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Linea 125S or Abarth Avventura

Discussion in 'Car Purchase Queries' started by rusticnomad, Aug 4, 2016.

  1. prabhjot

    prabhjot Esperto

    Messages:
    2,444
    delhi ncr
    @kk27 @rusticnomad

    The problems are of chickens AND eggs variety: multiple vicious cycles. You are right about multibrand dealerships as the only way to break one of the main ones for the FIAT brand. That i believe is the very reason they're going to be switching many/most of the all-new JEEP ones as well as the current Fiat ones (in most of the bigger cities) into a multibrand format: JEEP, Abarth and FIAT. With a very easily implementable inclusion of the new Alfa Romeo-s (at Merc, Audi, bmw prices more or less) too at a later stage, in say 15-25 cities.

    The solution to the dealership viability/sustainable-profitability issue, though, imo depends TOTALLY on the relative, high-margins sales-'success' of the JEEPs, especially of the localized c-suv coming in mid/end-2017, and on a quick-cadence thereafter (the smaller Jeep renegade-like model+the all-new Fiats). It will not be easy, in fact it may be unlikely, since our car market is dar-pok and given to exagerrated fears and stigmatisations, ultra-unforgiving? It's good also that they're implementing a non-dealership service-centres model too, in more places: like drs motors in gurgaon, or rs motors in mumbai, and so on.

    However, Maserati and Ferrari (though perhaps Alfa might if they decide they want to eventually reach Merc and Audi like sales-scale in India) cannot be dovetailed into these multibrand, 'fca' dealerships. They're too exclusive and in any case can-exist only 5-8 cities foreseeably.

    FCA is immensely familiar with a multibrand dealership format: after all that is precisely how FCA usa's brands retail (C+Dodge+Fiat+Jeep+Ram), and in fact this has been the global strategy for fca, a very sales-growth successful one at that: Jeeps with Alfa and/or Fiat in LatAm as well as Europe and Japan, now China too (fca dealerships there are all very multibrand). Just a function of the multiple, focussed brands character of FCA, unlike most firms barring the vw group (which is close to double the overall size though.)

    A large advantage for FCA: being multibrand, when it comes to distribution, dealerships and service infrastructure sustainable-viability, quantity and quality. This advantage is being availed of by fca, and underpins most of its large sales growth currently underway in many markets (europe, usa, china, japan, turkey, latam), it is a work-in-progress as all-new brands and models get launched. It is now India's turn, what with the Jeeps launching here.

    It's great they're implementing it in India too, albeit that while it may work for the dealers and for Jeeps, it may not be quite redemptive enough for the FIAT brand, which has certain other burdens/stigmas/issues besides dealership and ASS fears, however real or exagerrated or false or self-fulfilling (e.g., the dealership struggles because so many think the dealership and the brand will struggle for sales not because there's anything wrong with the brand or the cars or their prices/value or the aftersales service.....)
    rusticnomad likes this.
  2. rusticnomad

    rusticnomad Amatore

    Messages:
    144
    Indore
    Indore
    Linea T-Jet
    Finally had a call from RM Western region late evening. He said: not every dealer qualify for "Abarth" :D
    Well, I told him that I will be curt in reply to that statement and told him there's a saying:

    "Beggars can't be choosers" If selling just 500 a month, these things don't add any glory to FCA as a brand in India. It only makes the sub-brand (Abarth in this case) die before it comes to life.

    Long story short, he said that he can arrange a TD if I am visiting any city where they have a dealer and assured to deliver the car where ever I want.

    Problem is Sanghi's are a big name in MP. Hyundai, Jaguar, Mercedes, Land Rover, Toyota, TATA -- you name it and they are a dealer. Wonder how easy it would be for FCA to get a dealer in MP with that sort of financial muscle. Let's see.

    My most probably move would be to wait till April 2017 when GST is supposed to come into force. Probably they may get a dealer in MP by then. If the urge to spend gets better of me/us here, then can't be very sure. I did talk of Jeep c-SUV possibility with my brother. All he said is "we are not politicians or dons". He doesn't seem to like SUV's at all. A sedan style fan all through ... doesn't even like Eco Sport, and we share all vehicles between us, so he has a say in all buying decisions. And, he has one more opinion. Says why the hell take a TD. Companies spend millions so they know what they are up to from engineering point of view. This is not the first car that we are buying so why are you insisting on a TD. Ask them the oldest Avventura Abarth car that's lying in their stock yard, ask for steep discounts and go for it :)
    --- Double Post Merged, Aug 25, 2016 ---
    I remember emailing Mr Mangesh about same idea, long back. Setup, get it to profit and then lease/sell it to any willing dealer.
    While on telecon y'day, I mentioned that why should I let a outstation dealer make money out of my purchase when 95% (maybe even 100%) of all servicing post sales support will NOT be handled by them. I was told that dealers make no money out of new sales. They only make money from servicing. Now that sounds a bit weird. Who would spend 5 crores if no money is to be made out of showroom.
    Last edited: Aug 25, 2016
    Turbothinghy and prabhjot like this.
  3. prabhjot

    prabhjot Esperto

    Messages:
    2,444
    delhi ncr
    @rusticnomad

    Your brother, sir, is right about the Abarth! ;-)

    Except about the 'politicians and dons', since these days every one seems to've adopted the big beefy loud 'suv style', consisting of other commodity signs too, beyond just the 'Jeep'.

