Lancia Delta and Voyager to be Dropped as Brand Contracts to Italy
Fiat Chrysler plans to axe the Lancia Delta in 2014 and the Voyager in 2015, leaving the brand with just the Ypsilon and focusing solely on the Italian market.
Lancia will end production of the Delta hatchback in 2014 and the Voyager MPV in 2015, according to a report from Bloomberg. The move is part of Fiat Chrysler Automobiles’ plan to reduce Lancia to a single model, the Ypsilon, and restrict the brand’s sales to Italy.
Fiat Chrysler’s decision follows years of declining sales for Lancia across Europe. In 2013, the brand’s European deliveries dropped by 20 percent to 75,000 units. This is a sharp contrast to the company’s earlier projection that Lancia would reach 300,000 sales in 2014, a target set after the Fiat-Chrysler merger led to the rebadging of Chrysler models for Lancia’s line-up.
The Delta, introduced in its latest form in 2008, was intended to revive Lancia’s presence among compact hatchbacks. The Voyager, a rebadged Chrysler minivan, was added to the range as part of the Fiat-Chrysler integration. Neither model managed to reverse the brand’s fortunes outside Italy, and both saw limited demand in recent years.
Lancia’s retreat to a single model and market
Once the Delta and Voyager are withdrawn, Lancia will be left with only the Ypsilon supermini, which has consistently been the brand’s best-seller. Fiat Chrysler will limit the Ypsilon’s sales to Italy, effectively ending Lancia’s presence in other European markets. The decision reflects a broader strategy by CEO Sergio Marchionne to concentrate investment and resources on brands with greater international potential, such as Alfa Romeo, Maserati and Jeep.
The Delta and Voyager will continue to be available until their respective end dates, but no successors are planned. Dealers and suppliers outside Italy will see their Lancia business phased out as the brand contracts. For context on Lancia’s recent model strategy, see Fiat Rebrands Chrysler Models as Lancia for Europe.
Focus shifts to other Fiat Chrysler brands
Fiat Chrysler’s restructuring puts Lancia on a path to near extinction outside its home market. The group’s future product and marketing efforts will focus on developing Alfa Romeo as a premium brand, expanding Maserati’s line-up and building Jeep’s global presence. Lancia’s contraction is part of a wider realignment under Marchionne, who has publicly stated that resources will be directed toward brands with stronger growth prospects.
For a broader analysis of Fiat Chrysler’s strategy to phase out Lancia, see Fiat Confirms Lancia Brand Will Be Phased Out in Marchionne’s Overhaul.
