The rebound in CITROËN’s sales that began in 2013 continued in the first half of 2014, with 7% growth worldwide.
- The recovery in Europe, where the market grew by 6.6%, got a strong boost from the 10% increase in CITROËN’s sales, its best performance in over 10 years.
- China remained CITROËN’s largest market and the central front in its international offensive. It accounts for a quarter of the Brand’s sales, with Dongfeng Citroën’s growth of 16% outpacing the market’s 13% gain.
- A key factor in these strong results is the success of the New CITROËN C4 Picasso, with 127,000 units sold since launch, and the New C-Elysée, a saloon spearheading the Brand’s international offensive, which already boasts 120,000 sales.
- These trends will continue in the second half thanks in particular to the launch of the C4 Cactus and the New C1, which have already chalked up orders exceeding objectives.
The global car market expanded by about 4% in the first six months of the year, with two major regions, Europe and China, the main drivers of this growth.
CITROËN sold 624,000 vehicles worldwide in this period, up 7% on the first half of 2013. The biggest contributors to this performance were China and Europe, two key markets for CITROËN that account for a full 85% of its worldwide sales. Moreover, CITROËN outperformed the market in these two countries.
FIRST-HALF 2014 RESULTS
BY GEOGRAPHIC REGION:
Europe (30 countries): after shrinking for several years, the market rebounded 7% during the first six months of 2014. The Brand took full advantage of this recovery by focusing on the most profitable distribution channels. Its sales were up 10%, outpacing the overall growth in these markets. The performance was CITROËN’s best in Europe in over ten years and the Brand increased its market share by 0.2 point, to reach 4.8%.
- In France (the No. 2 market), CITROËN sales rose by 8%, outpacing the market’s 3% gain and increasing the Brand’s market share by 0.6 point, to 12.2%.
- In the UK (No. 3), where the market grew by 11%, the Brand reported 15% growth and a 0.1-point gain in market share to 3.1%.
- In Spain (No. 4), CITROËN sales were up 28%, exceeding the market’s 20% gain and increasing the Brand’s market share to 7.3% (+0.5 point).
- In Italy (No. 5), CITROËN saw its sales rise by 1% in a market that expanded by 4%, with its market share standing at 4.1% (-0.1 point).
- In Germany (No. 6), where the market was up 3%, CITROËN sales rose by 7.5% and its market share by 0.1 point to 1.7%.
Sales outside Europe accounted for 38% of the Brand’s global sales volume, with the situation varying from region to region.
In China & Southeast Asia, the market was up 10% overall, with China driving the growth. CITROËN set a new record in that country with more than 160,000 invoices in the first half of the year, a gain of 16% in a market that grew by 13%. The world’s No. 1 car market thus remained CITROËN’s leading market as well. China alone accounts for two thirds of the Brand’s sales outside Europe and 25% of its total sales.
This performance is the outcome of a highly successful product offensive:
- The New CITROËN C-Elysée, launched in September 2013, is already established as the joint venture’s new bestseller, with more than 62,000 invoices since launch, including 46,000 since the start of the year.
- The C4 L, introduced in January 2013, is selling briskly, too, with a total of 92,000 invoices. These included 35,000 in first-half 2014, an increase of 75%.
These positive trends are reflected in the rapid expansion of the Dongfeng Citroën network, which had 442 dealerships at end-June, with a target of 470 by year-end. The network is also recognised for top-quality sales service, with Dongfeng Citroën ranking No. 1 in JD Power’s 2014 Sales Satisfaction survey for new-vehicle purchases.
In Latin America, CITROËN is managing to strengthen its positions despite market pressures.
- In Brazil (the No. 7 market), where the market shrank by 7%, CITROËN maintained its market share of 1.8%, thanks in particular to the C4 L (called ‘C4 Lounge’ locally), which already ranks among the six best-selling mid-range saloons in the country just a few months after its launch in September 2013.
- In Argentina (No. 9), in a difficult context of high taxes and strong pressure on prices, CITROËN sales decreased by 24%, as did the market. The Brand’s penetration thus held steady at 4.5%.
In Eurasia, where Russia is the primary market, the crisis is affecting car sales.
- In Russia (No. 10), the crisis, along with the rouble’s decline and rising prices, is having a negative impact on the car market, which contracted by 8% in the first half of the year. Owing to these factors, CITROËN chose to maintain margins and lost 0.1 point in market share, to 0.8%.
- In Ukraine, where CITROËN has a subsidiary since 2010, the crisis is also having a strong impact on the car market, which decreased a substantial 43%. CITROËN’s sales fell 54% in the country.
In the Middle East & Africa, the situation is also difficult, with the market depressed and exchange rates unfavourable to the Brand, which focused efforts on maintaining its margins.
- In Turkey, the market was down 26%, and CITROËN’s market share decreased one point to 2.8%.
- In Algeria, the scenario was the same, with the market down 28%. The Brand’s market share shrank there, too, decreasing by 0.8 point to 3%.
BY PRODUCT:
- New C4 Picasso: launched in June 2013 in its five-seat version and in September 2013 with seven seats, it has already chalked up more than 127,000 sales, including 69,000 since the start of the year. The leading compact MPV at end-May, the appeal of this “Technospace” is also reflected in the strong product mix, with the two highest trim levels accounting for two thirds of orders.
- New C3: after a production disruption in 2013, this model, which was restyled last year, has reclaimed its place as the bestseller in the CITROËN range worldwide, with over 106,000 sales during the first half, an increase of almost 30%.
- New C-Elysée: over 120,000 units of this three-box saloon specially designed for fast-growing markets have been sold since its launch (end-2012 in Turkey and Maghreb), including more than half in China, where it has been on the market since September 2013. Worldwide sales have thus more than doubled, compared with first-half 2013.
- LCV range: CITROËN’s range of top-performing and complementary light commercial vehicles, extending from Nemo to the recently renewed Jumper, fully satisfies the needs of professionals. In Europe, CITROËN LCV sales increased by 13%, outperforming the market growth (10%), boosting the Brand’s market share by 0.3 point to 10.6% and enabling the PSA Peugeot Citroën Group to retain its leadership in this market.
OUTLOOK FOR SECOND-HALF 2014
The Brand will sustain its momentum in the second half of the year with:
- The CITROËN C4 Cactus and the New C1, two new models illustrating CITROËN’s renewal, which features more compelling design, more comfort, and more useful technology, with a controlled budget. Initial orders for these cars following their June launch are already exceeding objectives (7,000 for C4 Cactus and 4,500 for New C1). This quick start bodes well for the upcoming rollout of these models in more countries.
- The New CITROËN Jumper, loaded with new features and better-equipped than ever to meet professionals’ needs.
- The launch of a new SUV in China, prefigured by the CITROËN C-XR concept unveiled at the Beijing motor show last April.
- A technological offensive, with increasingly efficient engines. In the petrol line-up, after the Puretech 130 Stop&Start version offered on the CITROËN C4 since the spring, the PureTech range will be expanded with a 110 hp Stop&Start version on the C4 Cactus. As for the diesels, this model will also be the first powered by the new BlueHDi 100 engine (3.1 l/100 km and 82g CO2/km).
- In the constant effort to enhance the customer experience, the innovative ‘CITROËN & You’ service approach will be rolled out in the Brand’s network starting in September to give customers an even greater sense of transparency and more peace of mind.
