Fiat Group

14.11.2005 Fiat CEO Sergio Marchionne has given an fascinating insight into the future of Fiat Auto's specialist brands - Alfa Romeo, Lancia and Maserati - during an interview with Luca Ciferri for Automotive News Europe today (ANALYSIS - PART 1)

Fiat Group and Auto CEO Sergio Marchionne has given an fascinating, brief insight into the future of Fiat Auto's three specialist brands - Alfa Romeo, Lancia and Maserati - during an interview with Luca Ciferri published in Automotive News Europe today. During the interview Marchionne discusses the recent senior management changes he made at Alfa Romeo, the underlying strength of the Lancia brand and its optimistic future, and the problems facing Maserati's long-term quest to reach an annual production target of 10,000 units.

Luca Ciferri firstly suggests to Marchionne that he has lost confidence in Alfa Romeo and asks what are Alfa's problems and the possible solutions?
"The Alfa issue is complicated and simple at the same time," Marchionne replies, "Alfa is a great, world-renowned brand, but it is selling fewer cars than planned. To address the problem, we recently announced a change of leadership. Dampening speculation that Karl Heinz Kalbfell is set to leave the company after loosing overall control of the Alfa Romeo portfolio, Marchionne states that the former BMW and Rolls-Royce executive "will concentrate on Maserati and on the future strategic development of the industrial and commercial alliance between Alfa Romeo and Maserati, the now-designated "polo sportivo" of Fiat group." Meanwhile Marchionne adds that "Antonio Baravalle, who has done a great job at Lancia, will take over the day-to-day running of Alfa with his great commercial and marketing (ability)."

"For many years, neither the Fiat Group nor Fiat Auto CEOs believed Lancia had a strong future," questions Ciferri, switching his attention to Fiat's domestic-focused 'luxury' brand, "But you have approved three additional new models for Lancia. What has driven you to bet on an almost domestic brand in an increasingly global industry?" Marchionne's response is to affirm his well known positive view of the specialist, historic brand: "Lancia is a unique brand, truly Italian, stylish, a bit arrogant. It has a great past, it will be 100 years old next year, and no heavy legacy to deal with. Consequently, it is a perfect base for a new growth period."

He added: "I agree that in terms of sales, Lancia is currently too Italian, but, step by step, this will change. We aggressively attacked the French market this year and in 2006 we will approach Germany and Spain. In term of investments, it is a sustainable bet because Lancia's investments are incremental to the new models we are developing for the Fiat brand.

 
Maserati Spyder 2006

Adding some fact to the wild speculation which is currently raging around the engineering platform direction the next-generation Coupé and Spyder models will take, Marchionne states in the ANE interview that "The Quattroporte platform also will be  the  basis  of  a  new,  top  of  the  range  coupe"

Sergio Marchionne

Fiat Group and Auto CEO Sergio Marchionne has given an fascinating insight into the future of Fiat Auto's three specialist brands - Alfa Romeo, Lancia and Maserati - during an interview with Luca  Ciferri  for  Automotive  News  Europe


Another area of on-going speculation is right hand drive production, with Marchionne stating that "we are currently working to add right-hand drive versions to the next Lancias," adding that it would cost in the region of what he regarded as a "reasonable" 5.6 million euros to engineer a platform to this format, expected to start with the new Delta, scheduled to arrive in 2008. Right hand drive production would offer Lancia the option of returning to markets it abandoned fifteen years ago, including the UK, Republic of Ireland, Australia and New Zealand, while allowing it to target the new high-growth Eastern markets, such as India and Thailand, as well as Japan.

Switching focus to the third of the Fiat Auto brands, Maserati, Ciferri states that: "Maserati had been the most over-promised and under-delivered champion within the Fiat group. Every five years, the ten thousand units a year target is postponed for another five years. The latest target is now 2010. How will Maserati get there?"

"First, by strengthening its current product range, the Maserati Quattroporte is an excellent car, but it needs to be produced, for example, with a true automatic gearbox for the US market," says Marchionne, acknowledging a plea - that has come from its North American Dealer Network in particular - for a fully automatic version of the super-luxury saloon. Adding some facts to the wild speculation which is currently raging around the engineering platform direction the next-generation Coupé and Spyder models will take, Marchionne says that "The Quattroporte platform also will be the basis of a new, top of the range Coupé." Immediately he also put the Alfa-Maserati co-operation firmly into the spotlight by suggesting that - in his view - the Trident brand needs to make full use of the "Premium" platform (which underpins the new Alfa 159, Brera and forthcoming Spider models). "At the same time, Maserati is too small to have its own platforms so it needs synergies with other brands. I think the industrial cooperation with Alfa Romeo on the premium platform is the proper answer," Marchionne concluded the Automotive News Europe interview - published today - by suggesting that Alfa Romeo and Maserati "could" also work together on a new large 'crossover' type vehicle and that Alfa might consider building a small sportscar.
 

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Source: Automotive News Europe / © 2005 Interfuture Media/Italiaspeed