Chrysler to Dodge mainstream

Lawrence Good says dealers are geared up to profit from selling the group's iconic American brand alongside Chrysler and Jeep

By JAMES DALLAS
WITH THE long awaited arrival of the Dodge brand in showrooms from July, the Chrysler Group looks as though it could finally be ready to make a significant mark on the UK market.


Dodge lines up alongside two other equally iconic American brands, Chrysler and Jeep.
In 2005 the group claimed Dodge sold 1.4 million vehicles worldwide. With a market share of 7 per cent in its domestic market it was the fifth biggest nameplate in the US – bigger than Chrysler and Jeep combined.
The Chrysler Group is targeting a 1.4 per cent share of the European market for its three brands within two years.
The first Dodge model to arrive in the UK, the Caliber, aims to attract a “significant minority” of C-segment buyers looking for an alternative to the staple fare of mainstream lower-medium models such as the Ford Focus, Vauxhall Astra, Volkswagen Golf and Peugeot 307 as well as competing against smaller volume players such as the Mazda 3.
Dodge will be sold alongside Chrysler and Jeep at all 88 UK dealerships.
Having laid the groundwork for the arrival of Dodge, former UK chief Simon Elliot has moved on to head up Chrysler Group's operation in the Far East and the company is expected to announce the appointment of a new managing director within weeks.
In the meantime the UK business is being steered by marketing director Steve Gray and sales director Lawrence Good, who talked to Motor Trader about his expectations for the Chrysler Group as it stands on the threshold of a new era.

Have all the dealers in your network made the investment necessary to take on Dodge?
LG: Yes, there is a real desire for Dodge in the network.
The dealers have been taken through the whole planning pack for the next three years. Only minimal investment was required, the facilities were ready to go.
We are looking for the opportunity to increase volume and the impact on profitability could be enormous – particularly in aftersales.
The aim is to put the volume through the existing network and our dealer partners are up for it.

How different will it be selling and marketing the Caliber compared with the other two brands?
LG: The two other brands don't have a car in this segment. The Caliber is very much a niche player – less than 1 per cent of a huge segment – so the approach to market is similar.
Buyers are quite considered, they come with a checklist, but the Caliber stands out from a styling point of view.
We have a huge range, from Jeep to MPVs to the 300C executive so there is adaptability in the network. The dealers have been trained and are more than capable of selling the Caliber.
With Jeep we've always had to punch above our weight because lots of new 4x4 brands have come in. BMW, Volvo and Mercedes have all brought out SUVs. They have eaten our lunch a bit.

What is your sales forecast for the Caliber?
LG: Five thousand to 7,000 in the first full year.
Will Dodge push market share for the three brands above 1 per cent?
LG: The Dodge expansion will help to raise the Chrysler Group's market share in western Europe to 1.4 per cent by 2009. We will sell more than 20,000 units in the UK this year.
New products are coming in and existing products are holding their own. We have a D-segment car coming in next year to exploit the fleet market and we are optimistic of record years in 2006, 2007 and 2008.

Do you anticipate expanding the dealer network to cope with demand for Dodge?
LG: We have 88 dealerships now with five open points. We will talk to existing dealers about growth and then to new partners. We have no plans for standalone Dodge sites and will put the volume through our existing dealer network.
The biggest problem is (securing representation in) London. We're not going to be in the city but do have sites within the M25 at Romford, Hatfield, Epsom and Woking.

After the Caliber what other Dodge models will be launched?
LG: The Dodge Nitro mid-sized SUV comes in 2007 in diesel and petrol in right hand drive. The SRT-4 performance Caliber also arrives in 2007 followed by the as yet unnamed D-segment car.

How does the Chrysler Group's American heritage affect its reception in Europe?
LG: Well it's there and you can't deny it but the Caliber is not a stereotypical American car and in fact the Chrysler 300C stands out in the US as a non-American car.
We're not too worried as long as it's a positive Americanism, appealing to customers who like bold, muscular American styling.

Where will the Caliber fit into the UK new car market?
LG: The Caliber will find its own level. As well as the C-segment it could also compete against models from the lower level of the D-segment.

Will Dodge appeal to fleet as well as retail customers?

LG: We have been very good at selling to people who want to associate with the brands but we haven't been so good at selling to the corporate market. Initially the Caliber will be a retail car until it's established – 35 per cent will be fleet in the first full year.
We'll have 20 dedicated corporate dealers from 1 June.

Lawrence Good
fact file

Job Title: Chrysler Group sales director
Age: 45
First Car: Mini 1000
Favourite Book: Spike Milligan's autobiography
Favourite Pop Group: Blue Nile
Favourite Film: Empire of the Sun
Favourite Newspapers: Yorkshire Post, Daily Telegraph
First Job: Production planner for timber company in Doncaster
Career: Spent 28 years in motor industry in sales and finance at Seat, Honda, Mercedes and Chrysler

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