Chrysler & Lancia tie up!

[toby2449]

Chrysler and Lancia brands to share products in Europe
Luca Ciferri
Automotive News Europe
October 6, 2009 10:31 CET

TURIN -- Fiat S.p.A. aims to integrate more closely Chrysler brand with its upscale Lancia marque in Europe with the two brands likely sharing products from small hatchbacks to large sedans. The appointment of Lancia CEO Olivier Francois as Chrysler brand boss is a step toward the goal, a source at the Italian company said.

Chrysler and Lancia in the near future will share products and distribution in Europe, the source who has direct knowledge of the matter told Automotive News Europe.

Lancia could derive a replacement for its Thesis flagship from the next-generation Chrysler 300, the source said. Lancia stopped building the seven-year-old executive sedan in the summer.

Fiat also is looking at other product sharing opportunities for Chrysler and Lancia.

Lancia could get a car derived from the Chrysler Sebring successor and Chrysler could get a version of the next-generation Lancia Ypsilon small car, due in Europe late next year.

Upscale Chrysler

Chrysler brand's former CEO Peter Fong said earlier this month that Fiat aimed to take the brand more upscale toward Cadillac.

On Monday, Fiat and Chrysler Group CEO Sergio Marchionne replaced Fong with Francois as Chrysler brand CEO in a shakeup that also saw the head of the Dodge brand, Michael Accavitti, leave the company and the creation of a Ram truck brand.

Francois keeps his job as Lancia CEO and stays head of marketing for Abarth, Alfa Romeo, Fiat, Fiat Professional light vans and Lancia.

He will also coordinate worldwide marketing strategies, brand development and advertising for the Chrysler, Jeep, Dodge car and Dodge Ram brands.

Lancia sold about 110,000 units a year from 2005 to 2008. From January to August, Lancia's Western Europe sales were flat at 79,683 units in an overall market that declined 6.6 percent, according to ACEA, the European automakers association.

Francois, a marketing expert, is credited with keeping the brand's sales stable during the economic crisis, helped by some very successful advertising campaigns.

Lancia's advertising has featured Carla Bruni, wife of the French president Nicolas Sarkozy, and Hollywood actor Richard Gere.

Francois, a Frenchman, joined Fiat Group Automobiles in 2005 from Citroen, where he was the French brand's Italy chief.
 

[Neil]

Is this good for Lancia (FIAT)?   Chrysler's previous relationship with Mercedes failed.... 

[fay66]

Depends if the emphasis is on the Lancia Brand or Chrysler.

Brian
8227

[fensaddler]

Two observations.  The Sebring is not a good car - I fear for any Lancia based on it.  Francois has a lot on his plate now, perhaps too much.

So, on balance, I'm worried.  Chrysler is a hugely tarnished and downmarket brand, with products that have, rightly, had a poor reception in Europe.  I see far more in this for Chrysler than I do for Lancia, though if they can use this to expand Lancia into North America, there may well be benefits.  However, given US tastes in cars, one wonders...

[toby2449]

i actually think this might be a good deal for Lancia. Chrysler get the small Ypsilon replacement & in return Lancia get a chassis to base their replacement to Thesis, & it'll most definitley be RWD. The Thesis ofcourse wasn't going to be replaced at all, Delta becoming the largest saloon/hatch Lancia make.

i would agree the Sebring is a woeful product, but i think we can all hope when FGA head a replacement that any Lancia based on the car will be good enough to wear the Lancia badge.

Not sure how far along the replacement for the Phedra is, but i would think that as the next generation Phedra isn't going to be a collaboration between PSA & FGA then Fiat could use the Voyager /Grand Voyager platform?

Plus Lancia have no 4x4, & i feel there is still a market for 4x4's, so teaming up Chrysler gives Lancia (but more importantly the entire FGA) access to ready made 4x4 technology!

Lancia making a return to the US might be some way off though, i can't see it happening personally

[lee69]

Lancia-Chrysler update

It appears that it's highly likely that versions of Ypsilon and Delta will be sold in the US as Chryslers and that the replacement for the 200C Sebring will be developed as a Lancia for Europe. In Europe Lancia and Chrysler will share supply chain, distribution and retail operations.

Fiat is cancelling all vehicle assembly contracts for Chrysler with Magna in Austria, the winners of the battle for Opel-Vauxhall.

Fiat have taken over Bertone's Grugliasco plant near Torino, which will become the new home of Lancia and Chrysler's European niche models including the 2011 replacement for the 300C, which will simultaneously be developed as a flagship Lancia saloon.

Sounds like Fiat are creating a viable standalone business that can be sold off in future years.

Does this mean that we'll see Lancias on sale in the UK - I hope so, with an existing Chrysler/Dodge/Jeep dealer network and no need to implement Fiat UK's original plan of selling Lancia through select Alfa Romeo outlets. This makes for an interesting mix of brands at some existing Chrysler franchises - our local one (Drayton Group) could see Chrysler, Dodge, RAM, Jeep, Mercedes-Benz, smart and Lancia all on the same site. I imagine that there'll be some 'rationalisation'.

[lee69]

Not sure how far along the replacement for the Phedra is, but i would think that as the next generation Phedra isn't going to be a collaboration between PSA & FGA then Fiat could use the Voyager /Grand Voyager platform?

I think Phedra replacement is too far down the development process to be scrapped for a Chrysler-based replacement. Also the Minivan division is being split from Chrysler into the new RAM brand.

[sllim1946]

Lancia-Chrysler update - Lee, just seen your post - your "standalone" - is this this the high performance version of  Nuova Delta or C300???    !!!

[Scarpia]

as far as I'm concerned there is no lancia any more if this happens. Everything Lancia ever represented would have no meaning any more for me . I cannot imagine a more depressing end to the story.......US cars are the opposite of everything that made Lancia what it is, style , technical excellence and emotion... .

[jimb]

Yes, I can't see the "standalone" being anywhere as good as the Fanalone.

Jim

[HPEHF]

Posted today on Italiaspeed, Chrysler is to show 2 Ferrari's on their stand at the Detroit show, as well as a New Delta, but fiotted with a Chrysler corporate nose!!!

Regards

Simon Davis

[sparehead3]

Guess there won't be a saab version though this time .....

[lee69]

It's rumoured on a few US forums that the US Delta being shown at Detroit later this month is going to be called Chrysler Nassau, a name used on a recent Chrysler concept.

There's a rough pic of the Delta with the Chrysler nose on this site : http://www.burlappcars.com/ - scroll down for the story.

And there have been a few photoshop creations popping up on the net, here's one site http://www.worldautosguide.com/2009/11/2012-lancia-thesis-envisioned-as.html - Lancia Thesis based on 200C and new Phedra based on the Town & Country. I'm going to put my head above the parapet and admit that I quite like the look of the "Thesis", although I think the Thesis name should be reserved for any model based on the bigger 300C platform.

Happy New Year all!

[lee69]

Australian point of view on the Lancia-Chrysler merger:

"By using the Chrysler name you will only attract Biffs who want crude tough cars when they drive to pick up Shazza from work at the first and last hotel."

"Despite there currently being no right-hand drive Lancia models, Mr Marchionne is reportedly interested in expanding into the right-hand drive UK market and combining the two brands throughout the world."

More here: http://www.caradvice.com.au/53955/lancia-back-in-down-under-says-ceo-chrysler-australia-tight-lipped/

[lee69]

Some well informed comments on this webpage - the Europeans sticking up for the marque - anyone we know, particularly with a knowledge of Beta ;-)

Scroll down for comments:

http://carscoop.blogspot.com/2010/01/shhhh-chrysler-badged-lancia-delta.html