Peugeot pushing for title of 'most reliable' car-maker

Peugeot’s global boss has set the car-maker the lofty goal of becoming the most reliable brand in Australia and abroad.

Chief executive Jean-Phillipe Imparato says wholesale quality improvements have driven the new mandate, which will underline a renewed upmarket push for Peugeot in Australia.

“In the last six years, our network’s detection of quality issues has fallen by two-thirds,” Imparato said during a media briefing in Sydney this week. “Secondly, our warranty costs have fallen (significantly). Look at some of the international surveys, and we are now on the podium for many countries now for reliability.”

JD Power recently named Peugeot as the UK’s most dependable brand based on a survey of customers. The feedback coincides with Imparato’s efforts in Europe to improve Peugeot’s cost of ownership prospects across the life of a vehicle, including resale values.

Imparato said the entire Peugeot executive team was now behind the wheel of the company’s product, allowing them to give first-hand feedback and guarantee the company’s regular quality checks.

“We have the reliability that we want that is consistent with the ambition to be the best brand in Europe and world,” Imparato said.

“I’m not afraid of our product, and that’s why we’ve extended the warranty for five years.”

Every month, Imparato said Peugeot’s executive committee drives each variant of a new model, combing over its finishes and quality.

“It means all the members of the committee have their arses in the car. When you have your arse in the car it is different because the product is right in front of you,” he said.

“All the company is under the screen of this monthly session. Then, every six months, we are testing cars that are in the street – same comments and same decisions.

“Then, twice a month, we have a global executive committee and the first item is always the latest news on product quality, and the second issue is the critical issues in terms of customer satisfaction of each country.”

Speaking more broadly about Peugeot in Australia, Imparato said he had planned an annual visit to Australia to check the company’s progress under UK-based distributor

Inchcape, which also imports Subaru and Citroen in to the country.
It is understood Imparato’s visit to Australia this week is the first time an active Peugeot chief executive has visited in an official business capacity.

“In Australia we want to rebuild the brand,” he said. “Why? Because we have a legacy. In the last five years, we’ve made huge improvements in terms of line-up and reliability features of the cars.

“Rebuilding the brand means I want the network and I want the importer to respect the key values of the brand. I have no problem taking a pragmatic approach to managing a multi-brand approach, as long as the guys running the Peugeot showroom know what it stands for.”

Imparato’s renewed push comes on the back of a new product onslaught from Peugeot, headlined by the new 508 sedan and wagon which launches nationally next week.

The global chief is adamant Peugeot can walk away from quality concerns “still lagging from those 2010 years”, and make Australia a real success story.

“At the moment we are 4000 to 5000 vehicles and 1 per cent market share. But volume is a consequence of getting the other jobs done,” he said.

“We don’t have any pressure about any kind of volume target in Australia; we just have to do the job.”

Chief among Imparato’s strategies for Australia is to use it as a test bed for electrification. Citing a “huge disconnect” between our high demand for specification but low demand for plug-in hybrid and EV variants, he hoped Peugeot could provide a practical solution.

“It is a huge competitive market, 65 brands here more or less. There is a disconnect between the powertrain regulation and the level of technology you have in the cars,” Imparato said.

“There’s a huge level of demand in terms of technology, ADAS connectivity etc. and ANCAP regulation on one side, and differences with the other countries with CO2 emission and regulation and a question mark over electrification.

“As Peugeot, is Australia interested in the switch to electrification? That’s what we have to answer.

“Is Australia interested in plug-in hybrid that makes 29g/km of CO2 ad 50km of electric range, 300 horsepower and all-wheel drive? The new 3008 will be launching in one month’s time.

“These are the things that are shaping the market. I see the reaction that we have in other markets, and I can see that things are changing. For the first time in my history I can see this level of power and all-wheel drive with only 29g/km CO2.”