Thursday, March 3, 2011

Fiat marks back to U.S. with tiny 500

It is sometimes said that Americans have short memories. Fiat aims to bet.

It is 27 years since the Italian automaker Fiat was last sold cars in the United States under the brand name. By the time that the automaker these shores moved you unscrew a reputation for unreliable acquired had, rust-prone cars. Now it is getting ready to stage a comeback as part of the new alliance with the struggling U.S. automaker Chrysler.

In the weeks ahead will first Fiat 500 new roll - in the automaker's U.S. showrooms and if everything according to plan, hopes, sell Fiat over 50,000 of you before the end of the year.

The tiny 500 Coupe is one of the smallest cars on the road, but it has much riding on it. Known as the Cinquecento again in Italy, the Fiat 500 will lay the Foundation not only for Fiat comeback, but also for the return of the carmaker's Alfa Romeo brand in the USA and it is a much more comprehensive partnership between Fiat and Chrysler select.

"Americans have short memories and probably forgotten what it was, as the last time was from Fiat," mentioned George Peterson, senior analyst with the consulting company AutoPacific. Back in the early 1980s collapse "sales" under the weight of the endemic quality problems, ultimately forcing you saw, the US market the Italian automaker to leave.

"But the new 500 car promises much better" Peterson added, has his expectation based on the strong response received Fiat's Microcar in other markets. The vehicle has been a flood of Kudos. It was proclaimed in 2010 for one thing, world car of the year by a panel of international journalists. The little car took the 2009 World car design of the year award at the New York Auto show.

Still eat about Americans will not easily be Peterson notes, and Fiat officials agree. Although Fiat with past memories gesattelt is not (or his old nickname, a reference to the letter of his name: "Fix It-Again Tony"), Fiat will have to prove, the new car is reliable and fun to drive, and it is to overcome American resistance to small cars.

Trends seem to be moving in the right direction, stresses Laura Manager for Fiat Soave, the new U.S. brand. You will notice that small car sales in the U.S. Despite the automotive market 2010 surged sharp downturn in the total year overall have 198,000 units per year in 2004 to 442,000 last year. Fiat predicts that the segment is made 896.000 units per year 2014.

New models on the market helps of course, such as higher fuel prices. The demand for small cars like the mini and the smart fortwo in 2008 increased when gas prices hit - although sales volumes fell $4 at the pump if the Petro crisis reduced. The price of gas has $3, passed back, although analyst Peterson warns that with prices much more slowly increasing, this time, "it is less a sense of panic." That's probably mean motorists in less haste to shrink.

So, Soave, recognizes small cars like the Fiat 500 on their merit to sell to the challenge. And an important message for Fiat's new offer is "You give everything up", she added.

Security concerns are a traditional challenge for small cars, but the 500 was developed one was designed American style collision with seven airbags, the extensive use of high-strength steel and one triple load path to survive channel crash forces of the passenger compartment. The vehicle took the top ranking in Europe NCAP crash test and Fiat is betting as well is 4-seater result as it is being tested here in the United States

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In contrast of to classic small cars that were sold primarily on price and fuel economy, the Fiat 500 is not "Econobox". It offers an amazing number of features for a low price of $15,500 and it can be purchased all but fully loaded for $19,500.

The $17,500 Fiat 500 sport model includes large 16-inch wheels and tires, a spoiler, a quick-shifting gears and a premium Bose audio system. And the initial reviews have usually as fun to drive.

While the Italian carmaker Fiat is undoubtedly some traditional marketing channels of their new slogan "Life is best when driven," also probably focus on alternative methods to speak out, to spread will use including the so-called "graffiti walls", the it in Setup is important markets around the country. Social media is an important part of the marketing process to be.

Where some car brands have specific niche - Toyota Scion brand in particular focusing on hip, young urbanites - Fiat is trying, according to Soave bets is it an unusually broad appeal that defies narrow demographics.

There is little doubt that has power new 500 head spin, as if the vehicle on a one-day test drive took in and around San Diego recently I was constantly. But Fiat Manager are aware that sporty coupes, big or small, have a relatively short shelf life, tend to be usually reached its peak in about 18 months before sales begin to fall.

Fiat to overcome this problem a number of model planned with a convertible version of the 500 on tap and the Abarth high performance model and even a battery electric Edition updates.

"Building a brand with a model" said something cryptic Soaves, hinting is yet other variations - and completely different products - meat from US Fiat showroom in the coming years.

If has right and the Fiat 500 hits the target, it should facilitate the once popular Alfa Romeo brand in the United States relaunch it could validate the automaker's plan by Fiat platforms as a basis for future Chrysler models, including a replacement for the compact 200 sedan and convertible.

This is much to ride on such a small car.

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