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FCA Group took bottom four NFDA Dealer Attitude places on finance

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FCA Group’s brands have been singled out by their dealer networks for a lack of competitiveness on finance offers, according to the latest NFDA Dealer Attitude Survey (DAS).

The DAS Summer 2019 rated franchises on a range of criteria from dealer profitability and volume targets. When asked “how satisfied are you with the competitiveness of your manufacturer’s finance programme?” the average score was 6.5 out of 10.

Alfa Romeo was rated the lowest score on finance offers at 3.4, while Abarth was close behind at 3.6.  Fiat and Jeep scored 4.1 each, rounding out the bottom four. All four have seen a decline in sentiment on how competitive finance offers are compared with the previous Winter 2018 survey.

Citroën was in fifth place, with a rating of 5.1.

While Abarth only had a response rate of 51% from the dealer network, Alfa Romeo had a 77% response rate from its network, Fiat’s was 80% and Jeep was 86%, so the reaction is a good representation of how the network is feeling.

Kia was at the other end of the spectrum, with the highest rating on finance offers of 8.4, Suzuki was a close second at 8.3 and Toyota was in third place
with 8.2.

While the dealer networks have made their distaste for FCA Group’s retail offers clear, AM’s data of compiled representative examples doesn’t fully tally with the sentiment.

While Alfa Romeo’s APRs are lower or on par with Kia’s 5.9%, both Fiat and Jeep have a range of affordable 0% deals in Q3.

Fiat has 0% across the board to tempt customers before the end of September and Jeep also has 0% on volume models such as the Renegade and Compass to support the dealer network.

Fiat’s 500X Urban crossover is more affordable than Kia’s entry-level city car model, the Picanto, at £155 a month (albeit with a higher deposit level), compared with £170.84.

The issue is the large deposits demanded. With FCA’s depreciation reputation, customers could be throwing their cash away. By contrast, Kia’s offers show a 5.6% APR across its popular Sportage, Picanto and Stonic models, which offer a higher level of profit for the finance house and dealers.

AM’s finance data for Q3 2019 shows that the average monthly price across all models and manufacturers is £358.63 and every Fiat model at least is priced below that level.

The distaste for FCA Group’s finance offers may actually be more to do with the wider results. Abarth, Alfa Romeo and Jeep were rated as the bottom three manufacturers in terms of how dealers rated franchises overall, with scores of 2.6, 2.6 and 3.4 out of 10. The average was 5.6.

BMW, Audi and Citroën were all rated worse than Fiat, which came in seventh place overall in the bottom 10.

The theory that sentiment in the overall rankings filters down to other questions asked in the DAS holds up for Kia, too. It was rated as the best in the UK, in joint first with Lexus at 9.1.

 

Model Finance type Deposit Term Monthly payment Final payment APR Offer ends
Alfa Romeo
Stelvio 2.2 TD 210PS AWD Speciale PCP £10,916.00 48 £399 £17,990 4.90% 30/09/2019
Giulia 2.0 TP 280PS Veloce PCP £6,999.00 48 £385 £14,697 3.90% 30/09/2019
Giulietta 1.4 TB 120PS Speciale PCP £3,999 48 £215 £8,393 5.90% 30/09/2019
Fiat
500X Urban 1.6 E-torQ 110PS PCP £4,075 37 £155 £7,355 0.00% 30/09/2019
500 Lounge 1.2 69PS PCP £500 37 £215 £5,655 0.00% 30/09/2019
Tipo HB Mirror 1.4 95PS PCP £3,231 37 £179 £5,730 0.00% 30/09/2019
500X 1.0 Firefly Turbo S-Design 120PS PCP £4,777 37 £185 £8,763 0.00% 30/09/2019
Tipo HB S-Design 1.4 95PS PCP £3,581 37 £189 £6,770 0.00% 30/09/2019
Tipo SW Easy Plus 1.4 95PS PCP £3,311 37 £185 £3,311 0.00% 30/09/2019
Panda Cross 0.9 TwinAir 90PS PCP £1,838 37 £229 £6,498 0.00% 30/09/2019
500L 1.4 95PS Urban PCP £3,399 37 £155 £6,637 0.00% 30/09/2019
Panda City Cross 1.2 69PS PCP £1,883 37 £185 £4,837 0.00% 30/09/2019
Jeep
Renegade Longitude 1.0 GSE T3 120 PS Manual PCP £5,830 36 £199 £7,451 0.00% 30/09/2019
Compass Longitude 1.4 MultiAir II 140PS Manual PCP £2,869 36 £249 £11,397 0.00% 30/09/2019
Wrangler Sahara 2.0 GME 272PS 4x4 Automatic - 2 Door PCP £9,999 48 £419 £19,276 5.90% 30/09/2019
Grand Cherokee Overland 3.0 MultiJet II 250PS 4x4 Automatic PCP £10,000 48 £559 £19,278 5.90% 30/09/2019
Grand Cherokee Trackhawk 6.2 V8 Hemi Supercharged 4x4 Auto8 PCP £20,000 24 £879 £57,048 5.90% 30/09/2019
Kia
Picanto 2 1.0 Manual PCP £1,125 36 £170.84 £4,162.50 5.90% 30/09/2019
Rio 3 1.0 T-GDi manual ISG PCP £1,728.50 36 £265.70 £6,013.75 5.90% 30/09/2019
Venga 3 1.6 Petrol ISG Manual PCP £1,607.00 36 £292.08 £5758.75 5.90% 30/09/2019
Ceed 3 1.0 T-GDi ISG PCP £2,101 36 £273.84 £8,707.50 2.90% 30/09/2019
Ceed Sportswagon 3 1.4 T-GDi ISG PCP £2,281 36 £310.69 £9,090 2.90% 30/09/2019
ProCeed GT-Line 1.6 CRDi ISG Auto DCT PCP £2,579 36 £350.86 £10,507.50 2.90% 30/09/2019
e-Niro First Edition 64 kWh lithium-ion battery Auto PCP £3,299.50 36 £530.84 £14,535 5.90% 30/09/2019
Optima 3 1.6 CRDi ISG PCP £2,461.50 36 £377.92 £8,572.50 5.90% 30/09/2019
Optima Sportswagon 3 1.6 CRDi ISG PCP £2,565.50 36 £389.15 £9,247.50 5.90% 30/09/2019
Stinger GT-Line 2.2 CRDi PCP £3,425 36 £529.30 £12,960 5.90% 30/09/2019
Stonic 3 1.0 T-GDi 6-speed manual PCP £1,887.50 36 £312.55 £7,965 5.90% 30/09/2019
Sportage GT-Line 1.6 CRDi ISG PCP £2,635 36 £363.53 £11,002.50 5.90% 30/09/2019
Sorento 'GT-Line' 2.2 CRDi 8-speed auto ISG PCP £3,745 36 £486.32 £15,232.50 3% 30/09/2019

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