RE: Smart and Peugeot in So. Fl
From: Nunez, George (George.Nunez@bsci.com)
Date: Wed 17 May 2006 - 07:51:50 EDT
A bit of trivia...over the weekend we saw a new silver 206 at the local supermarket, it had Mexican plates and a nice leather interior, alloys etc. then later a red Smart! We live far west, in the `burbs away from the tourist areas of Miami and South Beach where Smarts and scooters are rentals.
George N
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From: peugeot-L@yahoogroups.com [mailto:peugeot-L@yahoogroups.com] On Behalf Of p404c
Sent: Tuesday, May 16, 2006 10:51 PM
To: peugeot-L@yahoogroups.com
Subject: Re: [peugeot list] OT Alfa returning to N.A. 2007 model year *confirmed*--whither PSA?
--- In peugeot-L@yahoogroups.com, Jim Bartley <pei505turbo@...>
wrote:
>Recently, behind the scenes at the Montréal International Auto
>Show, there was talk that PSA was going to come back to Canada very
>shortly and was in the process of negotiating quietly for (a)
>Montréal area dealer(s) to spearhead the N.A. re-entry, via Québec.
That would be great if it's true, but the reality is that to certify
a car (even just one model) for Canada would require more than a
token presence in sales showrooms, to pay for the numerous Transport
Canada and Environment Canada modifications.
Mercedes-Benz certified the smart fortwo for Canada on the strength
of expecting about 1500 sales per year. When they panned out at
well over 4000 per year, the extra was gravy. The same will hold
true for any manufacturer, unless they are willing to have some BIG
loss leaders in the marketplace.
But for a carmaker like Peugeot, the idea of a low-key toehold in
Canada makes little - if any - sense. They need to come back BIG,
and if they don't, they'll go the way of Lada Canada.
Trivia: despite no obvious "French connection", more Peugeots were
sold in the Vancouver area than in Québec in the period 1974-1977
when Brasso was hawking 504s in Calgary and Vancouver. After 1977
Peugeot's sales in Canada became a token joke anyway....especally
when Chrysler sold 505s and then Autolion brought in the 405 in 1989
and then promptly went belly up. I have not noted any particular
cultural affinity towards French cars in Québec - certinly no more
than in BC - after all, the Québecois are North Americans first, and
very distinct from the French.
This trend is reflected in the sale of smart cars (built in Hambach,
France): BC - and Vancouver Island in particular - are by far the
car's hottest market. About 10% of all smarts in Canada have been
sold on Vancouver Island, which has a population of 700,000. At
this time, Canada is taking 10% of ALL smart production. Mercedes-
Benz Canada is stockpiling for the coming downtime when the factory
will be retooled for the new version of the fortwo, so the average
of 6% over the past 20 months would be a fairer representation,
though it is climbing.
The moral of the story is that Peugeot should follow the smart lead
and sell cars in all main Canadian urban centres, or at least
Halifax, Toronto, Montréal, Québec, Ottawa, Winnipeg, Regina,
Edmonton, Calgary, Vancouver + Victoria.
The problem will be finding willing dealers. That is where
Mitsubishi comes into the picture. I think there is a high
probability of Peugeot-Mitsubishi dealers being set up. Since
DaimlerChrysler cut them adrift, Peugeot has entered into a contract
to but some SUVs from Mitsubishi, which will be built in Japan and
sold as the Peugeot 4007. Mitsubishi dealers are struggling in
North America and so the injection of a few sexy French models (I am
thinking of the CC cars) would help. With the advent of ULSD here
this fall, the HDI models could be sold in 45 States, and all
Provinces. A test run of this marketing model in Canada would make
some sense, to work out the bugs in the sales, parts logistics,
servicing etc.
It seems that smart is about to be launched in the USA, after the
positive learning experience they've had over the past 20 months in
Canada. I know that other carmakers have been shocked by the
success of smart here, because it belies the stereotype that North
Amercans don't like small cars. VERY small cars, in this case ;-)
No doubt Peugeot would be aware of this, at some level....
Hmm maybe it's time for me to write J.M. Folz another letter.....
Mike Tippett
404 Coupé Injection
405 DL
smart fortwo cdi cabriolet
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