Under the leadership of Aditya Jairaj, who became the deputy managing director of Stellantis Group in India and head of Jeep brand operations in May, the carmaker has launched a consumer scheme aimed at reducing the initial purchase ownership cost. To make the price-to-value ratio more attractive, it has discontinued the entry-level variants of the Meridian, its three-row SUV, to align with the market demand for higher trim variants.
Additionally, Jeep is planning to increase its brand and marketing spending in the world’s fifth-largest auto market to regain its position from two years ago. Jairaj, the former head of EV strategy and transformation at Nissan Motor, is also preparing for the launch of electrified models.
“4Xe is the new 4X4. We are evaluating its suitability for the Indian market and will introduce it when the time is right,” said Jairaj.
Jeep’s cumulative sales in India declined by 30% to 4,247 units in the first half of this calendar year compared to the same period last year. This drop was due to the discontinuation of the petrol variant of the Compass ahead of the implementation of the BSVI phase-II emission norms in April.
This decline was in contrast to the broader market trend, where manufacturers are favoring petrol and strong hybrid models while phasing out diesel powertrains. Additionally, the launch of more competitively priced models by rivals and delays in the launch of new Jeep models also affected overall sales volume.
However, Jairaj believes that there are factors beyond just the product that affect sales. “The demand driven by value needs to be effectively communicated to all stakeholders on a regular basis. Reinforcing the brand is one of our top priorities, as it hasn’t been done enough. The urban SUV market is highly competitive, and it’s our responsibility to communicate the brand value to end-consumers so that they see the value in the price they are paying,” he added.