The automobile group Stellantis will cancel the contracts of four out of ten dealerships that it has in Spain due to environmental and regulatory changes that are impacting the distribution model of the industry.
This measure will affect 129 concessionary companies will be forced to cease their activity, of the total of 329 that the consortium has in our country, being the FCA networks (Fiat, Alfa Romeo, Jeep, Lancia, Abarth and Fiat Professional) and Opel the most affected, as explained in a statement by the dealerships (Faconauto) and distribution (Ganvam) employers.
Specifically, 35 FCA concession companies will be affected by this measure, representing 46% of the total, while in the case of Opel it will affect another 35 companies, representing 37% of the total.
It would be followed by the Citroën network, whose measure affects 31 companies, 34% of its total network; Peugeot, with a total of 23 companies affected, 23% of the total; and DS, with five companies affected, representing 14% of the total.
Both employers have shown their support for the affected concessionaires and have recognized that “they will continue to take the initiative so that the 129 concessionaires who are forced to cease their activity within two years do so while safeguarding their investments, in such a way that they can have a viability future as companies “.
In addition, both Faconauto and Ganvam will launch the necessary initiatives so that the concession companies that continue to form part of the Stellantis network after the restructuring “do so in the best conditions, with sufficient legal certainty, thus being in a position to continue generating activity, employment and profitability “.
The two associations have recalled the importance in the business fabric, employment and social wealth represented by companies linked to the networks of cocessionaires of the Stellantis group.
New contract for 2023
The vision of the Franco-Italian group is “to promote a sustainable distribution model relying on an efficient and optimized multi-brand distribution network that represents brands locally and guarantees the development of sales and after-sales activities”, as it was recognized last month May .
In this situation, sales and service distribution agreements for all Stellantis brands will be terminated with a two-year notice and the new network will be selected shortly thereafter, based on “key factors and objectives.”
As explained by the group itself, with this new model “Stellantis dealers and brands will have a new and efficient business model designed to create synergies, optimize distribution costs, increase the degree of customer satisfaction and additionally offer business opportunities. sustainability, including a broader range of services, product lines, financing and mobility solutions. “
Leon Cooper was born and raised in Vancouver. As a Reporter for WideWorldMag, Leon has contributed to several online publications including Dream House Publications and Granville Magazine. In regards to academics, Leon has got a Post Graduation Degree in Department Of Archaeology from The University Of British Columbia. As a Reporter for WideWorldMag Leon Covers International Topics.