Revitalised Fiat Chrysler Automobiles Sa Fired up for 2019
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OVER 15 800 SUBSCRIBERS www.autolive.co.za Issue No. 116 | 13 December 2018 REVITALISED FIAT CHRYSLER AUTOMOBILES SA FIRED UP FOR 2019 Fiat Chrysler Automobiles South Africa (FCASA) CEO, Graham Eagle. BY ROGER HOUGHTON “We are aware that rumours were circulating we are realistic that we won’t get back to those that we were going to ditch one or more of our volumes in the short term, but they remain a brands. The fact that some of our dealerships were medium-term target. Fiat Chrysler Automobiles South Africa (FCASA) closing as we consolidated all three brands into “We know it is not going to be easy to rebuild has been completely restructured and is now one dealer facility added to the fire. It has been a our brand images and win the confidence of the revitalised to win back customers and market stressful and challenging time for all of us. public. But I am glad to say we have the support share in 2019, according to its recently-appointed “However, we believe we have taken the pain of motivated and determined people in our head CEO, Graham Eagle. “We have had a tough time and are now much better placed to be a significant office staff and at our dealerships, so I am looking in 2018 as we basically combined two compa- player in a very competitive local market, where forward to making significant progress next year, nies – Chrysler/Jeep and Fiat/Alfa Romeo – while many of the importers – and some of the local particularly as it will be spiced with a host of new rationalising and consolidated the dealer network,” manufacturers – have lost substantial volume model introductions,” added Eagle. explained Eagle in an exclusive interview with over the past year. FCASA was retailing more AutoLive last week. than 1 000 units a month in 2012/2013 and continued on page 2 Page 9 Page 11 Page 15 New device curbs Silverton plant celebrates Hino prepares to dominate drunk driving 50 years in Dakar Subscribe for free @ www.autolive.co.za Page 2 Editor and Advertising Manager continued from previous page Liana Reiners [email protected] The FCASA dealer network 083 407 4600 has now been consolidated with 23 full dealerships and a further 15 Contributors accredited outlets offering parts and service. Eagle believes this is a right- Roger Houghton sized national network for antici- [email protected] pated volumes and provides a good 082 371 9097 footprint in major cities and towns. About half of these dealers are part Advertising Sales of major dealer groups such as Super Liana Reiners Group, Bidvest McCarthy and Motus, [email protected] while the remainder of dealers 083 407 4600 include smaller groups such as Penta With its 522 kW engine the Trackhawk is the most powerful SUV and Rola Motors. The FCASA dealers in the world, but has a price tag of R2.2-million. Address also benefit from support by a joint venture financing company linked to action will take place in a very busy The Fiat range of 500, 500 X, 237 Rigel Avenue WesBank which has some innova- first quarter of 2019. Panda, Tipo and Fullback with a Waterkloof Ridge tive offerings currently, including The Alfa Romeo brand will few Abarth derivatives will continue Pretoria Guaranteed Future Value offers. get three additions: B-Tech Stelvio unchanged at this stage, with the PO Box 914 005 The consolidation also provided with black and matt black wheels 500 X receiving a mid-year facelift. Wingate Park the opportunity to prune the head and trim, high performance Stelvio However, there will be plenty of 0153 office staff from 80 to 60 people, with Quadrifoglio with 375 kW engine product action for the Jeep brand, 012 460 4448 departures having been voluntary. and the Giulia Veloce, a sleek sedan starting with the attractive new The CEO of FCASA went on with an upgraded engine. Compass mid-size SUV to go up Website to say that he and his team had against the likes of the Hyundai taken a hard look at pricing and Tucson and Kia Sportage. The com- www.autolive.co.za “Rumours that the Alfa the necessary revisions, coupled to Romeo brand would pact Renegade gets a facelift, but the dealer support, have been made to big news will be the arrival of revised Facebook be much more competitive in the leave South Africa were and updated Grand Cherokees www.facebook.com/pages/AutoLive market. The dealers have also been totally unfounded...” spread from an entry point of about R800 000 to the return of the SRT © 2018 WCM Media CC supplied with a range of selling tools and training opportunities. These “Rumours that the Alfa Romeo model at R1.1-million and goes right initiatives are already bearing fruit in brand would leave South Africa