Jaguar, from motorcycle sidecars to luxury cars
August 15, 2008
The new Jaguar XF was voted by What Car magazine, car of the year 2008 and quite deservedly so. Contract hire and leasing companies are seeing a strong demand for the vehicle. It seems strange that a vehicle so beautiful and technologically advanced should have its beginnings with a motorcycle sidecar manufacturer; during 1922 two keen motorcyclists William Lyons and William Walmsley formed the Swallow Sidecar Company and stared manufacturing aluminium sidecars. Of the two William Lyons was the driving force behind the company.
During this period and right through to the 1960’s motorcycle sidecars were very popular; many people could not afford to buy a car so a motorcycle was usually the answer. However as motorcycle owners got married and had children they wanted to be able to go out on day trips as a family, so they would purchase and permanently attach a sidecar to their motorcycle. The sidecar would accommodate their wife and children, or their wife would ride pillion and the children would sit, reasonably well protected from the elements, in the sidecar. Sidecars were big business and the Swallow Sidecar Company had some of the most attractive designs on the market.
By the late 1920’s the company had ventured into cars and built the body for the Austin Seven, a fairly basic and inexpensive car that proved extremely popular. They changed the name of the company to The Swallow Sidecar and Coachbuilding Company and moved from Blackpool where they had been based, to bigger premises in Coventry. Coventry was at the time the centre of the British motor industry. Their work became recognized and respected throughout the industry and they went on to build the bodies for many different manufacturers.
The company then produced their own car in 1931, the SS1. The vehicle was long and with a low-slung body and wire wheels. The car was very stylish and looked far more expensive than 310, which is what it cost. It was exhibited at the 1931 London Motor Show and attracted a great deal of interest.
The name of the company changed again, to SS Cars Ltd in 1933 and the SS1 Tourer was introduced. Shortly after William Walmsley left the company. During the mid 1930’s the SS90 was launched; it was low to the ground and very sporty in appearance, the car was very reasonably priced, less than 400. It was followed by the SS100, this time with a 2,663 cc engine and twin carburettors. It was very fast although later an improved version was on show at the 1938 Motor Show with a 3,845 cc engine. This model never really got of the ground because the Second World War followed soon after its launch.
During the Second World War the company’s manufacturing was switched to military production, as were the car manufacturers in Germany. Just as the allied forces heavily targeted the German motor manufacturer’s factories during their bombing raids, Coventry became one of the most heavily bombed cities in Britain.
SS Cars had little choice but to change its name after the war, sales would not have been helped by having a name that was so closely associated with the recently defeated Nazi Germany. Jaguar Cars became the company’s new name in 1948. That year also saw the launch of the outstanding XK 120.
The Earls Court Motor Show in 1948 saw the unveiling of the XK 120; 120 being the top speed of the car. It may not sound very fast today but it was very fast in those days. It’s speed and road holding were unmatched. Also unmatched was its design it was quite staggeringly beautiful, both then and now. It was a drop head sports car that was so desirable because of it’s combination of speed and looks. Demand was strong and it now very much is a collector’s car.
Jaguar enjoyed enormous success in the 50’s; it saw the launch of the Mark V11 it was a large impressive car that enjoyed motor racing success. Britain’s Mike Hawthorn, the country’s first Formula 1 driver raced the car, as did Stirling Moss. The 1956 Monte Carlo Rally was won by a Mark V11. 1954 saw the introduction of the XK 140; it had new features such as rack and pinion steering and a rear seat suitable for small children. It is debatable whether the typical buyer had small children in mind when buying an XK140. Next came the XK150 this model had disc brakes. Jaguar launched the Mark 1, the Mark 11 and the Mark 1X.
When the Mark 11 was launched in 1959 it was a prestige car favoured by successful businessmen but it also became the car driven by the successful criminal. It was also a favourite with car thieves; usually used a few days later as a getaway vehicle for jewellery and bank robberies. In order to keep up the police bought the same model and modified the engine. A Mark 11 Jaguar went under the hammer in an auction in Florida during 2008 for over $75,000 USD.
The Mark X Jaguar was launched in 1961; it was an extremely large vehicle. It was originally aimed at the US market where it wasn’t considered to be particularly large but it seemed enormous to the British motorists, it was very wide and nearly seventeen feet long. The fuel consumption was 17 mpg, which was perfectly acceptable to the US motorist but rather off putting to many British motorists. In the same year the spectacular E Type was launched at the Geneva Motor Show, it was a sensation; there had never been anything like it before or indeed since. Its design with long, low and sleek lines was far ahead of its time. Some years ago in a review carried out by The Sunday Times, of Jaguar cars over the years, they rather impolitely referred to the E Type as the “greatest crumpet catcher known to man” It was almost certainly the most desired car ever produced and it seemed that every man wanted to own one. It turned heads everywhere it went and continues to do so nearly half a century later. It cost a little over 2000, a lot of money at the time but considerably cheaper than its main rivals.
