Stellantis developing new retail model in Europe as it moves towards its electric future

Stellantis, a global mobility player with 14 brands including Vauxhall, Peugeot, Fiat, Citroën and Jeep, is progressing at full speed in the execution of its Dare Forward 2030 Strategic Plan, with the ambition to be number one in customer satisfaction in all markets, in both products and services. 

The company’s vision is to promote a sustainable distribution model by relying on a performing, efficient and optimised Stellantis multi-brand distribution network. The environmental and regulatory changes are impacting the industry’s distribution model leading the brand’s line-ups towards electrification. 

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As announced during the Stellantis EV Day in July 2021, all Stellantis brands collectively target to achieve 100 per cent of passenger car battery electric vehicles (BEVs) sales mix in Europe by end of 2030. 

The company will have BEV-only launches in the luxury and premium segments as of 2025 and then roll throughout the portfolio. Importantly, all launches in Europe will be BEVs in 2026 and beyond.

Stellantis aims to be at the forefront of the change by allowing its network to adapt with a sufficient time-lead, in an increasingly more competitive context with new entrants.

Uwe Hochgeschurtz, Stellantis Chief Operating Officer at Enlarged Europe, said: “Stellantis’ vision is to promote a sustainable distribution model and all involved stakeholders will benefit from these changes with the customer experience at the core. Customers will be able to take advantage of a multi-brand and multi-channel approach with a wider range of services. 

“Retailers will have a new and efficient business model aimed at benefitting from Stellantis’ 14-brand portfolio, creating synergies, optimising distribution costs and offering additional sustainable mobility solutions. Our partners play an important role by being the representatives of our brands in the field.”

Stellantis and its business partners have been conducting co-constructive interactions to contribute to the development of the future model, considering the BER (Block Exemption Regulation) framework, with Austria, Benelux (Belgium and Luxembourg) and the Netherlands piloting the transformation process as of July 2023. The rest of Europe, including the UK, will progressively follow in the implementation of the new distribution scheme.

The comparative economic simulation with the planned model makes it possible to demonstrate at least an equivalent profitability, if not superior, for the network, while considering an increased assumption of costs by Stellantis and the reduction of exposure to the risks of our distributors.

In preparation for this shift, Stellantis’ organisations at the country level are part of this transformation flow and are designed to be more flexible and agile towards the new customer journey. 

This will create a more efficient and sustainable ecosystem capable of playing along the evolution of the automotive sector. Hopefully, this will make the transition to electric vehicles smooth for both dealers and customers alike. 

Stellantis recently announced an investment of over €300 million in its Kenitra manufacturing facility. This investment is aimed at doubling the site’s production capacity and launching the ‘smart car’ platform. This will include the production of electric vehicles. 

This enhanced capacity supports the company’s growth plans for the Middle East and Africa region. It will push production capacity to one million vehicles per year by 2030. 

Ian Osborne
Ian Osborne
Editor-in-Chief at ElectricDrives

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