Soaring Wrangler Sales Anchor Slumping Jeep Division

DETROIT (AP) -- Apparently, the Jeep Wrangler is rugged -- and capable of hauling an entire division out of the swamp.

The popular two- and four-door sport utility is coming off its best-ever May while buoying a slumping Jeep division beset by declining sales.

According to Autodata Corp., Jeep sold 12,332 Wranglers in May, up 114 percent compared to the same month last year. For the year, 54,699 Wranglers have been sold, an 85 percent increase compared to last year.

Strong Wrangler sales also helped fuel an overall 20 percent May sales increase for Jeep and a 12 percent year-to-date increase compared to last year.

"The Jeep Wrangler is the icon of the brand," said Chrysler Group spokesman Markus Mainka, adding that no incentives have been offered since the vehicle was redesigned and released last September from a retooled Ohio plant.

Based on Autodata figures, the Wrangler accounted for about 29 percent of Jeep's total May vehicle sales and 27 percent of the division's 2007 sales to date. Wrangler's strong showing last month also boosted the Chrysler Group division's market share of U.S. light vehicles from 2.4 percent to 2.7 percent last month.

For 2007, Jeep's market share increased from 2.6 percent to 3.0 percent.

Industry analyst Alex Rosten said redesigning the Wrangler was the key to Jeep's recent success.

"Now they can't make enough of them," said Rosten, an analyst for EdmundsObserver.com. "It's always better to expand existing product lines than create a new one."

But the Wrangler's success contrasts with slumping sales for other Jeep products.

According to Autodata, every other Jeep vehicle for which comparative statistics were available posted negative marks, led by the Liberty's 39 percent sales decline compared with May 2006, and its 28 percent year-to-date decline compared to last year.

Grand Cherokee sales fell 18 percent in May and 20 percent for the year to date, while Jeep Commander sales fell 9.7 percent in May and 10 percent so far this year.

According to Jeep officials, May sales for the Compass totaled 3,735, while 4,505 Patriots were sold. In 2007, Jeep has sold 18,812 Compass models and 10,336 Patriots. Both vehicles are in their first year of production.

"We develop each vehicle to appeal to a different kind of customer," said Chrysler spokesman Dan Bodene.

He said introducing the Compass and Patriot was an attempt to enter new markets by leveraging the company's recognizable nameplate. Bodene said Jeep will work harder to deliver the message about its core products and may offer new incentives.

Rosten said that might not be enough. He said the Grand Cherokee is "too old," while new models like the Compass and Patriot are "too redundant."

"Jeep has shot itself in the foot by releasing the Patriot and the Compass," he said. "By doing so, they have cannibalized other products, like the Liberty."

On Tuesday, Jeep canceled its scheduled announcement of a new advertising campaign developed by Cutwater, a San Francisco-based advertising agency. Chrysler officials said the postponement until later this week was due to a scheduling conflict and had nothing to do with recently released sales numbers.

Chrysler First To Offer Sirius Backseat TV

SIRIUS Backseat TV™ will be offered exclusively in 2008 Model Year Chrysler Group vehicles Debuts on all-new 2008 Chrysler Town & Country and Dodge Grand Caravan minivans, including the Jeep Commander and the Jeep Grand Cherokee.

Three channels of live, family TV programming from Nickelodeon, Disney Channel and Cartoon Network delivered directly to the vehicle Builds on Chrysler Group's innovative technology leadership, which includes MyGIG™ Multimedia Infotainment System, Swivel 'n Go™ seat system, Chill Zone™ cooled beverage storage bin, heated and cooled cup holder, articulating liftgate speakers, LOAD 'N GO™ slide-out cargo load floor and removable/rechargeable cargo light.

OFFICIAL PRESS RELEASE:

New York, Mar 29, 2007 - Chrysler Group and SIRIUS Satellite Radio announced today that Chrysler Group will be the exclusive auto manufacturer to offer SIRIUS Backseat TV™ in its vehicle lineup in the 2008 model year.
For the first time, live TV programming from the most trusted brands in family entertainment-Nickelodeon, Disney Channel and Cartoon Network-will be available through SIRIUS Backseat TV in select 2008 model Chrysler, Jeep® and Dodge vehicles, beginning with the all-new 2008 Chrysler Town & Country and Dodge Grand Caravan minivans.

"Chrysler Group is committed to offering innovative technologies that are right for our customers," said Frank Klegon, Executive Vice President – Product Development, Chrysler Group. "SIRIUS Backseat TV makes its world debut in Chrysler Group's all-new 2008 minivans, combining with innovative features that include a dual DVD system that can play different media at the same time, MyGIG™ Multimedia Infotainment System, and our unique Swivel 'n Go™ seat system, offering more options for families on the go. No one else in the marketplace offers their customers this combination of innovative technology."

SIRIUS Backseat TV features three channels of respected children's TV featuring many of the most well-known kids' programming, including Nickelodeon, Disney Channel and Cartoon Network. Rear-seat passengers will be able to watch shows such as Nickelodeon's "SpongeBob SquarePants," Disney Channel's "Cory in the House," and Cartoon Network's "Foster's Home for Imaginary Friends."

SIRIUS Backseat TV will also be available on the 2008 Chrysler 300, Dodge Charger, Dodge Magnum, Jeep Commander and Jeep Grand Cherokee.

SIRIUS Backseat TV operates via an in-vehicle satellite video receiver and two small roof-mounted antennas. Programming is displayed on the vehicle's second- and/or third-row video screens, and channel name, program title and rating will be broadcast and displayed on the screen(s). For added flexibility, rear-seat passengers can enjoy SIRIUS Backseat TV while front-seat occupants listen to SIRIUS Satellite Radio. The system can be operated from either the rear-seat entertainment unit or the radio head unit. In addition, when the vehicle is in Park, programming can be displayed on the MyGIG screen for front-seat viewing.

SIRIUS Backseat TV is available for a Manufacturer's Suggested Retail Price (MSRP) of $470, which includes the first year of service, when packaged with Chrysler Group's Rear Seat Entertainment System and SIRIUS Satellite Radio. After the first year, SIRIUS Backseat TV is available for $7 per month when packaged with SIRIUS Satellite Radio ($12.95 per month).

"This innovative entertainment offering from SIRIUS adds to the 2008 Chrysler Town & Country and Dodge Grand Caravan's long list of leading amenities for today's busy families," said George Murphy, Senior Vice President – Marketing. "Along with a dual DVD system that plays different media at the same time, pinpoint LED lighting to read by, a table to play games or finish homework, a voice-activated navigation system with real-time traffic, power-sliding doors and liftgate, YES Essentials® cloth seats, Swivel 'n Go seating and our exclusive Stow 'n Go seating and storage system, