Environmental and regulatory changes are now progressively affecting the auto industry’s long-standing distribution model with the inevitable electrification of product lines the prime mover in the need to maintain customers and their satisfaction – while complying with evolving law and shareholder expectations.
In essence, electrification is a challenge facing all global automakers. At Stellantis – the mega merger of FCA and PSA companies – the problem is acute – with its Abarth, Alfa Romeo, Chrysler, Citroën, Dodge, DS Automobiles, Fiat, Jeep®, Lancia, Maserati, Opel, Peugeot, Ram, Vauxhall automotive brands, as well as Free2move and Leasys services. This multi-brand distribution network is, well, complex. The Company now has 24 BEVs on the market. This is projected to almost double by the end of 2024.
All Stellantis brands collectively aspire to have 100% passenger car battery electric vehicles (BEVs) sales mix in Europe by end of 2030. Stellantis will have BEV-only launches in the luxury and premium segments as of 2025. These then progress throughout the portfolio. Crucially, all launches in Europe will be BEVs in 2026 and beyond.
“Customers will be able to take advantage of a multi-brand and multi-channel approach with a wider range of services. Dealers will have a new and efficient business model aimed at benefiting from Stellantis’14-brand portfolio, creating synergies, optimizing distribution costs and offering additional sustainable mobility solutions. Our partners play an important role by being the representatives of our brands in the field,” said Uwe Hochgeschurtz, Stellantis Chief Operating Officer, Enlarged Europe.
Stellantis is making some bold predictions here. “The comparative economic simulation with the planned model makes it possible to demonstrate at least an equivalent profitability, if not superior, for our network, while considering an increased assumption of costs by Stellantis and the reduction of exposure to the risks of our distributors.
“The dialogue between Stellantis, the European dealer associations and the entire dealer network has been pragmatic, business-driven, based on full transparency and on highly mutually constructive talks and interactions. I would like to thank all our employees and our partners for their dedication and commitment in achieving these results, as we take further steps in the implementation of our Dare Forward 2030 strategic plan,” said Hochgeschurtz.