Alfredo Altavilla, the head of business development at Fiat, announced the decision of the brand to introduce 5 new models over the 2 years. It was later on affirmed by the brand’s spokesman wherein four new models of its 500 family cars and an updated version of Panda will be introduced. The decision of the brand was toward the fulfillment of its goals in the next few years.
Fiat’s Goals for the Next Few Years
In an interview made with Altravilla, the desire of the brand to leave the accounts of Africa, Europe, and Middle East by year 2015 was confirmed. It wanted to focus on new things aside from spending so much time in expanding and developing the range of the 500 models which will be done with the assistance of Russia. It hopes to improve sales output in the market, too. Fiat is one of the many automakers that suffered a slow growth in the European market.
How Will Fiat Redesign its Models?
The brand wants to get a good sales output in the European market so it comes with the decision of producing more solid compact cars or getting into the premium market. It decided to redesign both models because they outperform its other models. The 500 model is greatly known for its good commercial strength which never faded. The Panda model gained a positive feedback from car buyers because of its elegant look. As part of the redesigning plan, Fiat will be introducing a SUV like version of Panda which will be named “Pandone.” However, buyers of Fiat cars fear that if it continues to redesign Panda, its price will change. It will not be one of its low cost cars anymore.
Benefits of Redesigning the Models
Fiat did several things to increase its sales worldwide not just only the European market. It reached the point of merging with Chrysler in which there was a minimal growth on sales reported. Sergio Marchionne, the chief executive officer (CEO) of Fiat, revealed that sales for 2013 increase compared to last year. The brand wanted more in the next 2 years so it will be introducing five more models to get the attention of buyers, both existing and potential.
Next advantage of the redesigning is the strengthening of the brand’s standing in the auto industry which is mainly dominated by giants like Ford, General Motors Corporation (GMC), and Toyota. The brand hopes to become part of European market’s top automakers once again. Based on the information released by the European Automobile Manufacturer’s Association (ACEA), Fiat does not fall on the top 10 list of the market’s top auto brands. There were several drops noticed in Fiat’s standing. Its market share dropped to 20 percent only and its new car sales both in the EFTA and EU markets fell a little bit. So Fiat became eager to do something and it came up with the decision of introducing new models to see growth in the next few years. The brand may be struggling but it does not stop regaining whatever it has before.