.
Nissan also has a diverse lineup that we can bring to the market.
Although Infiniti has established a strong reputation in Korea, Nissan is relatively unknown. But that’s only natural since we have just been here for less than a year. [Nissan vehicles arrived in Seoul in November 2008]. But I’m satisfied with our current sales and hope that recognition of the brand will continue to grow.
What is Nissan’s marketing strategy in Korea?
The economy has not been easy. When we launched the Infiniti we employed all the conventional marketing tools, such as print advertisements and so forth.
It was difficult because we launched our operations in the worst economic situation. We had to be frugal. In difficult times you have to know where you are spending your resources.
Nissan Korea has been promoting unique marketing methods under the global tagline “Shift the way you move,” which means innovation, change and diversity.
Good examples of this are our guerrilla road shows, virtual motor shows and online marketing. We have also placed panel ads at COEX and in bus shelters, round-the-clock LED ads at the Kyobo Tower junction and advertised our products at unique places such as a showcase for pop star Lady Gaga.
What works the best, however, is word-of-mouth, and this is only achieved through first-class service.
Sales sell the first car, but service sells the second, third and fourth cars. Our focus on service can help us build trust with our customers as we gain their confidence. We are aiming to make long-term commitments rather than a short-term sales increase.
What are the biggest challenges Nissan currently faces? How do you plan to overcome them?
The biggest challenge for us is the world economic situation and the foreign exchange rate. Until recently, we had been enjoying the appreciation of the Korean won against the yen for quite sometime.
We have to be smart. The crisis is not over. I think we’re through the worst but hope the economic situation will improve by mid next year.
Nissan’s goal is to enhance customer satisfaction by providing high quality products and service at reasonable prices. There might be some changes depending on market conditions, but these goals will always be the same.
What are Nissan’s plans with regard to compact vehicles and environmentally-friendly cars?
Nissan will be bringing more compact cars to the Korean market, including the Cube. It’s really just a matter of timing but we will definitely bring those cars to the Korean market.
Nissan will also be introducing the EV to the Korean market after all, although the timing of the release has not yet been determined.
Nissan Motor has just introduced the LEAF, which is a zero-emission electric vehicle, to the global market. It will be on sale beginning in late-2010 in the Japanese and U.S. markets, and by 2012 in more markets around the world.
Nissan Motor is also working on the development of hybrid and clean diesel engines to meet the needs of our customers all over the world.
What qualities are important for a chief executive to have?
Leadership is a position that gives employees confidence and trust. My employees are smart people and I tell them that “individually we’re smart but collectively we’re geniuses.” Leadership is knowing how to harvest that genius. Everybody here has a voice regardless of what position one holds in a company.
Also, it’s easy being a CEO in the good times, but during the hard times, leadership is about knowing how to motivate your employees.
By Lee Ho-jeong[ojlee82@joongang.co.kr]
with the Korea JoongAng Daily
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