Jeep details turnaround plan
Fiat Chrysler Automobiles Australia president and chief executive Kevin Flynn has outlined how the all-new Jeep Gladiator ute, Wrangler off-roader and soonto-be-relaunched Compass midsize SUV will underpin a new strategy designed to turn around the fortunes of the struggling American brand.
The recently appointed Fiat Chrysler Automobiles, FCA, chief also said the entire Jeep line-up would be revamped and pared back from 39 to 25 model variants as the Australian subsidiary worked to justify its position as a linchpin in Jeep’s global right-hand-drive markets.
In an exclusive interview with Goauto, Mr Flynn said the Gladiator pick-up that enters showrooms in May would stand alongside the related JL Wrangler launched mid-2019 as a beacon for the Jeep brand, with the incoming Compass standing as a redefined volume-selling proposition next to Cherokee and Grand Cherokee.
The aim is to rebuild Jeep’s position in the marketplace as a trustworthy and aspirational brand with sophisticated, capable and high-value products that are easily understood by prospective buyers.
And the intention is to achieve a substantial increase in sales, building up from the miserly 5500 units recorded last year to something akin to the 30,000-plus Jeep was racking up only six years ago.
“The beauty about Wrangler is just the sheer capability and the unique credibility of the vehicle in both urban and non-urban environments. It shouts capability and it goes right back to the DNA of Willys Jeep back to the 1940s,” Mr Flynn said.
“The company has such respect for Wrangler and therefore we have this continual development. That is why we got the new JL – a massive leap from the previous generation JK.
“So Jeep can’t be anything without
Wrangler being a core part of what we are and I love that. We understand that it is our core and we understand that it is a real flag-waver and everything fits in from there.
“Now Gladiator is coming in May and clearly what we have here is a lifestyle truck, which is where we are aiming it.
“It has all the capability of a Wrangler baked in a unique package. The door, the roof, the screens; everything comes off so it is a unique vehicle for living the Jeep lifestyle.
“As a first step, we have gone through the entire simplification of our line-up. We had 39 different versions of our products in the marketplace and we are taking that down to 25.”
Mr Flynn said this was aimed at reducing complication for customers and dealers and eliminating variants that no-one wants.
“What we have seen, even though the volumes have not been what we have desired, the entry lower-specced vehicles are no longer in demand,” he said.
“We have looked at all our models and asked what could we add in terms of safety features and rightsized screens and that sort of thing to increase the appeal, and then how do we realign that to make sure we have a series of models which satisfy those demands?
“It makes it easier for the dealers, the customers and us to work with.
“So that is all being rolled out model range by model range.
“We have realigned Grand Cherokee and some fresh variants are coming through right now.
“In terms of model lines, I have two groups of vehicles. I have Wrangler and Gladiator and then I have Compass, Cherokee and Grand Cherokee.
“So now we are going to start with Grand Cherokee Night Eagle as our entry option and everything below that is gone.
“The big one for me is Compass. The Australian Compass will come from India.
“We are selling them in Tokyo which is a very discerning market and the product holds up very well.
“We have realigned the specifications and we want to relaunch Compass.”
Mr Flynn said Australia was the first country in the world to get the righthand-drive Gladiator.
“That places a big responsibility on us to do a good job with Gladiator,” he said.
“Australia is a key part of our company’s global strategy for right-hand drive.”