1968 saw the introduction of the XJ6 an extremely popular car; nearly 100,000 were produced between 1968 and 1973. The Series 11 was then produced and the XJ model has continued in one form or another right through to the present day. William Lyons retired from Jaguar in 1972.
The XJS was produced from 1975 until 1996. The design appeared to fall short of what had become expected of Jaguar it nevertheless was very well received by the motoring press. Jaguar appeared to be back on track when they launched the XK8 in 1997. Its design was sleek and elegant and reminded some of the wonderful E Type launched 36 years earlier.
In 1966 Sir William Lyons, who had been knighted for his services to industry, was negotiating with BMC. Both BMC and Leyland had shown a keen interest in buying Jaguar. The fact that there was serious competition to buy Jaguar, very much strengthened William Lyons’ hand in his negotiations with BMC. The sale went through and Lyons got everything he wanted; Jaguar would remain autonomous and Sir William Lyons had a seat on the board of the newly formed BMH.
In 1968 Jaguar’s fortunes started to change they became part of the British Leyland Corporation; British Leyland had become very large and chaotic. Labour relations deteriorated to an all time low and whilst Sir William did everything he could to look after Jaguar and its workforce Morale was slipping and it deteriorated further when Jaguar’s founder retired in 1972. Even the company’s name had been changed from Jaguar Cars ltd to British Leyland Exports ltd; it appeared to be change for the sake of change but it certainly caused the workforce to further loose identity. The inevitable happened and in 1975 the company went bankrupt and was nationalised by the government. One can only imagine what Sir William felt for Jaguar the company he had nursed for fifty years.
Jaguar was fortunate to then be run by Bob Knight a true Jaguar man who was convinced that things could be turned around. Jaguar had become known as a car that was unreliable and very expensive to sort out when it did go wrong. Whilst build quality was indeed poor Knight strongly believed that a lot of the problems were because components supplied by outside companies were not up to standard, which then reflected badly on Jaguar.
John Egan replaced Bob Knight in 1980 with the aim to carry on the struggle of getting Jaguar back to profitability. Now know as BL, it’s boss Michael Edwards realized that Jaguar needed more independence, which he gave to Egan. When Egan started his first day the workforce were out on strike. He could not really offer them anything concrete because he hadn’t had the chance to access the situation. Instead he asked them to have faith in him and work re-started. In 1981 sales only just managed to go over 13,000 cars.
The problem that was first recognised by Bob Knight; outside companies supplying poor quality components to Jaguar, was one of the first areas tackled by Egan; supplying Jaguar with components became conditional on the supplier taking responsibility for the reliability of their components and having to cover the cost of the replacement warranty work if they failed. Perhaps not surprisingly, quality improved very quickly.
The company and had survived and was secure once more, John Egan was chief executive. Jaguar was bought by Ford in 1989 paying $2.5 billion a very large investment indeed and in the following year invested many more billions into the two companies they had bought; Jaguar and Land Rover.
In 1982 the company was re-named Jaguar Cars ltd and in 1984 was privatised by the Thatcher government, Jaguar Plc was formed. John Egan remained with the company as chief executive. Jaguar’s future was once again secure. In 1989 Ford bought Jaguar for $2.5 billion, it has been estimated by some observers, that since then it put between $1billion and $1.5 billion a year into the company, more conservative estimates are that Ford invested over the years, a further $10 billion into Jaguar and Land Rover, which it had also bought.
Ford got some return on their investment into Land Rover but not from Jaguar. Ford was worried about the future of large cars and in 2001 launched the X Type. It was hoped that it would rival BMW’s and Mercedes’ entry models, it did not. Using Ford Mondeo components in the X Type did not help its reputation, Jaguar was after all a luxury brand. With the benefit of hindsight Ford must have seen the X Type as a big mistake.
Ford had problems of its own and needed to concentrate on their own core business, Jaguar was eventually put up for sale along with Land Rover. Ford had sold most of its stake in Aston Martin in 2007 and in March 2008 both Jaguar and Land Rover were sold to Tata the Indian motor manufacturer for $2.3 billion. It must have been a bitter pill for Ford to swallow, made even more bitter, by having to find a further $600 million to make up the shortfall in the two companies’ pension funds. Furthermore Ford will miss out on the success of the new XF model.
There has been some comment that Jaguar, that represents everything that is British, has now fallen into foreign hands but Jaguar has been in foreign hands since 1989 and what is most important is that the company survives. It is very clear from the history of Jaguar, that it needs autonomy in order to succeed. Tata have made it clear that it does not intend to “meddle” with Jaguar and that it wants the Jaguar tradition to survive and prosper.
30,000 Germans were polled in 2006, this revealed that the majority of Germans preferred Jaguar to Mercedes, Audi and BMW. The new XF has been an enormous success and contract hire and leasing companies are placing large orders for the car. After all it’s ups and downs Jaguar seems to be as strongly placed as it has ever been.
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