Andrew Humberstone, who became managing director of Fiat UK in November 2007, claimed the 500 will be a “brand defining” car like the Focus is for Ford and the Golf for VW.

“There is room for improvement in the operation,” said Humberstone.

He said a car such as the 500 “happens only every 20 years in terms of desirability”.

There was a need to introduce best practice “right down to the dealer network”, which Humberstone said must take “significant strides” in the months to come.

Humberstone said Fiat would “hit the ground running” in 2008 with the 500 becoming the “perfect catalyst” to raise the profile of the Fiat brand.

“Fiat must become better known,” he said.

He said the flagship showroom opened in central London's Wigmore Street late last year to coincide with the 500 launch set the benchmark for customer standards for Fiat in the UK.

The TV ad campaign for the 500 aims to establish the model as a design classic (like the 1957 original) by equating it with other “everyday masterpieces” such as a teabag, pencil sharpener and HP sauce bottle.

Other than the style factor however, Fiat is keen to highlight the 500's safety credentials.

It is the first city car to gain a Five Star Euro NCAP crash test rating.

Humberstone argued that the UK economy was fundamentally sound but said the current economic uncertainty would make the 500 – priced from £7,900 and with “amazing CO2 emissions” – even more appealing.

He said the brand would benefit from the strength of its range overall in the small car sectors.

Fiat UK consolidated its 2.5 per cent market share last year with sales of just over 59,000 following a 60 per cent leap in volume between 2005 and 2006. The company expects the 500 to contribute 18,000 sales this year but said volumes would be determined by supply.

From a product point of view Humberside claimed: “We're in the best position we've been in for 50 years” - and he is set on making sure the brand has a retail operation to match.

Fiat currently has 169 UK outlets having undertaken “a lot of cleansing” and aims to have 200 within two years.

Humberside said a key focus in retaining customers would be the aftermarket.

“If you don't have solid aftersales you can sell as many cars as you want but you won't have longevity. If we fix aftersales we will make an impact.”

He said it was vital for the dealer network and the carmaker to work as a partnership.

Humberstone acknowledged Fiat needs to improve its models' residual values and the cost of ownership to customers.

“The 500 will keep its value,” he claimed. “We need this across the range.”

In terms of his vision for the Fiat brand in the UK Humberstone said: “It's time to make the quantum leap.”