Penske still is enthused about selling Smart vehicles despite poor results

Article by Christian A., on August 29, 2010

In the year's first quarter, sales of Daimler AG's A-segment cars in the Smart product lineup were dismal but Roger Penske, chief of Penkse Automotive Group's Smart USA. Distributor LLC, said that he remains motivated.

While Penske disclosed that his dealers continue to be confident about the brand's future, he believes that Daimler would have to try to be like BMW AG's Mini brand in evolving a market plan that comes up with derivatives to expand the Smart product portfolio.

Penske says that Ward's Daimler has the right to buy back a 50% share of the exclusive Smart distribution operation after five years.

Penske said that he'd be happy to sell it to them. However, Penske doesn´t appear eager to abandon his exclusive arrangement.

Daimler has yet to confirm this arrangement. Daimler's spokeswoman said that the details of the exclusive contract's duration and maturity are confidential because they only concern the contractual partners. Smart sales dropped to 1,397 for the year's first quarter, compared with 4,937 units in 2009, according to Ward's data.

Still, Penske insists dealers have not defected and that he confident about the staying power of the Smart brand in the US. Penske declined to talk about the derivates of the additional models expected to be added to the Smart portfolio.

Earlier this week, Daimler signed a deal with Renault SA and Nissan Motor Co. Ltd. to work together on future small cars, including next-generation Smarts due in 2013.

Topics: penske, smart, sales

If you liked the article, share on:

Comments

Recommended

Motorists in the United Kingdom who intend to purchase the new 2018 Hyundai Kona subcompact sports utility vehicle could start placing their orders on November 2, 2017. Marked by Hyundai...
by - October 18, 2017
For many years, Lamborghini has always relied on the use of large and powerful engines including the V10 and the V12. In fact, the company’s very first engine in the...
by - October 17, 2017
You can now get the Opel Crossland X that’s LPG-powered if you are not a fan of diesel. Recently, the company released their version of the Peugeot 2008 equipped with...
by - October 17, 2017
As seasons change, temperatures rise and fall. The changes affect our preferences when it comes to driving cars. Therefore, Aston Martin introduces the new DB11 Volante or convertible, and it...
by - October 16, 2017
Aston Martin may be known for building many of the stylish Bond cars we see on the big screen but nobody really knew how it can get super aggressive when...
by - October 16, 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