Chrysler plans quiet auto show
The company that brought a herd of frisky Longhorns, a two-story waterfall and a flying Jeep to past Detroit auto shows plans to be uncharacteristically demure next month.
The Auburn Hills automaker confirmed Thursday that it won't hold a news conference at the North American International Auto Show, which is traditionally the prime showcase for Detroit's Big Three.
Chrysler officials explained that they have no new models to present, but industry analysts said the decision was risky and might fuel speculation about the company's prospects.
Chrysler, the smallest of Detroit's automakers, has been through bankruptcy this year and has suffered the biggest decline of any major player in the U.S. market -- a 38 percent drop in car and truck sales.
An all-day presentation last month of its five-year business plan failed to allay concerns that Chrysler wouldn't be able to develop new vehicles fast enough to stem its dramatic sales decline.
"It's a dangerous time to stay dark," said Stephanie Brinley, senior manager of product analysis at Tustin, Calif., consulting firm AutoPacific Inc. "There are a lot of people watching and the longer they're quiet, the more speculation there is."
Chrysler's reticence to disclose information -- as a privately held company, it does not have to issue quarterly results -- has fueled speculation about its financial condition that the company tried to quell last month.
CEO Sergio Marchionne, who is also CEO of Fiat SpA, the 20 percent owner of Chrysler, said at last month's presentation that the U.S. automaker is now generating cash.
"Nov. 4 was our big press conference so I'm not sure it would add something redoing it in Detroit," Olivier Francois, head of Chrysler Group marketing, told The Detroit News on Thursday.
"We presented our plans and the next step is to present the cars," he said. "We are people of substance, not just fluff and marketing."
The company's strategy is to hold off presenting vehicles until shortly before their market launch, Francois said. "Clearly we don't have all the new cars for 2010 and 2011 yet."
At the Detroit show, opening to the press on Jan. 11, Chrysler will showcase its four brands -- Chrysler, Dodge, Jeep and the Ram truck brand -- at its exhibit in Cobo Center. It will display all-new, black-and-white, limited-edition vehicles, some of which could hit dealer showrooms in early 2010, including versions of the Chrysler 300, PT Cruiser, Sebring and Town & Country minivan.
But the automaker isn't showing any vehicles or concepts being developed under the new Chrysler-Fiat partnership.
"I don't own a time machine," said Francois, who is also head of Fiat's upscale Lancia brand. "I can't make a new car in three months."
Chrysler's decision to pass on a press conference because the company has nothing to announce is understandable, said Michael Robinet, vice president of global forecasting at Northville auto market research firm CSM Worldwide. "But it's a missed opportunity for high visibility on the global stage."
Jesse Toprak, vice president for industry trends at the pricing site TrueCar.com, said there was no way to positively interpret Chrysler's decision. "If you're confident about your strategy and your timeline, why wouldn't you be there to give people answers about how things are?"
But, he added, given the current upheaval in the industry, Chrysler's decision isn't shocking. The new management will have been in charge only six months when the show opens. He doesn't expect the company to show all-new models before late next year.
"Considering their situation, it would be tough for them to go out there and face the press," he said. "In a normal environment, it would have been a bigger deal."
Other automakers, such as Porsche and Nissan Motor Co. have pulled out or scaled back their presence in Detroit, but they tend to be foreign companies whose biggest markets are on the East and West coasts.
While Chrysler's decision puzzled industry insiders, many of its dealers shrugged it off. One dealer who spoke on condition of anonymity said a news conference would have little impact on sales.
He disputed the widespread perception that Chrysler was worse off than its rivals. General Motors Co., which also filed for bankruptcy, has suffered a smaller sales decline of 31.8 percent in the U.S. market this year. But that may be because GM hasn't closed dealers as fast as Chrysler, the dealer said.
Francois said he preferred to spend Chrysler's scarce funds on advertising. "We don't have a lot of money. That's a real problem."
Jack Nerad, editorial director at Kelley Blue Book, which tracks vehicle prices, said Chrysler's decision marked a sharp break from Detroit auto show tradition.
"Their news conferences were kind of highlights of the event," Nerad said. "Some were funny, some fell flat, but they were always part of the landscape. But times change."
