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Chrysler turnaround depends on remaking car brands, turning heads
AUBURN HILLS, Mich. — Chrysler sold more than 118,000 Sebring sedans in 2001. Eight years later, the automaker barely sold 27,000 as its bankruptcy filing sent customers fleeing to the car's newer, better competitors.
Chrysler now has a turnaround plan that promises improved quality and a stream of new models. But it won't work unless Chrysler can get cars like the Sebring back on people's shopping lists. To do that, Chrysler is going back to the basics: Reinventing its car brands - Chrysler as a luxury line, Dodge as a quirky value brand - and reintroducing them with head-turning ads.
It's a tall order, but Chrysler insists it can be done.
"We've had troubles. Yeah. We saw death. But the whole world needs to realize we're serious about this plan," Dodge brand chief Ralph Gilles told The Associated Press in a recent interview. "We're no dummies. We know what a good car is and what a good car isn't."
Chrysler's truck brands, Jeep and Ram, have strong identities in buyers' minds. But its car brands are mushy, said Allen Adamson of the San Francisco-based branding firm Landor Associates. One of Chrysler's first actions under Fiat SpA, which took control of the automaker last year, was to split Ram truck from Dodge so Dodge could stand alone.
"What they need to do is quickly define what they want to stand for and then build on it," Adamson said.
Dodge will try to make a big splash with an ad during the Super Bowl next month. Chrysler Group LLC, which has yet to pay back $15.5 billion it borrowed from the federal government, is taking some heat for paying an estimated $5 million to air the ad. But the company says it's the best forum to explain Dodge's transformation.
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Chrysler needs to go back to Lee Iacocca's vision and the philosophies of the mid 90's. For the past several years, they have offered NO entry level vehicles. Cars such as the Omni-Shadow-Neon were great simplistic and low cost vehicles. This got the average Joe into the chrysler market. for the most part the quality was decent (except the Neon head gasket major issue). The old 2.2 had HG issues but they lasted a lot longer and were a relatively easy fix as long as the engine didn't overheat. As for engines, I don't think anyone could deny the the 3.3 as being one of chrysler's BEST most rugged engine since the 318 and slant six. Now look at the 2.7. What a POS IMHO.
Going back to the 90's the product excitement was abundant. the LH car, Neon, avenger, cloud cars, 94 truck, viper. However I hated the electrical with the Mitsler cars (avenger, talon)
Location: Tallahassee, Florida but missing Fort Myers
Posts: 903
Well, Dodge has the Caliber but it isn't like the Neon. So, I know what you're saying. The Neon just needed a redesign and a new name; like Chevy did with the Cavalier/Cobalt. They didn't need to scrap it completely.
My idea of distinctive styling is not only the Jag, but the old Mercedes 450SL. And for a real golden oldie, how about the 41 Lincoln Continental Cabriolet? --12 cylinders, BTW.
Also, DeSoto used to have some interesting styles.
Last edited by Jeannot; 02-13-2010 at 11:06 AM.
Reason: Addition
As Chrysler struggles to recover from bankruptcy with little new product, many have wondered how the company plans to get back on its feet. If you ask Dodge Brand CEO and Chrysler Chief Designer Ralph Gilles, they'll do it by emulating Apple.
Speaking to the Economic Club of Chicago at their annual Chicago Auto Show luncheon yesterday, Gilles said that Apple CEO and co-founder Steve Jobs is his hero and that Chrysler should try to be more like Apple and return to its roots in building innovative new vehicles. While getting back to the strategies that helped them invent the minivan and other notable segment-busters, Gilles said that Chrysler must avoid building more one-hit wonders like the Pacifica.
"The problem is that every one of those vehicles were one-hit wonders," said Gilles. "We can't do that anymore. The philosophy at Chrysler is to do every vehicle that way. Branded design is everything -- separating into four distinct brands. We've had too much overlap, too many products that were alike."
Speaking more specifically about product, Gilles said that the next-generation Jeep Grand Cherokee is due out in three months time and that the little Fiat 500, the first Fiat vehicle to make it to the U.S. through Fiat's acquisition of Chrysler last year, will go on sale by the end of this year. Gilles also announced that the next-generation Chrysler 300 sedan will arrive by December.
"Hopefully, when you see that car, grown men and women will have tears running from their eyes," Gilles said of the 300. "Hopefully, when you see the car, you'll say, "Go America!"
Chrysler turnaround depends on remaking car brands, turning heads
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