Ghosn backs Infiniti to rise in premium car ranks
Carlos Ghosn, CEO of Renault-Nissan, expressed renewed confidence in Infiniti’s future as the brand seeks to boost its US sales and global standing after a leadership shakeup.
Carlos Ghosn, chief executive of Renault-Nissan, said he remains confident Infiniti will eventually claim a stronger position among global premium brands. Ghosn’s comments followed a leadership change at Infiniti’s US operation, with Randy Parker replacing Michael Bartsch as vice president for Infiniti Americas.
Infiniti, Nissan’s luxury division, has struggled to match the scale of rivals such as Mercedes-Benz and BMW. In 2014, Infiniti ranked seventh among luxury brands in the US, delivering 117,330 vehicles, about one third of Mercedes-Benz’s volume. Globally, Infiniti sold 182,000 vehicles, a 13 percent year-on-year increase, but far behind BMW’s 1.66 million units.
Ghosn’s long-term ambition has been to elevate Infiniti into the top tier of premium manufacturers. The brand’s US sales performance has seen various executives brought in from rivals, but turnover at the top has been high. Michael Bartsch, who joined from Porsche Cars North America, left after only 18 months. Randy Parker, his successor, previously worked at General Motors and GMAC before joining Nissan in 2013.
Infiniti’s US challenge and global ambitions
The United States remains Infiniti’s largest market, but the brand has struggled to achieve sustained growth. Ghosn’s confidence is rooted in a pipeline of new models, including three compact cars developed in partnership with Mercedes-Benz. This collaboration gives Infiniti access to new engines and technology, aiming to close the gap with established German rivals.
Despite a 13 percent rise in global deliveries, Infiniti’s market share remains small. Ghosn has acknowledged the brand’s history of over-promising and under-delivering, but he maintains that Infiniti’s new management and product strategy will eventually deliver the results he expects.
Leadership turnover and strategy
Infiniti’s frequent changes at the top have reflected the pressure to deliver results in the US. Ghosn has often recruited executives from competitors, but few have stayed long enough to see through a turnaround. The appointment of Parker is intended to bring stability and fresh direction as Infiniti seeks to grow its share of the premium market.
- Infiniti’s main rivals in the US luxury market: Mercedes-Benz, BMW, Lexus, Audi, Acura, Cadillac, Lincoln
- Key new products: three compact models developed with Mercedes-Benz
Looking ahead from 2015, Infiniti’s strategy relies on leveraging its alliance with Mercedes-Benz for technology and product development, while Parker’s leadership will be tested by the need to deliver consistent growth in the US. Ghosn’s public confidence signals continued investment and focus, but the scale of the task is clear from the sales gap with German competitors.
