Recently, according to network news, Stellantis Group will adjust the internal structure of DPCA: DPCA will retain as a production base and maintain the existing shareholding ratio, while its two major brands, Dongfeng Peugeot is led by the French side and Dongfeng Citroen is led by the Chinese side.
The relevant person in charge of DPCA Automobile clearly replied: "At present, the shareholders are still negotiating, the shareholding ratio of DPCA will not be adjusted, but the internal division of labor may change, and more detailed information will be announced in the new strategic plan in China released by Stellantis Group on March 1." ”
Once the adjustment is completed, it is also thought that Dongfeng Peugeot and Dongfeng Citroen will fly alone, breaking the previous consistency.
Looking back at the development history of French brands in China, although they entered China relatively early, they always have a strong French flavor in terms of corporate strategy and products. With the deepening of the localization strategy of German, Japanese, American and other brands, after the launch of more "Chinese" products, this first-mover advantage gradually disappeared.
Since 2015, DPCA reached the peak of annual sales of 704,800 units, and it has gradually gone downhill. By 2020, the cumulative sales volume of DPCA automobiles in the whole year will only be 50,300 units. During the period, DPCA also continued to save itself, and successively released the "Yuan" revival plan and the "Yuan +" plan. With the adjustment of corporate strategy and the introduction of new products, the cumulative wholesale volume of DPCA automobiles exceeded 100,000 units in 2021, an increase of 100.07% year-on-year, and the response strategy of returning to the market began to show results.
Uncle Zhong believes that there are differences between the two brands of Peugeot and Citroen, and in the past, DPCA overemphasized the consistency of the two brands, which was not conducive to internal competition and the success rate of related strategies. Taking the more successful dual-joint venture brands in the Chinese market as an example, North and South Volkswagen, Yifeng and Guangfeng, Dongben and Guangben, etc., complement each other and have their own differences.
As a simple example, a French meal is handed over to two French chefs to cook, and the finished product is absolutely error-free and a standard French-style meal. But in a foreign country, different customs and eating habits, whether this authentic French meal can meet the tastes of the locals is still a question.
Judging from those more successful German, Japanese and American brands, their products have been targeted and adjusted in Order to be closer to the needs of Chinese people. Longer wheelbase, length, increased configuration, double appearance, etc., and even the emergence of "China's special supply car".
Not only to retain the unique differentiation advantages of French products, but also to create products that are more in line with Chinese characteristics, it is very necessary for DPCA to break through. The French side dominates Dongfeng Peugeot, and the Chinese side dominates Dongfeng Citroen, which just forms a compromise model. It can not only achieve new attempts and breakthroughs, but also retain the fundamentals of the French brand, which can be described as the maximum reform, which is a greater benefit for DPCA.
In 2021, sales rebounded sharply, and the coping strategy of DPCA's return to the market began to show results, and the cumulative sales of the new versailles C5 X for the whole year were 12,100 vehicles, with a good development trend, and it was regarded as the pioneer of DPCA's return to the mainstream. Standing on the basis of 100,000 vehicles in 2021, this drastic reform is the key to the breakthrough of DPCA.