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    Renault Group  141  0 Kommentare “À la Dacia”: a unique business model which drives high margins and returns

    Press Release
    June 17, 2024
     
     

    “À la Dacia”: a unique business model

    which drives high margins and returns

    Boulogne-Billancourt, June 17, 2024

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    Renault Group organizes an analyst & investor field trip in Romania dedicated to Dacia on June 17th and 18th, the opportunity for Luca de Meo, CEO of Renault Group, and the Dacia management team led by Denis Le Vot, CEO of Dacia, to present the uniqueness of Dacia’s business model and how the brand is now expanding while continuing to further increase its profitability.

    A unique business model

    Dacia’s model is unique, built upon the combination of three main components:

    • A design-to-cost as a way of life, which aims c. -15% of cost advantage vs. competition thanks to a focus on what really matters for the customers (the “essentials”), Renault Group assets leverage, and 3,000 engineers’ know-how.
    • A unique industrial and sourcing footprint with a benchmark cost competitiveness supported by high plant utilization rates (>130% - Harbour) and high local integration rate.
    • A very effective distribution model with distribution costs c.50% below Western European average, almost no discount and 30% of sales coming from digital initiatives.

    A success story boosted by a new brand identity: from low-cost to best value-for-money

    In a changing environment marked by inflationary pressures and increasing regulation, vehicles have become more expensive. Dacia provides a clear answer to customers aspiring for affordable cars with the right content thanks to its complementary line-up and trim versions such as Extreme or Journey.

    Thanks to its new brand identity that reflects its values of simplicity, authenticity, and robustness, always at a fair price, Dacia has become in addition a compelling brand in Europe with an attractive line-up.

    Dacia is clearly a conquest brand for the Group with 76% of its customers coming from outside. Loyalty is at the heart of Dacia’s business model since 68% of previous Dacia owners have bought a Dacia as their new car; 81% have chosen a Renault Group car.

    Thanks to its simple range of vehicles with a best‑in‑class price point, Dacia benefit from an 80-85% retail channel mix which results in a no or low rebates approach and leads to high residual values
    (+10 pts on average vs. market) alongside a remarkable dealer satisfaction.

    Mid-2024, Dacia is on track to confirm for the 4th year in a row its position on the retail sales podium in Europe as its best value-for-money proposition attracts more and more customers in a global inflationist environment.

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    Renault Group “À la Dacia”: a unique business model which drives high margins and returns Press ReleaseJune 17, 2024     “À la Dacia”: a unique business modelwhich drives high margins and returns Boulogne-Billancourt, June 17, 2024 Renault Group organizes an analyst & investor field trip in Romania dedicated to Dacia on June 17th …

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