Peugeot aiming to boost profits by creating upscale niche models

Article by Christian A., on August 26, 2010

To increase profits, Peugeot will be developing upscale niche models from volume platforms. One prime example of this strategy is the sporty RCZ, a 2+2 coupe that resembles the Audi TT.

The RCZ is based on a re-engineered application of the PSA/Peugeot-Citroen's mid-sized platform that underpins cars such as the 308 compact hatchback and Citroen C4 as well.

Magna Steyr, which is based in Austria, is the manufacturer of the RCZ. Magna Steyr, a unit of Magna International Inc., made its contribution to the car's engineering. 

The unit was awarded the production contract from rival contract manufacturers Heuliez of France, Finland's Valmet, Karmann of Germany and Italy's Pininfarina. Both Peugeot and sister brand Citroen are latching onto this trend of designing near-premium cars. Carmakers are doing this to generate extra revenue and higher margins by providing upscale niche models on mass-market platforms.

Peugeot will focus on exclusive limited-edition models while Citroen is preparing to launch the DS range. The RCZ is Peugeot's first limited-edition model line.

In an interview with Automotive News Europe last month, PSA brand boss Jean-Marc Gales said that Peugeot's second limited-edition car will be a station wagon variant of the single model that will replace the 407 and 607.

 This new model is slated to debut in 2011. A third low-volume car is expected in 2012, but details have not yet been made available. [via autonews - sub. required]

Topics: peugeot, profit

If you liked the article, share on:

Comments

Recommended

The primary suggestion of a 4x4 ute from French company Peugeot was first revealed in 2016. Fifteen months later, the production version is launched. Now, Peugeot is not shying away...
by - June 24, 2017
The new Jaguar E-Pace crossover will soon hold its official launch on July 13 and is expected to arrive at the showrooms by early next year. It couldn’t have come...
by - June 24, 2017
As prices of the original Shelby Cobra have skyrocketed into astronomical proportions, there are firms like Superformance that serve replicas to consumers who demand the same levels of performance at...
by - June 24, 2017
New and improved 2018 Subaru Legacy comes packed with a number of upgraded features from the get go - from the exterior to the interior. And the company has finally...
by - June 23, 2017
In an interview involving Lamborghini CEO Stefano Domenicali and Automotive News, the topic about the Urus was thoroughly discussed. This super SUV is scheduled to make its debut later this...
by - June 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