On November 6th, the Georgetown Retail and Luxury Association had the distinct pleasure of hosting Alessandro Farmeschi to give a talk at Georgetown’s Lohrfink Auditorium regarding the future of Lamborghini. Though Mr. Farmeschi only became CEO this past year in April (he was the COO of Lamborghini USA several years before he became the CEO in April (his title just switched)) , he has been with Lamborghini for the past 7 years. Prior to that, Mr. Farmeschi was with BMW Italy as a Sales Manager. During the event, we had Lamborghini's new SUV, the Urus, and a Huracan coupe parked on Healy circle for the Georgetown community to see. The event consisted of a presentation by Mr. Farmeschi introducing Lamborghini, followed by a conversation with Ricardo Ernst, the Baratta Chair in Global Business.
The presentation first started with a look back of Lamborghini’s roots. Mr. Farmeschi recounted a delightful story of how Ferruccio Lamborghini first started the brand. Ferruccio himself owned a Ferrari and discovered that they had inferior clutches. Upon this discovery, he went to Enzo Ferrari. Enzo laughed off the complaints motivating Ferruccio to modify his own Ferrari. He modified it so that it eventually outperformed other Ferraris. Building on this, he eventually launched the world-renowned and luxurious Lamborghini in 1963.
LAMBORGHINI’S GLOBAL SCALE
Lamborghini now competes with other luxurious car manufactures on a global level. With a commitment to excellence, Lamborghini is able to differentiate themselves from other supercars. Mr. Farmeschi introduced the so-called “Sili-Car Valley” located in Sant’Agata Bolognese, Italy. This location is a central hub not only for Lamborghini, but also for Bugatti, Maserati, and Ferrari. This reflects the importance of supply chain management in the business models of luxury car companies, where revenue isn’t determined by volume but rather by the high price and quality of the cars.
THE LAMBORGHINI EXPERIENCE
Lamborghini strives to be better than their competitors through several tactics. They recognize that everything put into selling a Lamborghini is vital to preserve brand excellence such as their showroom experience or the after-sales customer service. They have a bespoke tailor-made program, referenced to as Ad Personam, which allows clients to customize their Lamborghini. Through a vast dealer network, Lamborghini has physical locations in many global metropolitan hubs, an aspect that gives it further reach.
As we mentioned in our previous blog post, Mr. Farmeschi also talked about Terzo Millenio, the collaborative program with the Massachusetts Institute of Technology looking to re-invent how Lamborghinis stores and uses energy. They are also considering electric powertrain technologies. Mr. Farmeschi also addressed Lamborghini’s adaptation to automotive trends such as electric cars and introduced Lamborghini’s hybrid Urus. Since Lamborghini is a brand that is known for the sound of its engine, Mr. Farmeschi also discussed ways in which they can preserve the sound while still adapting to automotive trends. Though an average Lamborghini is only driven 2,500 miles a year, it still has a commitment to sustainability. They have solar panels on their factories to produce energy, enforce recycling programs, and invest heavily in engineering to promote sustainability.
We wholeheartedly enjoyed Mr. Farmeschi’s delightful and charming presence. We look forward to seeing where he leads Lamborghini in the future.