If You Were In Charge Of Fiat, What Would You Do To Turn Around US Sales?

If You Were In Charge Of Fiat, What Would You Do To Turn Around US Sales?
Fiat, the Italian part of the global Fiat-Chrysler alliance, is having more and more trouble selling its small, inexpensive cars in America. Most recent data on “days to turn,” the average number of days dealers have cars in inventory before selling them, continues to rise for Fiat. Its struggles in Europe make Fiat’s success in the United States important.

Among all major car makes sold in America, Fiat had the highest number of days to turn at 122 in June, according to research operation Edmunds. The figure was up 40% from June 2013. The industry average was 68 days, up 10% over the same period. Subaru was at the other end of the spectrum at 32 days to turn, followed Toyota Motor Corp.’s (NYSE: TM) Lexus luxury brand at 35 days to turn.


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MattDarringerMattDarringer - 7/14/2014 1:51:16 PM
-1 Boost
The 500 needs an immediate replacement and should grow to B segment size. A new X1/9 using the 500's powertrain is a total no brainer.


scenicbyway12scenicbyway12 - 7/14/2014 2:52:30 PM
+2 Boost
Offer more than one model.


mini22mini22 - 7/14/2014 3:44:22 PM
-1 Boost
I agree with Matt that the 500 needs to get a little bigger. I thought Fiat was taking more of a play out of the Mini hand book. The replacement in 2017 should be Fiesta in size. Then when Alfa discontinues the Giulietta FWD platform by going RWD make that platform a B segment 500 brand model. Further the larger base 500 should have 5 doors as an option. I think the issue is more about size then anything else. That Abarth Spider needs to be on sale already. Fiat needs to get it finished to sell soon after the new Miata comes out. Further the AWD 500 X should help sales. The 500 L needs a front end restyle, improved shocks to limit body roll and an improvement in interior materials. If Fiat does all this sales will improve.


MattDarringerMattDarringer - 7/14/2014 4:31:33 PM
-1 Boost
The 500X should be a "Panda" for the American market. Though the Fiat Panda is too small for the American market, it's vibe is perfect.

I'd market

500 (B segment) 2 door convertible or 3/5 door
Abarth the hot version of above
500L is replaced with a vehicle that severs ties to the 500
500X is a "Panda"
X1/9 1.4T mid-engined sports car
Spider the Miata with a 2.0-2.2T (i.e. do what Mazda won't PUT POWER INTO THE MIATA)

As counterintuitive as this sounds, FCA should call Toyota and propose the next Toyoburu be a four-way effort (Toyota/Subaru/BMW/FCA) to be marketed as a Toyota Celica, Subaru BRZ, and Alfa-Romeo GTV (with an FCA engine).


Vette71Vette71 - 7/14/2014 5:59:17 PM
+1 Boost
Fagettaboutit! Fiat doesn't have the vehicles for the US market. Plus most of its designs are strange. The Ram ProMasters for example rival the Pontiac Astek for weirdness. The Panda, 500L etc. are also strange. Let Chrysler design and sell US vehicles leveraging Fiat technology into the various segments Matt and others have spelled out. Some of them could be branded Fiats and sell well in other parts of the world.


TomMTomM - 7/14/2014 6:39:11 PM
+1 Boost
I agree = Fiat does not have vehicles that would sell well in the American Market - they are not just strange - but they are too small.
And while the Dart and 200 are better than before - they are still too heavy - and also do not have the room of their competitors.

They did a good job with the RAM truck and the Jeeps - and they will continue to sell well for a while - but cutting out the Dodge Mini Van will only cost them sales UNLESS they release a less expensive version of the Chrysler one.

Based on the current "gameplan" - Dodge is unlikely to survive. Moving Chrysler downmarket is just plain stupid.

And FIAT should have NEVER come here = they simply do not have the product to survive.


MattDarringerMattDarringer - 7/14/2014 8:15:33 PM
+3 Boost
Moving Chrysler down market is simply being honest. It's been downmarket for decades.


MaxZamarionMaxZamarion - 7/15/2014 4:26:11 PM
+1 Boost
Hello, I'm italian. I used to criticize Fiat in the past, but not recently. I think you must understand that now Fiat (FCA, that is) is rethinking itself as a global player trying to give an identity to each one of its numerous brands. What's the use for Fiat to replicate normal, classic-shaped cars? That, in USA at least, will be - hopefully - Chrisler's affair, not Fiat's. So, it's "weirdness", whether you like it or not,or whether it will be a success or not, is deliberate and rational.
(RAM ProMasters are not "strange": they are, variously re-badged, standard commercial vehicles in Europe)


rockreidrockreid - 7/15/2014 7:16:01 AM
+1 Boost
Fiat needs a small 4 door sedan in the US to take a bite out of Jetta/ 1-series/ Audi A3 sales. The Bravo redesigned with a trunk rear end instead of the hatch could broaden the US appeal.


MattDarringerMattDarringer - 7/15/2014 2:16:07 PM
0 Boost
It's called the Dart. Fiat should NEVER have been set up as a stand-alone dealer. It should have been housed either in a Dodge or Chrysler dealer. Fiat only has an issue because of the stand-alone dealer nonsense. If it were sold through a Chrysler/Jeep dealer for example, this conversation would be moot.


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