PSA Peugeot Citroen is reportedly planning to separate the market positioning of its two brands in a bid to reduce sales cannibalism.
Announcing the carmaker's financial results recently, PSA CEO Phiippe Varin said the image of both marques is "too close".
Here in Australia, market differentiation is clearly an issue for local distribitors Sime Darby and Peugeot/Citroen dealers - each marque embodies similar values of 'Gallic charm', quirky style, and European dynamics.
Similarly, the Peugeot 508 shares its PSA PF3 platform with the Citroen C5, while the Mitsubishi-based 4008 and 4007 are respectively twinned with the Citroen C4 Aircross and the international C-Crosser model.
These pairings also feature shared drivetrain options and several coinciding price points, making for a significant mirroring between the two PSA brands.
Peugeot will reportedly shift upmarket holus-bolus, while Citroen’s more exclusivd DS line will be expanded.
Citroen’s mainstream C-line models however will reportedly shift slightly downward, superseding its earlier plans for a sub-C-line entry range.
This Citroen shift has been preceded somewhat on the Australian market, with the brand’s new distributor Sime Darby shuffling specs and lowering prices for many models when it took over local operations last month.
PSA brands boss Frederic Saint-Geours refused to suggest which brands Citroen will target in its new market position.
"Our brand positioning is a new thinking, so we cannot refer to existing cars."
Phillipe Varin summarised Peugeot and Citroen’s future positioning as follows.
Perceived quality and reliability
Elegant, dynamic designs that stand out from the crowd
Innovative driving experience and driving pleasure
Fuel-efficient and environmentally friendly cars
Easy-to-use, less sophisticated technology