Stellantis Dealers Make Urgent Plea For Help

Key Takeaways

Stellantis dealers are facing huge issues due to low sales, seeking urgent help from management.
Insufficient allocation of desirable trims and lack of entry-level models are among the problems.
Solutions are reportedly in place, with price cuts and cashback programs already rolled out.

Stellantis dealers in the US have been facing a huge problem – apart from the massive recall announced last month, Americans haven’t been buying their vehicles as much as they wanted to, leading to inventories piling up. They have been urgently pleading for help from Stellantis management, which led to a conversation between the Stellantis National Dealer Council and Stellantis CEO Carlos Tavares, Automotive News reports.

Jeep

Jeep is an off-road SUV brand with roots dating back to World War II when off-roaders were known as jeeps (from GP or General Purpose vehicles). Willys-Overland Motors took the concept mainstream by launching versions for the public to buy, and the brand has built a reputation of being te purest off-road-focused brand ever since. Iconic models like the Wrangler and Grand Cherokee have been staples in the lineup, and the brand currently lays claim to having the best-selling plug-in hybrid in America, the Wrangler 4xe.

Founded: 1943
Founder: Willys-Overland Motors
Owned By: Stellantis
Current CEO: Antonio Filosa

Kevin Farrish, chairman of the Stellantis National Dealer Council and owner of Farrish Chrysler-Jeep-Dodge-Ram in Virginia, told the publication that the main issue was the insufficient allocation of desirable trim levels of certain models. This has already been brought to Tavares’ attention, with both parties already working on a solution to recapture the automaker’s market share.

Dismal H1 Numbers

Based on the latest Stellantis sales figures, almost all brands in the US experienced dwindling demand during the first half of 2024. With the exception of Fiat and Alfa Romeo, Stellantis brands recorded at least an 8% decline compared to the same period last year, with Ram and Dodge experiencing 26% and 16% decreases, respectively. The discontinuation of some models, like the Cherokee and Renegade, also posed challenges for dealers, leaving them without entry-level models in the range.

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“They had a $350 payment on a Cherokee. I can’t move them to a $650 payment on a Grand Cherokee, so I don’t have anything to offer them,” David Kelleher, owner of David Chrysler-Dodge-Jeep-Ram in Pennsylvania, told Automotive News.

Working On A Solution

Solutions were reportedly in place after the dialog between the dealers and Stellantis management. The automaker has also rolled out price cuts, notably a $2,000 to $4,000 discount on the Grand Cherokee. A Summer Select Inventory Bonus Cash program kicked off this month, offering up to $2,000 cashback. Hopefully, one of those solutions doesn’t include axing the SUV’s V6 and V8 engines.

Stellantis Could Get Rid Of Pedals With New Steering Yoke

This seems a little futuristic and very unnerving, but perhaps Stellantis is onto something here.

“We’ve been working very closely with Stellantis leadership to better serve our customers by providing the mix of products they desire and at competitive pricing,” said Farrish. “It’s been a very open, collaborative effort working together as a team, and we’ll continue to tackle these important issues together on behalf of our customers.”