Chrysler is holding an open house for select dealers to show off the new Fiat 500. Scheduled August 30th, the presentation will introduce these prospective Fiat dealers to the Fiat 500 and go over Fiat's plans to re-enter the US market.
Revised date
Notable in this Chrysler press release is the revised date of when the new Fiat dealers will be announced, which has been pushed back to October from the previously announced September.
Dealer's concerns
Also, the separate facilities requirement has been clarified to separate sales and display at launch and eventually a new facility as volume grows. This clarification will ease the concern that some dealers expressed in having to immediately invest in a separate Fiat facility.
New car dealerships are extremely expensive to build and maintain. Building a modern dealership is measured in the millions of dollars. Paying for all that selling a $20,000 car that nets 10% was a legitimate concern. Remember, Fiat estimates about 50,000 Fiat 500s will be sold in North America, it's going to be hard (impossible) to pay for a new facility selling 12-15 cars per month.
Now, with this easing of the separate facility requirement at launch, this gives dealers breathing room so they can ramp up their facilities for the eventual re-introduction of Alfa Romeo in 2012. Adding Alfa Romeo will increase sales volumes and help pay for the new facilities.
Being concerned about how much a dealer makes might be distasteful for some, but remember, we all want to have a nice dealership experience. Clean, modern, with loaner cars and top notch service. To get this costs money and our neighbors and friends who work there need to get paid for working hard. Keeping the dealerships profitable goes a long way in guaranteeing a happy customer.
Targeted markets revealed
Great news is the publication of the targeted market areas. They are listed at the end of the press release. Hope you're in one of the areas!
Below is the Chrysler Press release:
Chrysler Group LLC Invites Dealers to Fiat Experience
*About 600 Chrysler Group LLC dealers invited to the Fiat Experience
*Chrysler Group to present details on Fiat retail network plans
*Interested dealers to submit Fiat dealership proposals in September
*Dealers to be chosen for Fiat franchises in early October
August 9, 2010 , Auburn Hills, Mich.
Chrysler Group LLC has invited about 600 of its dealers to attend the Fiat Experience on Aug. 30 in Detroit as it takes another step closer to reintroducing the Fiat brand � starting with the New Fiat 500 � in the United States later this year.
The approximately 600 dealers were informed today that they are in one of the U.S. markets where Chrysler Group is currently planning representation for the Fiat brand. Chrysler Group has identified 119 markets in the U.S. with strong small-car registrations and growth potential in the small-car segment over the next five years.
The Fiat Experience will provide the dealers with a comprehensive overview of Chrysler Group�s plans for Fiat in the U.S. Dealers may submit proposals for a Fiat franchise through Sept. 22.
�The requirements for Fiat are straightforward: separate sales and display at launch, transitioning to a full dealership facility as the volume grows,� said Peter Grady, Chrysler Group�s Vice President of Network Development and Fleet. �Our goal is to establish a retail network appropriately sized to serve the market opportunity.�
Laura Soave
The email was sent to dealers today from Grady and Laura Soave, Head of Fiat North America.
Chrysler Group, in selecting its Fiat dealers, will consider a number of measures, including:
*Dealer sales performance
*Plan for a separate Fiat facility
*Comprehensive marketing plan
*Compliance on dealer standards
*Proper capitalization
Chrysler Group will announce its Fiat dealers in the fourth quarter.
Current U.S. Fiat Market Considerations � By State
Alabama
Birmingham
Arkansas
Little Rock
Arizona
Phoenix
Tucson
California
Los Angeles
Orange County
Palm Springs
Riverside
San Diego
San Fernando
San Gabriel
Ventura County
Concord
Oakland
Sacramento
San Francisco
San Jose
San Rafael
Colorado
Denver
Connecticut
Bristol
Hartford
Bridgeport
Stamford
New Haven
Delaware
Wilmington
Florida
Daytona Beach
Ft. Lauderdale-Broward
Fort Myers
Jacksonville
Miami-Dade
Orlando
Sarasota
St. Petersburg
Tampa
New Port Richey
Winter Haven
Palm Beach
Bradenton
Venice
Melbourne
Georgia
Atlanta
Newnan
Hawaii
Honolulu
Illinois
Chicago South
Chicago Central
Chicago North
Chicago West
Collinsville
Indiana
Indianapolis
Gary
Kansas
Kansas City
Kentucky
Louisville
Louisiana
New Orleans
Massachusetts
Boston
Springfield
Worcester
Maryland
Baltimore
Frederick
Washington
Maine
Portland
Michigan
Detroit
Minnesota
Minneapolis
Missouri
St. Louis
Nebraska
Omaha
New Jersey
Bergen- Passaic
Essex N. Union
Mid Union
Morris
Flemington
New Mexico
Albuquerque
New York
Bronx
Brooklyn
Manhattan
Nassau
Queens
South Hampton
Spring Valley
Staten Island
Suffolk
Westchester
Albany
Buffalo
Rochester
Newburgh
North Carolina
Charlotte
Raleigh/Durham
Ohio
Cincinnati
Columbus
Dayton
Cleveland
Akron
Toledo
Oklahoma
Oklahoma City
Tulsa
Oregon
Portland
Pennsylvania
Allentown
Philadelphia
Greensburg
Pittsburgh
Puerto Rico
Rhode Island
Providence
Tennessee
Chattanooga
Memphis
Nashville
Texas
Austin
Houston
San Antonio
Dallas
Fort Worth
El Paso
Utah
Salt Lake City
Virginia
Fredericksburg
Hampton
Norfolk
Richmond
Fairfax
Washington
Seattle
Tacoma
Wisconsin
Milwaukee
With thanks to Chrysler media and Fiat Group Press
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