The Stellantis automotive group is continuing its reorganization efforts to better face the electric transition of its ranges. Thursday, November 24, 2022, the manufacturer thus revealed its intention to reorganize the brands and its network of dealers in Europe from July 2023. All contracts will be renegotiated regardless of the brand or brands of Stellantis (there are 14) offered by the dealers.
The idea is to reduce costs and risk exposure to better focus on the electrical transition. Electric vehicles in fact involve higher operational costs for the time being, which may hamper medium and long-term growth if efforts are not made to optimize distribution.
Stellantis is overhauling the structure between the group and the dealers to boost the electric transition
In the new relationship model that the brand wants, Stellantis will leave more control to the brands, in particular on the sales side, the prices charged and their contracts with professionals. The delivery and maintenance/after-sales service role of dealers will be reinforced. The brand explains in a press release:
“Stellantis’ vision is to promote a sustainable Distribution system that allows all stakeholders to benefit from these changes while keeping the customer experience at the heart”says Uwe Hochgeschurtz, one of the group’s managers in Europe.
And to add: “customers will be able to take advantage of a multi-brand and multi-channel approach with a wider range of services. Vendors will have a new, more efficient business model that aims to leverage Stellantis’ portfolio of 14 brands, create synergies, optimize distribution costs and offer additional sustainable mobility solutions. Our partners play an important role by being the representatives of our brands on the ground”.
This announcement is part of the group’s new Dare Forward 2030 strategic plan. Stellantis is aiming for carbon neutrality by 2038 – and a 100% electric sales mix by the end of 2030. the electric transition of its luxury and premium ranges, before electrifying the rest of its catalog. So that from 2026, Stellantis will only launch electric cars.
Beyond that, Stellantis is developing circular economy strategies that should facilitate the achievement of carbon neutrality. The biggest contractual changes will be applied from July 2023. Light commercial vehicles intended for professionals are currently excluded from these changes until January 1, 2024.