    Power=status=wealth=size=loudStyle in a long loop, a kari?

    The vast vast majority of dealers of the following firms are in the same boat of getting-by (if at all) only on (marked up of course!) spares and service, pretty much: Skoda, VW, Nissan, Chevy, Tata (we'll see,, they've just 'rebooted') and many of Ford too. Oh yes, i forgot: BMW dealers are sinking fast and deep in the 'red' as well. Most of them invested far more than most the post-Tata independent Fiat ones (rents/size/locations) at a time when property prices and rents have been soaring relentlessly.

    In the notorious (from a certain dissatisfied old Assam/Jorhat Fiat customer's pt of view) case of Assam/NE, for example, it is notable that Guwahati + NEast has no vw dealer left (shut down), while Fiat has 2 (guwahati+nagaland i think) and 2 in Calcutta too, and had 2 even when those complaints were loud and voluble on this and other fora.

    The Jeep c-suv will be like a slightly scaled down Grand Cherokee, and a bit smaller than the Fortuner, 3/4 sized between say the Creta and the Fortuner? At least there is also real justification for 'Jeep'-s in MP, though: the (district) roads, heat, dust and wild-west road non-sense? :)

    Hope the sanghi motors thing works out for FCA, and for you, in MP. If it does, that is testament to the JEEP brand, and its strong desi implicit familiarity already, of course, FIAT would've stood no chance with them (from what you describe).
    Turbothinghy and rusticnomad like this.
  4. asimpleson

    asimpleson Esperto

    Messages:
    2,998
    Heptanesia
    Linea 1.3
    As mentioned in post #22 by @rusticnomad the situation is pretty simple to understand wrt dealership issues. As has been a long standing issue. A product/brand to sell needs a very good global reputation and local as well and needs much needed popular model sales and news in market and above all visibility on road as a not so risky car (brand or product).

    Change of perception issues is also a part of Indian psyche, where generally european cars aren't seen as fuss free and to add to that Fiat still doesn't appear as the best in technology to many. Rather a compromise brand with donno, don't care, why care from customer as well.

    And the marketing attempts still remain pathetic and also the failure to get mega success model atleast one or two to make it a household name. Perhaps a 'humara Fiat' kinda advertisement to make it feel like an Indian brand atleast appealing to the premier padmini days or ones before. And once again without a product and pedigree that's definitely for a niche seeking premium paying class yet unable to position itself clearly in a rapidly evolving market and client expectations and evolving buying capabilities that can startle great number of pundits who cannot speculate what Indians would like or embrace.

    Instead of making mega shifts in platforms or playing with best features or skimming out on fully loaded cars as sold in Europe, Fiat keeps selling off old stock like Punto Pure and further pushing the products into shoddy brand perception issues IMO if and for those who care to look at it or think of buying those.
    And instead of capitalising on bringing out cng kit versions rather than plane jane classics, which could have been embraced by taxi segment, they give no big reason even to the flourishing taxi operating companies partners/owners. You don't excel in price, looks, fuel efficiency and novelty, the future for mass markets is difficult to say the least. And no strong dealer/partner will be willing to push your product or willing to risk it looking at your inability to roll out new products quickly and in sync with customer expectations or atleast at market's pace. Return on investment in short term and long term both. You don't get to piggy back on dealer's back and U-turn from your policies every now and then earning yourself substantial disrepute in a capital intensive yet competitive market place. And further you don't have anything to show to dealer partner that you can be trusted in long term. It's ample evident from your terms and conditions.
  5. acechip

    acechip Superiore

    Its back to the same old argument eh? @rusticnomad IMO, the Avventura Abarth doesnt make much sense as a city-only car because of that cumbersome boot mechanism which inhibits parking. Perhaps you are better off with the Abarth Punto. Not sure how it performs with respect to speedbreakers and deep potholes though.
    rusticnomad likes this.
  6. rusticnomad

    rusticnomad Amatore

    Messages:
    144
    Indore
    Indore
    Linea T-Jet
    It's because of GC that AVVENTURA is preferred.
    asimpleson likes this.

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