Fiat Chrysler plans Lancia to be a single-model brand by 2016

Article by Christian Andrei, on May 28, 2014

Fiat Chrysler Automobiles chief executive Sergio Marchionne has decided to build and market only a single model for the Lancia nameplate within two years. Fiat Chrysler plans to sell Lancia’s sole model – the Ypsilon -- only in Italy. Lancia, which allure has slowly faded in time -- became expendable in Fiat Chrysler’s quest to gain global recognition and volume.

Gianluca Spina, dean of Milan Polytechnic's business school, told Bloomberg that Marchionne’s decision to downsize Lancia is a rational decision for a global carmaker since the brand has no appeal outside Italy.

The Fiat Chrysler CEO is instead focusing on expanding its upscale Alfa Romeo and Maserati brands and on introducing Jeep vehicles around the world as he bids to end the carmaker’s financial bleeding in Europe and increase its global profits.

Fiat Chrysler has earmarked EUR55 billion ($75 billion) in investments in its five-year business plan, but Lancia is nowhere part of that overhaul because it lacks name recognition outside Europe.

Lancia once built popular curvy roadsters like the Aurelia Spider, and now has seen its present lineup trimmed to basic hatchbacks. Fiat had tried to revive demand for the brand by placing the badge on Chrysler models, but efforts failed with sales dropping 20 percent in 2013.

A person privy with the Fiat Chrysler’s business plan disclosed that by 2016, only the Ypsilon subcompact will remain in Lancia’s line-up. The carmaker will phase out sales of the Lancia Delta this year and the Voyager minivan in 2015, as Chrysler halts re-badging of models for the brand.

Fiat Chrysler plans next year to redesign the Ypsilon, which has been of its top-selling models in Italy in the past decade. [source: automotive news - sub. required]

Topics: fiat, chrysler, lancia

If you liked the article, share on:

Comments

Login or Create new account to add a comment!

Recommended

The Shooting Brake is probably the least rendered body shape in the automotive world. But it’s also the most sought after design among car nuts for its unique, old-fashioned charm....
by - January 23, 2017
Perhaps to make the upcoming Valentine’s day more special, Tinder dating app and Ford UK have cooked up a special blind date for all the single blokes and chicks in...
by - January 23, 2017
2017 is undeniably a very busy year for BMW. After introducing the new 4-Series, the German automaker has just released several new updates. In relation to this, BMW is also...
by - January 23, 2017
The renowned Shelby Super Snake is now 50 years old! As we greet the Super Snake a “happy birthday” or a “happy anniversary,” Shelby itself is celebrating half a century...
by - January 23, 2017
Nearly a year after the Subaru XV Concept was unveiled at the 2016 Geneva Motor Show in Switzerland, this SUV study is making its North American debut at the 2017...
by - January 23, 2017
Facebook

Youtube Channel

Tip Us
Do you have a tip for us?
Did you film an important event?
Contact us
Newsletter
Subscribe to our newsletter!
Subscribe
Galleries