Chrysler Considers Branding Shift
#1
Chrysler Considers Branding Shift
DETROIT (AP) -- Chrysler is considering wide-ranging branding changes that would streamline its product offerings and eliminate as many as 1,000 dealers, The Wall Street Journal reported Friday.
A plan currently under discussion calls for Chrysler dealers to sell all of the automaker's passenger cars under the Chrysler name. Dodge dealers would sell only pickup and commercial trucks, and Jeep dealers would sell only Jeep and sport-utility vehicles, three dealers familiar with the discussions told the Journal for its online edition.
One of the dealers said the proposal was just one of several being considered, and that the company hoped to have a decision in place by the end of the year, the Journal reported. The dealers asked not to be identified because the plan has not been released publicly.
The plan would allow Chrysler, which seeks to return to profitability by 2009, to drop some of its overlapping products. That in turn would eliminate underperforming dealerships carrying excess inventory and using incentives that cut into profitability. Messages were left after hours Friday with Chrysler spokesmen.
[/align]Chrysler Chairman and CEO Bob Nardelli said in September that he planned to keep the automaker's three brands but could drop some products as he leads the company through a restructuring. He wouldn't say which vehicles might go.
"I think we have to right-size the revenue, and that means we have to make intelligent decisions about the products and the brands," Nardelli said. "We can't just have emotional attachments about some of the products and brands that are out there."
From the 'Net
Dusty
A plan currently under discussion calls for Chrysler dealers to sell all of the automaker's passenger cars under the Chrysler name. Dodge dealers would sell only pickup and commercial trucks, and Jeep dealers would sell only Jeep and sport-utility vehicles, three dealers familiar with the discussions told the Journal for its online edition.
One of the dealers said the proposal was just one of several being considered, and that the company hoped to have a decision in place by the end of the year, the Journal reported. The dealers asked not to be identified because the plan has not been released publicly.
The plan would allow Chrysler, which seeks to return to profitability by 2009, to drop some of its overlapping products. That in turn would eliminate underperforming dealerships carrying excess inventory and using incentives that cut into profitability. Messages were left after hours Friday with Chrysler spokesmen.
[/align]Chrysler Chairman and CEO Bob Nardelli said in September that he planned to keep the automaker's three brands but could drop some products as he leads the company through a restructuring. He wouldn't say which vehicles might go.
"I think we have to right-size the revenue, and that means we have to make intelligent decisions about the products and the brands," Nardelli said. "We can't just have emotional attachments about some of the products and brands that are out there."
From the 'Net
Dusty
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#5
RE: Chrysler Considers Branding Shift
What kinda scares me is Nardelli's comment about people not being able to have emotional attachments to the products (vehicles) and brands. I don't know about everyone else, but "emotion" is a big, big factor in me buying a vehicle. If I don't get a positive emotion from a product of any sort, I don't buy it........that's something that most companies accept as gospel..........except evidently, Chrysler.
Dusty
Dusty
#6
RE: Chrysler Considers Branding Shift
Once again this is what happens when non car people run a car company. This is the type of crap we as emps we scared of when the 3 headed dog bought us. So far everything we feared, has come to fruition. I can tell you that gm is doing the a similar thing with buick and pontiac dealers. I know this because my wife works for a pontiac dealer that will close at the end of the month. It will merge with a much smaller buick dealer, so she is out of a job. Lucky me, both of us will be out of work soon.
#7
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RE: Chrysler Considers Branding Shift
Dropping the Dodge nameplate from a lot of vehicles would be a huge mistake. I think most people view Dodge as a much more exciting brand than Chrysler (I mean let's face it, look at the stuff coming out under the Chrysler nameplate lately, other than the 300C SRT-8 if you're looking for an exciting car they're not even on the map)
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#8
RE: Chrysler Considers Branding Shift
The idea in itself is actually not a bad idea. Streamlining your products by removing overlapping products is always a good way of increasing profit while reducing overhead. Think of it like this....
Avenger/Sebring
Town & Country/Caravan
Durango/Aspen
Charger/300
Caliber/Compass
Half of those vehicles would go away....which would actually be a good thing in SOME respects.
