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FCA’s surprise US sales gain and Canadian sales drop

Discussion in 'Mopar News' started by Dave Z, Apr 3, 2018.

  1. aldo90731

    Staff Member Level III Supporter

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    The reality is that GM, Ford and Toyota would absolutely love for Chrysler to give up its RWD cars.

    I can’t help but wonder if the endless poking and derision they get from the press is stoked by the competition. After all, the press can’t stop repeating how up-to-date Camaro and Mustang are, and how outdated Charger and 300 are.

    Meanwhile, “overweight” Challenger is eating Camaro and Mustang’s lunch on the sales charts, and “outdated” 300 and Charger outselling Avalon —and sending SS to the grave.
     
    #141 aldo90731, Apr 6, 2018
    Last edited: Apr 6, 2018
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  2. HotCarNut

    HotCarNut Defender of Reality
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    In fairness to the SS - it's a fantastic car that got ZERO publicity from GM to the mass market. The only marketing that vehicle EVER received was press in the auto mags, and that only lasts a month and reaches enthusiasts. It's a shame that such a fantastic vehicle couldn't get any attention in GM's massive marketing budget. A buddy of mine owns one in deep green with a manual transmission, and it's sweet.
     
  3. hmk123

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    While I personally like the understated look of the SS a muscle car design like the Charger might have helped sales...
     
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  4. HotCarNut

    HotCarNut Defender of Reality
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    Ironic, since a lot of us who love the understated looks of the 300 want the 6.4L with sport seats wrapped in nice leather, leather dash and door panels, magnetic suspension (GM developed it and used in the SS, Ferrari licenses it, so does Ford, why not Chrysler to differentiate?).....
     
  5. Ryan

    Ryan Moderator
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    Why couldn't Chrysler have had a variation of the air suspension used in Grand Cherokee and Ram?
     
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  6. svevar

    svevar Well-Known Member

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    Perhaps the rumored demises of Taurus, Impala, and Lacrosse will convince FCA to retain Chrysler 300 in the hopes of picking up share from orphaned full-size buyers. The segment is shrinking, yes, but might prove lucrative for FCA with reduced competition.
     
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  7. HotCarNut

    HotCarNut Defender of Reality
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    Ride height is probably a starting point. Might be interesting for the normal 300 trims. Wouldn't want it for the sport models....
     
  8. Ryan

    Ryan Moderator
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    Unless there wasn’t enough space to implement it, it would be nice for the vehicle to automatically lower at highway speeds or in launch mode to improve handling and aerodynamics.
     
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  9. JavelinAMX

    JavelinAMX Well-Known Member

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    .

    You're selling me another brand, @aldo90731 .

    .
     
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  10. AlexB

    AlexB Active Member

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    Hey one area not really mention is the Incentive vs Price.
    FCA Average March incentive was $4,424 (ALG), with the Average Transaction Price in March for FCA was $34,240 an increase of 3.5% vs March 2017.

    Nissan Average March incentive was $4,206 (ALG), with the Average Transaction Price in March for Nissan was $27,438 an decrease of 0.5% March 2017.

    Nissan has similar per vehicle dollar spend on incentive, but gets significantly lower Revenue per vehicle than FCA, therefore Nissan is the big incentive spender.

    I would if this is some of the Accord problem: big incentive spending by Nissan.
    FCA: Record Jeep volume drives 14% advance (at http://www.autonews.com/article/20180403/RETAIL/180409900 )
    NISSAN: 2017 sell-down, model changeover dent volume (at http://www.autonews.com/article/20180403/RETAIL01/180409875 )
     
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  11. aldo90731

    Staff Member Level III Supporter

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    Yes. Nissan spends like a drunken sailor in incentives and fleet sales every March to boost the numbers before close of Japan FY, which ends March 31. Executives’ bonuses have a large sales volume component.
     
    #151 aldo90731, Apr 7, 2018
    Last edited: Apr 8, 2018
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  12. Deckard_Cain

    Deckard_Cain Active Member

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    The big issue is that FCA execs start believing some of the bullpoopies spouted by the press instead of analyzing the sales performance of the models and understanding that maybe there's a reason for the amazing comercial performance of those models. Just like the Wrangler behaves amazingly well even with Consumer Reports bashing it most of the time.
     
