Indeed, the Management and PR team of Stellantis Belux, welcomed recently the Press and B2B to a, called ‘House of Innovation’.
A fitting initiative, set up in the absence of the Brussels Motor Shows, keeping the tradition in our country of a traditional show period and at the same time providing a platform for unveiling the latest innovations, concept cars and the future direction of the Stellantis brands.
Needless to say we were very keen to attend this event, giving your servant also the opportunity to have several interviews with the managers of several brands, which we will present soon on our columns. Here in this first report about this “Kickoff Press conference” we will focus on the future strategy of Stellantis and its plans for the Belux market. Just read further!
Hans Knol ten Bensel
The event started with an inspiring introduction by Florian Kraft, CEO of Stellantis Belux…
…followed by interactive brand presentations and workshops. “This event symbolizes our continued pursuit of innovation and progress in the automotive world. We are excited to share our latest developments and our vision for the future with the press and our valued customers and partners,” said Florian Kraft, CEO.
Florian Kraft first pointed out the four core targets of the Stellantis “Dare Forward strategic plan 2030.” This plan will move Stellantis into a sustainable mobility tech company.
The first target is reducing its carbon footprint by 50 % in total CO2 emissions per vehicle compared with 2021, on the path to achieving carbon net zero in 2038. This then includes not only from well to wheel, but also throughout the entire supply chain.
The second target is setting the course for 100% BEV sales in Europe and 50% in the United States in 2030. The third is achieving number one position in customer satisfaction. The fourth is doubling net revenues while transforming our business models and sustaining double-digit operating margins. How Stellantis will achieve this, will be the subject of a future report in our columns. Stay tuned!
Ambitions for 2024…
Looking ahead to 2024, Stellantis Belux has set itself several goals. In terms of network, the company aims to ensure a successful transition to the New Retailer Model using its existing network. Indeed, Stellantis is progressing at full speed in the execution of its Dare Forward 2030 Strategic Plan, with the ambition to be #1 in customer satisfaction in all markets, in products and services. Indeed, the customer experience will be at the core of this retailer model.
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 benefitting from Stellantis’ 14-brand portfolio, creating synergies, optimizing distribution costs and offering additional sustainable mobility solutions, says Stellantis. So far for the aims, let’s explain this further in more concrete terms.
In September last year, Stellantis launched the reorganization of its European dealer network, starting with four specific markets before extending it further across Europe in 2024. Stellantis announced it was ending its previous sales and services contracts with European dealers for its 14 brands and moving toward a new distribution framework based on an agency model. What is this agency model?
Under this model, the manufacturer becomes the retailer while the dealer remains the physical touchpoint with the customer. The agent/dealer receives a commission on each sale and no longer individually sets prices or discounts.
As the dealer does not have to purchase the cars from the manufacturers anymore, he does not carry significant commercial risks and has less administrative costs as billing and payment towards the customer is done by the manufacturer. It protects also the profitability of the retailer. Because, as everybody knows, profit margins on new car sales can fluctuate.
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The advantage for the car manufacturer is a direct contact with the customer, which it did not have so far….
The manufacturer can now determine end-customer discounts themselves, in this way achieving price consistency and avoiding competition between dealers of the same brand. They can optimize costs through centralization, and profit from the scale effect of transferring responsibilities from individual dealerships to the bigger sales organizations on national levels.
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It also is more in line with today’s consumer preferences, which would rather see fixed prices and an equally simple buying process as they experience in e-commerce.
Stellantis is moving towards this model in big steps now. In September last year, Stellantis announced that the revised retail model will be fully effective from Sept. 4, starting with Austria, Belgium, Luxembourg and the Netherlands. Stellantis is not the only one to prefer this agency sales model. BMW and Mercedes opt for it too…
The BEV line up at Peugeot: towards a leading position in the B and C segment…
Stellantis market position in Belux …
In terms of sales, Stellantis Belux aims to regain the lost market share in 2024 and further strengthen its position. In 2023, Stellantis Belux achieved a global market share of 17.2%, with more than 100,000 units sold. On the LEV (Low Emission Vehicles) market, Stellantis Belux occupies a fourth place with an 11.6% market share. The BEV (Battery Electric Vehicle) and the PHEV (Plug-in Hybrid Electric Vehicle) occupy a fourth place with respectively 10.5% and 12.8%.
Stellantis Belgium confirms its strong position with a pole position in the segment A and with not less than six models of Stellantis (Peugeot e-208, Peugeot e-2008, Opel Corsa Electric, Jeep Avenger, Opel Mokka Electric, DS3 E-tense) in the TOP 10 of the segment B (BEV), representative 66% of the part of the segment.
Introducing petrolheads to the joys of E-power: the Abarth 500 E, waiting for the imminent 240 HP 600 E…
Last but not least, Stellantis Belux is the leader in the segment of the LCV (Light Commercial Vehicle) with more than 30% of market share, of which more than 50% is electrified!
In terms of product innovation, Stellantis Belux will continue its electrification, where it currently leads in the A-B segment and LCV, and further expand it to the C segment with models such as the Opel Astra, Peugeot 308 and 3008 and Citroën C4.
As is tradition in January, the Stellantis brands start the year with super attractive “salon conditions” on their range. This applies to both private and professional customers and to electric and ‘thermal’ vehicles.
We made on this event interviews with Pierre Voineau, Managing Director Citroën Belgium & Luxemburg, (see photo here above), Asterio Perez, Managing Director of Fiat, Abarth and Fiat Professional in Belgium and Luxemburg, and last but not least Eric Laforge, Head of Jeep Brand Enlarged Europe.
This will be followed by a special report on the magnificent prototypes which were displayed amongst the 36 cars on this conference.
So stay tuned for (much) more soon!
Hans Knol ten Bensel
Autoprova - for the Connaisseur 