Before leaving his role with the marque, Martin Fritsches also discusses his tenure and the lessons he has learned
Whether piloting a powerful machine in motorsport or the corporate world, the ability to react quickly and decisively while keeping your vision fixed solidly ahead is paramount to success. It’s a skillset well within the wheelhouse of Martin Fritsches, who has been the president and CEO of Rolls-Royce Motor Cars North America for more than six years. During his tenure, he has helped the marque’s biggest market continue to grow in both sales and number of dealers, and has spearheaded the stateside introduction of the Cullinan SUV and all-electric Spectre, two milestone models for the legacy automaker.
It is with that track record that Fritsches will serve his last day with Rolls-Roycetomorrow, as he becomes vice president of BMW of North America’s Western Region, a promotion within the parent BMW Group. Taking over his role at Rolls-Royce is Jon Colbeth, formerly the head of its Ownership Services, which is based in Goodwood, England.
Fritsches recently shared with Robb Report his thoughts on the North American luxury market, as well as the brand’s drive to further increase levels of customization and a measure of volume with, for example, the new Private Office facility—opened in New York City—and numerous highly customized projects in the pipeline. Of course, we also had to ask about the automaker’s commitment to electrification and, naturally, what advice he plans to give his successor.
In your opinion, how does the North American market differ from the rest of the global luxury market?
The North American market is the powerhouse. It’s not by coincidence that it’s the largest market. It was actually one of my main tasks, in this incredible journey of the last few years, to reinforce that message in Goodwood, to the board, to never underestimate the size and the relevance of the U.S. market. What I’m always surprised about is, compared to the other regions, how quickly the U.S. market can react to certain trends—how quickly things can be adapted, in our case, by customers, of which we have a very diverse crowd in several regions. The impact that you can make in such a market is immense. When you’re new in a role and new in a country, you first have to get it. It wasn’t that obvious to me when I came here.
It seems that some automakers are walking back their timelines on complete electrification. Has Rolls-Royce’s commitment changed in any way?
We haven’t changed anything. Our strategy continues to be that if the market, and our customers particularly, want to go fully electric by the end of the decade, we will be capable. It doesn’t mean that, ultimately, we’re going to go there. We still have five years, and the U.S. [market] is very dynamic, and changes very quickly, so a lot can happen in between. I still believe that, regarding electrification . . . it’s the charging infrastructure that will continue to be a guess. Our customers who drive [the all-electric] Spectre, they love it. I go back to the power and reaction of the market. Once you hit the nail, and the concept has been absorbed and accepted by the customer, it’s a no-brainer, and then it will grow exponentially. This year we have delivered over 500 units [of Spectre] in North America, so close to one of every three units. Yes, the power train is different, but it’s still a Rolls-Royce first.
Photo by James Lipman, courtesy of Rolls-Royce Motor Cars.
What were the initial challenges when you took on the role of captaining Rolls-Royce in the Americas?
I had certain internal challenges. I was convinced that, in the Americas, we need to change and fine-tune certain elements, and the business needed to make some adjustments from a team perspective, some cultural changes. You always want to make a positive impact when you arrive, and when I joined the company, it wasn’t really ready for the coming years, especially from a cultural perspective, the mentality perspective. It was a bit old-fashioned, the old Rolls-Royce thinking from a team perspective.
How did you go about changing culture?
Looking back, it took me a little bit more time, energy, and resources than initially expected. First, I had to absorb, to listen, to just watch. But in the end, it’s all about relationships. It’s having a clear vision, having a clear path, and then showing the team transparency, trust, and empowerment. Then it’s about doing the journey together. When I talk about the “team,” it’s not only our internal colleagues, but it’s our dealer partners—that’s an extremely relevant part of our business, in my opinion, particularly in ultra-luxury. And the customers are also a part of our team. It turned out that being so close to the customers helped us reshape and be more assertive in brand development.
Has the recent emphasis on highly bespoke examples and one-offs been customer-driven or a deliberate marketing push?
Clearly, it’s in our DNA. Rolls-Royce is bespoke. We also, by nature, want to be challenged. We have been pushed by our customers, no doubt. Bear in mind that we are in the quality side of the business, not the quantity, but I won’t say we are capped in terms of volume. We want to expand that, which is why we launched our Private Office in New York and why you are seeing the high number of private-collection cars and one-offs. And there are many more to come.
What is the one piece of advice that you would like to share with your successor?
Don’t underestimate the dynamism and power of this market. It’s America, and you can literally make anything happen. You just need the right team, the vision, the strategy, and the right partners—then go for it. The customers will respond.
This story was first published on Robb Report USA. Featured photo by Rolls-Royce Motor Cars North America
