While the Fiat group may be suffering from somewhat of a sales slump in Europe, their sister company in the USA, Chrysler, is reporting booming sales and profits. Much of the US sales are attributed to the hugely successful stateside launches of the Fiat 500 and Fiat 500C ranges.
According to the latest set of financial results released by the Italian car brand, the Fiat Chrysler group has made nearly £1.7bn in the USA but has lost around £462m in Europe so far this year.
Estimates from the City of London indicate that Fiat could be losing as much as £12m every day due to the downturn in the new car market in Europe. It is expected that the release of new models within the expanding Fiat 500 family will go a long way in boosting sales in the coming year. New models within this range will include the stretched 500L and possibly some more limited edition versions of this popular car.
USA, Mexico and Canada – All Loving the Fiat!
In contrast to the situation in Europe, the Fiat Group’s performance in the USA, Canada and Mexico deliveries in the third quarter were up by 23% across the region, to 504,000 units. Sales were largely dominated by popular local brand Chrysler and the quirky Fiat 500 model. Overall, profits increased by around 47% to £484m.
The new 300 and 200 models saw Chrysler increase by 21% while sister brands Dodge and Jeep also saw increased in profit this year. Fiat has also been performing strongly in Latin America, with sales up to 271,000 units in this region.
Some of the success of the Fiat 500 in the USA has to be attributed to the level of celebrity endorsement that this quirky car has garnered. Jennifer Lopez was key in the launch of this small car, featuring in an ad that aired during the Superbowl. More recently, the new Fiat 500C was featured in the Carly Rae Jepsen and Owl City video for their single: ‘it’s always a good time.’