Jeep has announced that the Commanderwill be axed from the
lineup. Following its introduction in 2005, Chrysler has announced that the
Jeep Commander will be dropped from the model, citing that sales for the model
have plunged.
As Chrysler suffers and continues to lose money, the
Cerberus Capital Owned automaker is looking for ways to fix the company,
starting with the areas that are bleeding the most. The Jeep Commander was an
obvious choice to be eliminated as it is the slowest seller of all of Jeep’s
six models. As Jeep’s biggest SUV offering, dealers such as Norco Auto Groupfelt that the decision is most likely attributed to
changes in consumer attitudes that have led buyers to buy small and more fuel
efficient vehicle, which the Commander is not.
The Jeep Commander is the fifth model to
be dropped by CCM.
Part of the strategy is to remove vehicles within the Chrysler umbrella
that compete
for the same customer. With 11 SUVs offered being the US automaker,
there was obviously
some overlapping in terms of which markets are being over served.
Chrysler already offers the Dodge Durango and Chrysler Aspen in the
same segment the Commander fills.
Jeep and Chrysler did not anticipate such a steep decline in
this once hot market. But with the recent extreme surges in gasoline prices, Jeep dealer River Valley Jeep likely will not miss the Commander. Nationwide sales of the Commander
dropped 29 percent last year along, with sales in the first quarter of
this year looking dismal.
The Commander was also Jeep’s most expensive product, notes Irvine Chrysler Jeep, with
pricing that could reach into the low forties. As a gas-guzzling vehicle, it
lost appeal with consumers who are increasing money conscious amid high fuel
costs and a weak economy.
Joe is a writer for TK Carsites, an automotive website design and marketing firm in Orange, CA, that specializes in working with car dealers nationwide.
