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Should Subaru have a premium brand?

A lot of people love Subarus, and that audience is only getting bigger. Subaru sold 647,956 vehicles in the U.S. in 2017, up from 615,132 units in 2016; 513,693 in 2012; and 187,699 in 2008. You get the idea. It's a relatively small brand, but a growing one. It's also one of the top brands in terms of customer loyalty, and in terms of conquest sales. From Q2 2015 to Q2 2016, Subaru gained 3.5 customers from other brands for every customer it lost. Recently, Riley, a listener to the Autoblog Podcast, wrote in and asked why Subaru doesn't have a luxury brand. Reading the email, neurons began firing immediately, and a whole bunch of new thoughts rushed in at once, mingling with old data in my brain. Indeed, why doesn't Subaru have its own luxury brand? My initial conclusion was that it just didn't make sense for the brand. It's too small of a company to warrant another brand. The higher-end offerings — namely top-trim Ascents — are probably the ceiling at the moment. If those can sell consistently, then maybe it would be time to toy with luxury-leaning models the way Hyundai did before spinning off Genesis (and perhaps adopt a wait-and-see attitude with regard to that potential competitor.) A luxury brand might dilute the value of Subaru's mainstream offerings, giving it the look of a budget brand, but luxury models within the brand could do the opposite. ... Unless ... What if Subaru's luxury brand was all electrified? Subaru is a company that is genuinely concerned with sustainability and environmental issues. Famously, its factories are zero-landfill facilities, and the company takes part in a multitude of environmental initiatives both on its own and with various partners. This mirrors the values of a large part of Subaru's customer base, who have earned a reputation as outdoor adventurers who love nature — and dogs. It's no surprise to see Subaru overrepresented on the roads of Denver, Portland, Ore., and Burlington, Vt. Subaru doesn't offer any plug-in models yet, but they're in the works. As of now, we can expect them to be based on current nameplates. What if Subaru gave its upcoming Crosstrek PHEV the luxury treatment and a new brand name ("Pleiades" would be the easy grab). Sure, Subaru retains customers really well already, but what happens when people outgrow Subaru? At least they have the option of the Ascent, but I'm interested to see how many Subaru owners move on to luxury brands (I'm in the process of finding those answers).

Subaru's latest infotainment update is for birdwatchers (and the rest of us)

Subaru definitely knows its audience, as evidenced by its dog-centric commercials and charitable contributions. So we weren't shocked to learn that its latest infotainment upgrade allows drivers to better track bird sightings from behind the wheel, but we are a bit curious. The eBird integration is one of eight new cloud-based apps being added to the Starlink infotainment system for 2017. Subaru drivers can use the infotainment system to display info from the Cornell Lab of Ornithology through eBird, info on sightings and an interactive coach to help get to where the birds are. (There's a cloud-based joke in there somewhere.) Most of the other new apps involve location tracking or proximity to some degree as well, including Yelp (to find food and business reviews), Glympse (which lets you share your location with friends), Best Parking (to find somewhere to put your car), RightTrack (a product from Liberty Mutual to track drivers for insurance discounts), eventseeker (which steers you toward local happenings), and Magellan NAVI (a cloud-based navigation system). There's also a digital version of the car's owner's manual available in the Quick Guide app. All are free to use, with the exception of the Magellan app, which is included free with the 2017 Impreza for three years. That car's infotainment system comes with Android Auto and Apple CarPlay capability, so unless you really prefer the Magellan interface, it's probably best to stick with whatever's on your phone. The new Starlink apps are available on 2017 Imprezas as well as 2016 and 2017 BRZ models, and they'll show up on other Subaru models soon. The functionality requires an iOS or Android phone running Subaru's Starlink app and paired with the vehicle to provide the data connection. Put it all together and you can find some birds, get a parking spot nearby, let your friends know where you've gone off to, grab a bite to eat nearby (not poultry, of course), attend a local event, then hop back in the car and figure out how to tune the radio and find your way home, all the while lowering your insurance payment. Isn't the connected world wonderful? Related Video:

Subaru CEO expects record U.S. sales in 2020 despite market slowdown

TOKYO  - Subaru expects its U.S. vehicle sales to rise to a record high in 2020, as demand for its crossover models helps it buck the trend of slowing car sales in the Japanese automaker's biggest market. The company has been growing rapidly in the United States, the world's No. 2 auto market, roughly doubling the number of vehicles sold over the past six years, thanks in part to a ramp-up in local production capacity and a marketing strategy focused mainly on affluent and liberal-minded consumers. Japan's smallest automaker said that ongoing U.S. demand for its Forester and Outback models would likely boost overall sales in the country to 720,000 to 730,000 units next year, up by as much as 4.3% from the around 700,000 vehicles it expects to sell by the end of this year. "We expect the U.S. market to slow only slightly next year, so we're planning to see more growth in our sales. We think we can achieve this," CEO Tomomi Nakamura told reporters in Tokyo. He added that he saw room for the automaker to expand its share of the SUV market, which stands at around 7% at the moment, given that Subaru's SUV models outsell its Legacy and Impreza sedan models. "If competition in the U.S. SUV market continues, that segment will keep growing even as the overall market slows," he said. U.S. sales account for around 65% of Subaru's total global sales of around 1 million units. By the end of November, sales of the Forester this year had climbed 6.4% from a year ago, while sales of the Outback, its best-selling model in the country, were up 0.9%. However, the rapid growth in the country has coincided with a jump in global quality-related issues which has sapped profitability in the past year or so. (Reporting by Maki Shiraki; writing by Naomi Tajitsu; Editing by Kirsten Donovan) Earnings/Financials Subaru Crossover SUV