up to the most powerful SUV in the Production building dealer confidence, resulting were totally unfounded as these new world, the Trackhawk with a 522 kW Marketing Support Services in increased wholesale uptake and an models represent a huge invest- engine at R2.2-million. Danie Dreyer uptick in orders going into 2019. ment by FCA – including separate The new, go-anywhere Wrangler [email protected] The management of FCASA factories and an engineering centre JL will be another arrival in 2019, but +27 (0)12 346 2168 also has responsibilities outside the linked to Maserati. In fact, Alfa it is not yet known if the recently-an- borders of South Africa. This in- Romeo has been the fastest growing nounced Jeep Gladiator pick-up will Disclaimer cludes six countries in relatively close brand in the FCA Group over the find its way to right-hand markets in While reasonable precautions have proximity to SA, but also extends past year. the future. to other countries on the continent. “The company fully realises that Overall, the true picture at been taken to ensure the accuracy Major focus for exports will be on gaining reasonable sales volume in FCASA is far removed from rumours of the advice and information given the Jeep range, although the one-ton the very competitive and overcrowd- of an embattled company that to readers, neither the editor, the Fullback pick-up is another popular ed premium segment of the market have been doing the rounds in the proprietors, nor the publishers model range in African markets. in South Africa will not be easy, but industry. Graham Eagle and his team can accept any responsibility As mentioned earlier, the we have made the commitment and are certainly determined to get the for any damages or injury which announcement of important new are determined to make our brand- company back on a solid foundation may arise therefrom. products will give impetus to the building efforts translate into decent after some trying times in the past rejuvenation of FCASA. Much of this sales volumes,” explained Eagle. few years. ■ MONTHLY SALES STATISTICS Detailed monthly vehicle sales analysis for November will be available at www.autolive.co.za from the afternoon of Thursday, December 13th. Subscribe for free @ www.autolive.co.za Page 3 Editor’s Note Wildcat Strikes, Intimidation and Work Stoppages Impact It’s hard to believe that another twelve months have Production, Exports come and gone, yet here we are in December. Silly Season is upon us in all its glory. BY ROGER HOUGHTON Looking at the past eleven issues of AutoLive, there were some valuable in- The South African motor industry endured sights into the local industry, a series of wildcat strikes, intimidation as well as plenty of valuable lessons to be learned. and unprocedural industrial action during In January we revealed that the annual downward trend November which caused work stoppages in total new vehicle sales, which had prevailed since 2014 and impacted negatively on production and in South Africa, had been arrested, at last! Sales in 2017, at exports. Toyota (twice), Nissan and BMW 557 586 units, were only 1,8% higher than the total for 2016, were among the operations impacted. The but at least it was an upwards movement. attack on the Nissan factory in Rosslyn, In our March edition we shared WesBank CEO which included breaking open the main Chris de Kock’s sales forecast for 2018. He predicted that gate, was an initiative by the Economic Wesbank’s Ghana Msibi. there would be grown of 0.75%. Not really an inspiring figure Freedom Fighters (EFF), which is worrying. but a positive one nonetheless. This type of action is certainly not or 78.4% represented sales through the If there was ever any doubt about how important the au- confidence-building for source companies dealer retail channel, while an estimated tomotive industry is to the South African economy, the 2018 which have recently committed to the 16.3% of sales went to the rental industry, Automotive Export Manual (featured in AutoLive in May) extended Automotive Production and 3.5% to government and 1.8% to industry provided some valuable insight. Total automotive industry Development Programme (APDP). These corporate fleets. exports for 2017 amounted to R164,9 billion and comprised a disruptive actions are also concerning in the The new car market at 31 054 units significant 13,9% of South Africa’s total export earnings. light of negotiations on wages and working meant a fall of 5.4% compared to the figure In July we discussed how rapid technological advance- conditions for the vehicle manufacturers for November 2017. The rental industry once ments in the global manufacturing landscape have changed and component manufacturers due in 2019.