French automaker Peugeot SA on Wednesday stated it was concentrating on utility vehicles to raise its market share in Brazil and would provide a similar set of models as it sells in Europe.
The strategy is part of the automaker’s strategy to enhance consumer understanding of its products and, as a consequence, its performance in the Brazilian market.
It follows Peugeot’s 207 project, where the automaker adjusted a little, older European model for the Brazil market to draw customers with a less expensive car, however saw disappointing outcomes.
Brazil is seen by Peugeot, a Groupe PSA business, as one of 5 priority markets globally, stated Chief Executive Jean-Philippe Imparato to press reporters in Sao Paulo on Wednesday.
“Sales volumes are not our outright target. I prefer to enhance our brand image,” he stated.
“We are not going to fall again in the temptation of developing a small vehicle particularly for Brazil, we are not going to sell at any cost,” he added, detailing the preparation for the Brazilian market to assemble to the same set of models Peugeot provides in Europe in 5 years’ time.
France, Iran and China are currently the biggest markets for Peugeot. He refused to cite a target for Brazil or Latin America, however said the company has specified the nation as a priority highlights the pontential it sees for future brand advancement.
According to Brazilian automobile dealerships association Fenabrave, Peugeot sold 19,128 vehicles in the nation this year, accounting for a market share of 1.22 percent. Its French competitor Renault has 7.79 percent share where as the leader General Motors is at 17.9 percent.
Peugeot is likewise wanting to offer luxury models such as premium SUVs. In June it released its 3008 model in Brazil and stated there was a four-month wait for interested buyers to get the car.
Imparato stated the scenario was an issue, due to higher than expected demand, but also an opportunity.
The company will next year offer the 5008 version of the car in the country.