for this car, the sales department hashed out a plan calling for "no completely new car. sporty character. significantly more space for two. easier to get in. better rear view." the technicians, on the other hand, decided on more pragmatic criteria; "better visibility. larger and vertically positioned headlamps. better bumpers." Ferry chimed in suggesting " two-seater with two comfortable foldaway seats." and that's how the 695 came to be.
interestingly, the car we see in this video is the same thing, only it was a running prototype renamed Typ 754...why they switched out the internal designation is another one of Porsche's mysteries.
the idea of a four-seater would resurface again when plans were being laid out for the 928 in 1971; we'd have to wait until the 21st century to finally see a Porsche that could comfortably accommodate four adults, not two adults and two midgets.