Thursday, July 14, 2011

Really slow growth

The Morgan Motor Company was founded in 1910 when the auto business was a cottage industry. A century later, selling just a few hundred cars a year, it still is.

Everything about Morgan is the antithesis of today's modern automobile industry.

At the company's facilities in Malvern, England 163 craftsmen assemble cars by hand. There are no robots nor any assembly lines.

Its latest model, the Morgan 3 Wheeler, is an open roadster that features a two-cylinder S&S motorcycle engine mounted ahead of the front axle.

What Morgan proves is that not every business needs to be a growth business to succeed.

At about $50,000,000 a year in sales, they seem to be quite successful.

In fact, if Morgan were to focus on growth, it would actually kill what makes the company successful. Morgan is still around and thriving today because of its exclusivity, its classically beautiful designs, its craftsmanship. All of that would disappear if they tried to sell thousands of cars to a broad target.

It's not always about selling more. Sometimes it's about selling better.


  1. I keep giving you ideas like this, you're gonna owe me someday. It's a pleasure.

  2. As long as there's an interesting marketing angle to the cool cars you drive, I'll write about them. And this one was really interesting.