Chrysler's need for speed
Both Ford and General Motors have had to adjust their product line-ups in recent years to deal with buyers shifting away from truck-based vehicles. The Chrysler Group has had a harder time doing this.
More efficient engines and vehicles are in the works and so are more car-based crossover SUVs. But Chrysler Group has products in the planning stages that competitors already have in showrooms.
And some new products, like the Chrysler Sebring sedan, don't leap ahead enough to keep up with competitors.
Along with Honda and Toyota, Chrysler's dominance of the minivan market has been so thorough that GM and Ford have simply given up. Of course, GM and Ford have dropped their minivans in favor of more crossover SUVs, which have been gaining in popularity. Seen in that light, their retreat is more of a strategic redeployment to where the customers actually are.
Chrysler, meanwhile, remains king of minivan island. And even though the minivan market is declining, it's not a position Chrysler can afford to lose.
Redesigned Chrysler Town & Country and Dodge Caravan minivans are coming out soon. Changes are subtle on the outside. The lines are sharper but certainly won't surprise anyone.
Inside is where you'll find the new stuff. Chrysler has added a nifty feature it calls "Swivel-n-go" seating. The second row seats can be turned around to face toward the third row seats and a table, stored under the floor, can be set up.
Whether that, and more subtle changes, will be enough to continue competing against Toyota's vaunted reliability and Honda's famously sporty ride and handling remains to be seen. Meanwhile, Korean cousins Hyundai and Kia have also entered the market with lower-priced products.
Was it an SUV? (It looked like one from the front.) Was it a minivan? (It looked like one from the back.)
Car shoppers finally caught on and the Pacifica found its market. But then came the competition.While some of Chrysler's competitors are gorging at the crossover bar - Ford just uveiled a fourth, not including Mercury and Lincoln variants - Chrysler is just starting to fill its plate.
Besides the big Pacifica, Chrysler's Jeep division has the small Compass. The Jeep Patriot, a taller version of the Compass with more of an off-road bent, is just hitting the market now.
Chrysler's Dodge division still has no crossovers. (The Compass's close cousin, the Dodge Caliber, is marketed as a small car.)
Chrysler does have more crossover SUV products in the planning stages, but the company isn't ready to discuss them in detail.
Meanwhile, Chrysler Group has found some surprising success with smaller truck-based vehicles. The Dodge Nitro, derived from the 2008 Jeep Liberty, is selling relatively well, according to Tom Libby, an analyst with Power Information Network, and the four-door Jeep Wrangler Unlimited has been a runaway hit.
The Fusion isn't particularly fancy. There are no gimmicks. It's just a handsome, well-engineered, reliable product that offers buyers a viable option to the Japanese standards.
This year, Chrysler came out with a redesigned Chrysler Sebring and the just-introduced Dodge Avenger. Critics are calling the Sebring OK, but not great. Consumer Reports named it one of the "Most Disappointing" new cars. At any rate, the Sebring doesn't look like the home run shot that was needed here.
Where Ford offers an advanced six-speed transmission, Chrysler still gives you a four-speed. Where the Fusion's handling and steering are just slightly softened from the razor-sharp Mazda6, the Sebring drives more like an old-school family car.
In other words, aside from an optional heated-and-cooled cupholder, the Sebring merely keeps pace, offering little that's really new or better.
The convertible version of the Sebring, due out soon, is entering a tougher convertible market than the one its predecessor once dominated handily. For example, General Motors now has the Pontiac G6 convertible and Volkswagen has the EOS, both relatively inexpensive hard-top convertibles.
The Sebring does offer buyers a choice of tops - cloth or metal - but this is going to be a tough fight.
Competition is really heating up one size below, in the B-class segment. Until recently, Korean manufacturers had the market segment to themselves. The Hyundai Accent and Kia Rio were battling against the Korean-made Chevrolet Aveo. Then Toyota brought in its Yaris and Honda came in with the Fit.
The contracts haven't been finalized yet, but Chrysler has decided to turn to a Chinese manufacturer for its entry in this market. The vehicle, possibly something like the Dodge Hornet concept shown here, will be built by China's Chery car company. Still to be decided are issues like whether the car will be engineered by Chrysler Group or Chery and whether it will be introduced elsewhere in the world first - like China - before coming here.
Relying on China to introduce a small car could be a dangerous strategy for Chrysler, though, said David Zatz, editor of the Chrysler Group watchdog site Allpar.com.
If the Chinese car isn't good, that will obviously be bad for Chrysler. But if it is good, and consumers learn they can trust a Chinese manufacturer, Chrysler could be offering a hand up to one more potential competitor, said Zatz.
GM has recently redone its GMC Sierra and Chevrolet Silverado with award-winning results. Ford is close to redesigning its market-leading F150. And Toyota has just entered the fray with its new full-sized Tundra. GM and Ford truck buyers are famously loyal, too, so the Ram looks like the weakling Toyota could target in this herd.
After that, General Motors announced it was bringing back the Chevrolet Camaro and Chrysler announced the return of the Dodge Challenger. Unlike the Mustang, both those nameplates were solidly in the grave so the revival will take some time. Don't expect to see them until next year.
Both will be at least as important for their brand-building emotional boost as for any sales revenue they generate.
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