Now, do I think its a smart idea? ONLY if they're smart about what vehicles come out. Move the SRT lineup to Dodge exclusively. Place the Charger and Challenger under the Dodge badge.....and everything else car wise goes to Chrysler....and I think you'd find a winner...
Avenger/Sebring
Town & Country/Caravan
Durango/Aspen
Charger/300
Caliber/Compass
Half of those vehicles would go away....which would actually be a good thing in SOME respects.
Now, do I think its a smart idea? ONLY if they're smart about what vehicles come out. Move the SRT lineup to Dodge exclusively. Place the Charger and Challenger under the Dodge badge.....and everything else car wise goes to Chrysler....and I think you'd find a winner...
#9
RE: Chrysler Considers Branding Shift
ORIGINAL: DevilsReject
Avenger/Sebring
Town & Country/Caravan
Durango/Aspen
Charger/300
Caliber/Compass
Half of those vehicles would go away....which would actually be a good thing in SOME respects.
Avenger/Sebring
Town & Country/Caravan
Durango/Aspen
Charger/300
Caliber/Compass
Half of those vehicles would go away....which would actually be a good thing in SOME respects.
#10
RE: Chrysler Considers Branding Shift
This has already started with the Stratus being discontinued and only the Chrysler Sebring being produced now. Plymouth no longer exists as a business unit or brand of Chrysler. As long as the current Dodge product line isn't affected too much I don't see an issue. On the note of the late model Sebrings. They are ugly cars. I hate the new body style of the Sebrings. I even sent a nasty gram to Chrysler on it.
If the Caliber gets renamed and moves to Chrysler I doubt I'll buy another one. The luxury version of the Caliber is the Chrysler Pacifica.
What Chrysler should do is drop the Aspen and maybethe Town & Country. Remove the Jeep Compas and leave everything else alone. Leave Jeep with the Jeep style vehicles and work on a competitor to the Hummer. Some say the Wrangler Unlimited is Chrysler's answer to the Hummer.
I do see a lot more Calibers on the road than Compasses. There isn't a day that goes by that I don't see at least three or four Calibers on the road in the Vegas Valley. To date I think I've only seen one or two Compasses on the road in the past year. I see plenty of Calibers. The Calibers are also bought for rental car fleets.
The Chargers are going to stay because of the law enforcement market. They're gaining popularity. Try selling a luxury froo froo car to alaw enforcement agency? Unless you're selling to a vice squad of a large metro area for undercover work, it isn't going to happen. I see law enforcement edition Chargers often here in Nevada (NHP has them along with Boulder City PD) and when I drive up to UT. UT DPS has them. You can bet the chaser vehicles have the V8 HEMI. I believe one or two county sheriffs in UT have them as well. The V6 law enforcement edition of the Charger has more HP and better acceleration than the Ford Crown Vic Police Interceptor that's a V8.
If the Caliber gets renamed and moves to Chrysler I doubt I'll buy another one. The luxury version of the Caliber is the Chrysler Pacifica.
What Chrysler should do is drop the Aspen and maybethe Town & Country. Remove the Jeep Compas and leave everything else alone. Leave Jeep with the Jeep style vehicles and work on a competitor to the Hummer. Some say the Wrangler Unlimited is Chrysler's answer to the Hummer.
I do see a lot more Calibers on the road than Compasses. There isn't a day that goes by that I don't see at least three or four Calibers on the road in the Vegas Valley. To date I think I've only seen one or two Compasses on the road in the past year. I see plenty of Calibers. The Calibers are also bought for rental car fleets.
The Chargers are going to stay because of the law enforcement market. They're gaining popularity. Try selling a luxury froo froo car to alaw enforcement agency? Unless you're selling to a vice squad of a large metro area for undercover work, it isn't going to happen. I see law enforcement edition Chargers often here in Nevada (NHP has them along with Boulder City PD) and when I drive up to UT. UT DPS has them. You can bet the chaser vehicles have the V8 HEMI. I believe one or two county sheriffs in UT have them as well. The V6 law enforcement edition of the Charger has more HP and better acceleration than the Ford Crown Vic Police Interceptor that's a V8.