Maserati blames incorrect strategy for poor sales

MANILA: Recent years have not been of the liking for Maserati, and the sales charts in the offices have gone down. According to reports, Mike Manley, the CEO of Fiat Chrysler Automobiles (FCA) has said that ‘mistakes were made’, in the process of managing the brand. The position, CEO of Fiat Chrysler Automobiles was taken over by Mike Manley when the CEO Sergio Marchionne passed away. Mike Manely is a Former Jeep brand head.

Mike Manley addressed the analysts on the FCA's Q3 earnings call saying, “FCA's decision to bundle Maserati with its Alfa Romeo marque under a single leader was a mistake”. The profit for Maserati dropped to 2.4% during the third quarter of 2018. Earnings also took a toll and were 15 million euros, which is a drop of 87%. The number of vehicles sold was also only 8,800.

Manley has criticised the decision of putting the brands Maserati and Alfa Romeo under the same roof. He believes that the inclusion of both the brands under the same leadership hampered the reputation of Maserati inside the organisation itself and Maserati was worked upon 'almost as if it was a mass market brand'.

"With hindsight, when we put Maserati and Alfa together, it did two things. Firstly, it reduced the focus on Maserati the brand. Secondly, Maserati was treated for a period of time almost as if it was a mass market brand, which it isn't and shouldn't be treated that way", also said Mike Manely.

Another reason behind the downfall is the same age-old models that Maserati has been selling for a long time now. Also, WLPT emission norms in Europe along with a lack of interest in the Chinese market have hampered sales performance for the luxury brand. With models like GranTurismo, Quattroporte, and Ghibli being in production since 2007, 2012, and 2013, respectively, they are now ageing and people will certainly go for newer and better options available out there in the market.

The GranTurismo coupe and convertible are expected to be replaced soon by the production model of the Alfieri concept. Alfieri was first displayed in 2014, but even after 4 years, the final vehicle has not hit the roads yet. An SUV and some other 4 door vehicles are expected to be launched under the brand Maserati by or before 2022.

To sail the boat through tough waters, Maserati has recruited Jean-Philippe as the leader of a new Maserati Commercial unit. Another appointment is of Harald Wester, who will now serve as the head of Maserati. Before this appointment, Harald Wester was assigned as the chief technology officer.