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  13. aldo90731

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    I agree 100%.

    The F side wanted to get rid of Challenger right off the gate convinced that it was overweight, outclassed and outdated, and a smaller, more “European” version was needed. Thankfully it didn’t have the money for it, and delayed it so many times that gave Challenger time to prove what it is capable of with some attention, particularly against the smaller, more “European” versions of the competition which represent the same path the F side wanted to take.

    The F side was also wrong in diluting the styling of 2011 Chrysler 300, misunderstanding the unique role that styling had played in the prior success of the car, and misjudging what it could accomplish by rebadging 300 as a Lancia. Thankfully, it realized some of its mistake after Thema flopped by reversing course with the 2015 redesign.

    The F side was just as wrong in leveraging Giulietta as foundation for Dart and 200, in picking the small turbo engine, in trying to give them premium pricing, and in canning them the way it did. Finally, it was wrong in bringing the F-brand back to N.A. and in requiring separate dealerships.

    It must be hard to be proved wrong so many times. Yet despite its dismal track record in N.A., and after having entrusted the C side to lead the successful development of trucks with Pacifica, JL and DT, the F side remains stubbornly convinced that (a) the L cars are outclassed and outdated, (b) that an all-new, Euro-inspired architecture is the way forward, and (c) that Charger and 300 need to be separated by holding back 300.

    Here are Q1 2018 US sales of Large Sedans vs same time last year. Despite sales being down, FCA is holding its own and onto a bigger chunk of the segment, with no new product or significant marketing activity. Just imagine what they could accomplish with a more realistic, cohesive strategy.

    [​IMG]
    Source: Automotive News

    If I were Chevy or Ford, I'd be really ticked off to see what FCA can do with products which, they believe, trace back to the mid 1990s. No wonder they are quitting the segment --just like they quit minivans decades before.


    If FCA hopes to regain its footing in the sedan category, these cars look like the path of least resistance.
     
    #153 aldo90731, Apr 8, 2018
    Last edited: Apr 8, 2018
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  14. hmk123

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    Do you mind clarifying Fiat's role in the 2011 Chrysler 300? Because I remember its design being shown in 2008 at the Congressional hearings as an effort to show what is in the pipeline to make a case for government support. It is that famous picture with missing side mirrors. So as far as I remember that design was already completed before Fiat took over.
     
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  15. gforce2002

    gforce2002 Well-Known Member

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    I do think that the overall car was complete by that time, but if I remember correctly the new management made some changes to the front and rear from those earlier versions. I don't remember or do not know what those changes were, though.
     
  16. aldo90731

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    Indeed. There were reports in 2010 that Marchionne was “not satisfied” with the new front-end of the 2011 Chrysler 300, which held up the reveal of the Chrysler redesign for a few months, while the Dodge was not held up.

    When the 300 redesign was eventually revealed, it had the front-end it got from 2011 through 2014. During that time, FCA attempted to sell the car virtually unchanged as the Lancia Thema in Europe. But sales disappointed and was axed.

    Then, 300 got a much more appropriate front-end for 2015, which we have to this day, along with the new 8-speed automatic and a bunch of other updates.
     
    #156 aldo90731, Apr 8, 2018
    Last edited: Apr 8, 2018
  17. hmk123

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    This below picture is the one I remember from late 2008 or early 2009. While I see there being a slight difference in the front grill compared to the 2011 I am not sure this looked that much better (granted, it was probably somewhat disguised back then):

    [​IMG]
     
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  18. aldo90731

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    Yes, I barely recall seeing this.

    BTW, how could this claim back in 2008-09 to have “22% improved fuel economy in 2010-2012 MY...? Was it done after the fact?

    For reference, here's the Lancia
    [​IMG]
     
    #158 aldo90731, Apr 8, 2018
    Last edited: Apr 8, 2018
  19. hmk123

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    Good point. Maybe someone can fact check me but I thought the car in this picture circulated back then after the presentation to Congress. Maybe that text in this particular picture is from a little bit later time. And maybe they used "projected" Pentastar numbers?

    [humor] Or maybe they were way ahead of their time trying to use "fake news" to convince Congress... :) [/humor]
     
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  20. mopar22

    mopar22 Well-Known Member

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    I think the biggest change Sergio did was actually get better materials on the interior and that was the main holdup
     

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