This year, after several years of declining sales in its top market, Stellantis’ top priority for the United States is to succeed in increasing its retail market share.
In recent years, Stellantis sales in the United States have been monitored and in sharp decline, a trend that has affected both the retail and corporate fleet markets. Faced with this very situation, Antonio Filosa, head of North American operations, has publicly admitted that the company has made strategic mistakes.
To reverse the trend, Stellantis planned to take action using a revitalization plan that includes strengthening the management team. The company has put in place a new management team with a particularly specialized focus on the U.S. market. In addition, incentives and new products are proposed regarding purchase, and new models will be launched to attract consumers. Finally, the company also rehearses the reestablishment of relationships with dealers. In essence, Stellantis will work closely with dealers to improve vehicle distribution and sales.
Stellantis’ main goal, however, remains to increase its retail market share in the United States, a very important market for the company’s overall success. Filosa highlighted the great importance of this challenge, saying that “U.S. retail market share is our top priority.”
Stellantis numbers in the United States
According to annual public documents, the company’s overall market share in the United States has declined from 12.6 percent in 2019 to 9.6 percent in 2023. Leaders of Stellantis U.S. automotive brands, during separate interviews a few days ago, said they are facing a growth mindset for 2025, without which it is not possible to move forward. They also expressed great optimism about recent changes and the company’s direction. Bob Broderdorf, head of Jeep in North America, told CNBC that they have very aggressive strategies ready to take back the market. Stellantis’ sales and profits have been hit hard by the declines experienced by the Jeep and Ram Trucks brands in recent years.
Kuniskis also talks about Ram’s difficulties
The recent change of leadership at Ram revealed some of the situations the company has faced in recent years. Tim Kuniskis, former head of Ram, admitted that the brand has been going through quite a complicated period, with sales below expectations, particularly for the new Ram 1500 model. Kuniskis also pointed out the need to find a suitable balance for the strategy of meeting dealer needs and stimulating sales.
The priority that has been given to profits at the expense of market share, a strategy heavily used in recent months by former CEO Carlos Tavares, has been described as one of the main causes of Ram’s problems. This extreme focus on margins led to decisions that, according to some, distanced the company from the needs of the North American market, which consequently created the current situation, from which it is by no means easy to get out. We will see with the early months of 2025 whether things can take a positive turn in the United States, also confronting the newly elected Donald Trump.