William Maley
Staff Writer - CheersandGears.com
October 8, 2013
Fiat dealers have been feeling the strain since the brand started selling vehicles in 2011 and it appears that it is only going to get worse. Automotive News reports that only 45 percent of the 2010 Fiat dealers in the U.S. are making a profit. Moreover, the majority of those dealers happen to be tied in with other Chrysler dealerships. This means other dealers are losing their shirts if they don't have any other storefronts.
"I think most dealers have been disappointed in the performance of their Fiat dealerships," said Alan Haig, president of automotive services for Presidio Group.
Making the matters even worse is the large 24 percent decline in sales Fiat saw in September sales. This means sales so far for the year stand around 33,000 units, the same number as last year. Most of decline can be attributed to 500. As for the 500L, it still is too early to tell as it went on sale back in the summer.
"It's sad to say, but it's become a stepchild. Chrysler doesn't want to hear that, but that's the reality," said an unnamed Chrysler dealer.
Many Fiat dealers were counting on Alfa Romeo to help bring more people in. But a recent report says that the Alfa Romeo 4C will will instead be sold in Maserati stores. Add in the fair number of delays for other Alfa Romeo models, and many dealers are left wondering if they'll ever see the brand.
Now Fiat has said there is a new model that will help dealers "take the next step", but that will not happen till 2015.
Source: Automotive News (Subscription Required)
William Maley is a staff writer for Cheers & Gears. He can be reached at [email protected] or you can follow him on twitter at @realmudmonster.
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