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Jeep to spin off into separate showrooms

Discussion in 'Mopar / FCA News' started by aldo90731, Aug 17, 2020.

  1. aldo90731

    Staff Member Level III Supporter

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    Oh, geez. AN reports this morning that dealers are spending big bucks splitting Jeep into separate showrooms.

    Quote:

    “After spending a decade consolidating its brands under one dealership roof, Fiat Chrysler Automobiles has been seeking exclusivity in recent years for its highly profitable Jeep brand in certain markets. The automaker is looking to grow Jeep by creating unique shopping experiences for some of its most critical buyers, who continue to drive the brand forward despite an ongoing health crisis.”

    Riiiiight... Who seriously believes that splitting Jeep into a separate building will automatically result in a better experience?

    Instead of addressing the root cause of the customer treatment problem, FCA embarks on another pointless, wasteful exercise.

    This nonstop flip-flopping is part of the problem with this company.

    Retailers spend big to split off Jeep showrooms
     
  2. T_690

    T_690 Well-Known Member

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    Excellent move. This was long coming. With Jeep move to premium segment it was a must.
     
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  3. aldo90731

    Staff Member Level III Supporter

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    Just as a reminder, here is how FCA dealers rank on customer satisfaction:

    [​IMG]
    [​IMG]
     
  4. LeeRyder

    LeeRyder Well-Known Member

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    This came up around 10yrs ago too.
     
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  5. aldo90731

    Staff Member Level III Supporter

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    If Jeep (794) were ranked as a premium brand, it’d rank right above Alfa Romeo, below Jaguar.

    If they divert the dealer traffic Jeep generates, kiss goodbye to Chrysler, Dodge and Fiat.

    Be careful what you wish for.
     
  6. T_690

    T_690 Well-Known Member

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    The most likely next move would be to join Alfa with Jeep.
     
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  7. aldo90731

    Staff Member Level III Supporter

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    Well, they both have a similarly sh*tty customer satisfaction score. So they have that going.
     
  8. hmk123

    Level III Supporter

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    I really don't understand it. The trucks don't overlap with Jeep and at this point Dodge and Chrysler with their 5 vehicles seem more of an afterthought anyway... :(
     
  9. Adventurer55

    Adventurer55 Well-Known Member

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    Another waste of resources. Must be trying to push this through before Tavares takes the helm. After he comes in then it'll probably go back the way it was. I really feel sorry for people that are below the executives in this company. They spend long hours walking in circles.
     
  10. T_690

    T_690 Well-Known Member

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    PSA is all about separate dealerships. Not even next to each other.
     
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  11. dakrt99

    dakrt99 Well-Known Member

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    Lame. Another step towards killing Dodge and Chrysler. It just keeps getting a little worse for Dodge and Chrysler. I'm sad.
     
  12. aldo90731

    Staff Member Level III Supporter

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    Yeah.

    And just as what they did with Fiat Studios, FCA will extract MILLIONS of dollars from dealers for the privilege to own an exclusive Jeep showroom.

    Then leave it to Tavares to sort out and clean up the ugly mess FCA has done with so many brands.
     
  13. valiant67

    valiant67 ...

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    So everyone kept saying small and stale Chrysler and Dodge lineups were fine because the customer could just walk over to the Jeep models that shared the same showroom.
    Now that scheme is gone.

    And Jeep with Alfa? That isn't going to work in the US. If they think Dodge and Chrysler are weighing Jeep down, well, Alfa won't help in the US.
     
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  14. aldo90731

    Staff Member Level III Supporter

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    FCA has scored some big hits on the product side: Hellcat, DT, JL, JT, keep WK2 going this long, and perhaps Giulia.

    However, I cannot name one single hit on the non-product —i.e., retailing and after-sales— side. The idea of separate Fiat Studios and relaunch of Fiat in N.A. failed; the idea of Chrysler as a mainstream brand never grew legs; the idea of cornering Dodge into a muscle brand provides no long-term viability, the relaunch of Alfa Romeo remains an ongoing struggle.

    Jeep and Ram have flourished into highly desirable, profitable brands. And they generate most of FCA’s profits. But, again, that’s been largely an outcome of a handful of products: DS/DT, JK/JL/JT and WK2. There haven’t been any improvements in the purchase experience, in the service experience, in product quality or in customer retention. In fact, all of these metrics have deteriorated under FCA.

    This idea of separate Jeep dealerships is just as bad as all those that came before.
     
  15. tomaz

    tomaz Well-Known Member

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    i think this has to do with avoiding Crowded showrooms with all the new Jeeps and 3 row versions coming. this would be good for Chrysler as they can get the CUV's they need without having to suffer from internal competition with Jeep's

    They said Showrooms. meaning they will still be apart of CDJR Dealerships, Ram will get its own Seperate Dealership/Showroom from the other brands.
     
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  16. MJAB

    MJAB Well-Known Member

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    Well Tavares is the one that made complete separation of DS from Citroen.
    It was done for management, but also for retail network.
    They started in China with DS dealerships being separated from other PSA brands.
    Since few years, it should be about 2017 - 2018, they started to do that also in Europe.
    Only a part of the PSA dealerships that had Citroen brand were allowed to continue to have also the DS brand.
     
    #16 MJAB, Aug 17, 2020
    Last edited: Aug 17, 2020
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  17. aldo90731

    Staff Member Level III Supporter

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    Splitting up a luxury brand from their mass brands into separate dealerships is a tried-and-true practice, albeit one with varying degrees of success.

    But in this case, splitting up their volume brand into separate dealerships will spell trouble for the rest of their brands.

    Then again, it’s not like we didn’t see this coming.
     
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  18. MJAB

    MJAB Well-Known Member

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    These is Tavares at work. DS stores and salons.



     
  19. T_690

    T_690 Well-Known Member

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    Obviously FCA is going premium with Jeep.

    I've foreseen this long time ago.
     
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  20. aldo90731

    Staff Member Level III Supporter

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    Yes, Marchionne stated several times he wanted Jeep to go the way of Land Rover.

    Hopefully Tavares will bring back some common sense.

    If not, Ford Bronco might.
     

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