Source: Chrysler plans quiet auto show
The Auburn Hills automaker confirmed Thursday that it won't hold a news conference at the North American International Auto Show, which is traditionally the prime showcase for Detroit's Big Three.
Chrysler officials explained that they have no new models to present, but industry analysts said the decision was risky and might fuel speculation about the company's prospects.
Chrysler, the smallest of Detroit's automakers, has been through bankruptcy this year and has suffered the biggest decline of any major player in the U.S. market -- a 38 percent drop in car and truck sales.
An all-day presentation last month of its five-year business plan failed to allay concerns that Chrysler wouldn't be able to develop new vehicles fast enough to stem its dramatic sales decline.
"It's a dangerous time to stay dark," said Stephanie Brinley, senior manager of product analysis at Tustin, Calif., consulting firm AutoPacific Inc. "There are a lot of people watching and the longer they're quiet, the more speculation there is."
Chrysler's reticence to disclose information -- as a privately held company, it does not have to issue quarterly results -- has fueled speculation about its financial condition that the company tried to quell last month.
CEO Sergio Marchionne, who is also CEO of Fiat SpA, the 20 percent owner of Chrysler, said at last month's presentation that the U.S. automaker is now generating cash.
"Nov. 4 was our big press conference so I'm not sure it would add something redoing it in Detroit," Olivier Francois, head of Chrysler Group marketing, told The Detroit News on Thursday.
"We presented our plans and the next step is to present the cars," he said. "We are people of substance, not just fluff and marketing."
The company's strategy is to hold off presenting vehicles until shortly before their market launch, Francois said. "Clearly we don't have all the new cars for 2010 and 2011 yet."
At the Detroit show, opening to the press on Jan. 11, Chrysler will showcase its four brands -- Chrysler, Dodge, Jeep and the Ram truck brand -- at its exhibit in Cobo Center. It will display all-new, black-and-white, limited-edition vehicles, some of which could hit dealer showrooms in early 2010, including versions of the Chrysler 300, PT Cruiser, Sebring and Town & Country minivan.
But the automaker isn't showing any vehicles or concepts being developed under the new Chrysler-Fiat partnership.
"I don't own a time machine," said Francois, who is also head of Fiat's upscale Lancia brand. "I can't make a new car in three months."
Chrysler's decision to pass on a press conference because the company has nothing to announce is understandable, said Michael Robinet, vice president of global forecasting at Northville auto market research firm CSM Worldwide. "But it's a missed opportunity for high visibility on the global stage."
Jesse Toprak, vice president for industry trends at the pricing site TrueCar.com, said there was no way to positively interpret Chrysler's decision. "If you're confident about your strategy and your timeline, why wouldn't you be there to give people answers about how things are?"
But, he added, given the current upheaval in the industry, Chrysler's decision isn't shocking. The new management will have been in charge only six months when the show opens. He doesn't expect the company to show all-new models before late next year.
"Considering their situation, it would be tough for them to go out there and face the press," he said. "In a normal environment, it would have been a bigger deal."
Other automakers, such as Porsche and Nissan Motor Co. have pulled out or scaled back their presence in Detroit, but they tend to be foreign companies whose biggest markets are on the East and West coasts.
While Chrysler's decision puzzled industry insiders, many of its dealers shrugged it off. One dealer who spoke on condition of anonymity said a news conference would have little impact on sales.
He disputed the widespread perception that Chrysler was worse off than its rivals. General Motors Co., which also filed for bankruptcy, has suffered a smaller sales decline of 31.8 percent in the U.S. market this year. But that may be because GM hasn't closed dealers as fast as Chrysler, the dealer said.
Francois said he preferred to spend Chrysler's scarce funds on advertising. "We don't have a lot of money. That's a real problem."
Jack Nerad, editorial director at Kelley Blue Book, which tracks vehicle prices, said Chrysler's decision marked a sharp break from Detroit auto show tradition.
"Their news conferences were kind of highlights of the event," Nerad said. "Some were funny, some fell flat, but they were always part of the landscape. But times change."
Source: Chrysler plans quiet auto show
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