Ten years in the past, at first of 2014, the late Sergio Marchionne stated he needed Jeep to promote 1,000,000 models worldwide that yr. Regardless of then-Jeep CEO Mike Manley downplaying the objective, the model crossed the seven-figure mark in 2014 and remained there till 2022, largely on the power of U.S. gross sales that peaked at 972,227 models in 2018. Firstly of 2017, the model deliberate to promote greater than 2 million models by 2020 or so. That concentrate on is an extended method off now than it was seven years in the past; the U.S. gross sales pattern reversed after 2018, falling to 641,166 gross sales final yr, which was 6% decrease than the yr earlier than. Mum or dad firm Stellantis nominated Antonio Filosa to Jeep’s CEO suite as of final November, the previous COO of Stellantis’ South American outpost changing Christian Meunier and tasked with a gross sales rebound for America’s journey model. As a part of a media roundtable after 90 days within the function, Filosa instructed shops together with Autoblog that, “We need to do something about market penetration and market share because it’s not where this brand deserves to be.”
Which is debatable. Our Jeep pricing posts commonly marvel at how costly the rigs have gotten, particularly coronary heart and best-seller of the model, the Grand Cherokee, and the soul of the model, the Wrangler. However it’s true to say that Jeep’s U.S. market share just isn’t the place it might be, and Filosa is addressing that with just a few measures.
First, decrease costs or extra content material for a similar value, Filosa saying, “we’re adding back value to 90% of our sales volume.” Jeep took wherever from $2,000 to $4,000 off the worth of the Grand Cherokee. The entry-level Laredo A trim was the one one to carry regular on MSRP, however the Laredo got here down $2,000, making it simply $440 greater than the stripper particular. A much less excessive model of the identical story occurred with the Gladiator, the pickup dropping $1,700 off its buy value, however each it and the Wrangler picked up what Jeep calls $3,000 in extra normal tools, from the bigger infotainment display to airbags within the roll bar. Under the massive boys, the Compass is now $2,500 cheaper, beginning at $27,495 after vacation spot.
After that, adopting the Mini philosophy of powertrain selection — one thing each automaker that wishes to promote much more automobiles within the subsequent 5 years goes to need to do. Which means extra PHEV penetration — the Wagoneer is predicted to be subsequent — alongside the long-planned battery-electric Wagoneer S and Recon. All three are due this yr; extra powertrains given the inexperienced mild in new fashions may take 18 months to reach.
Then, extra streamlined branding and extra spending on advertising. Partly based mostly on seller suggestions, the automaker is “converging Wagoneer back into Jeep.” The Wagoneer, Grand Wagoneer, and Wagoneer S barely characteristic Jeep branding. That can change with the Wagoneer S, many noticing the newest teaser pictures included a Jeep brand on the hatch that wasn’t there in earlier pictures.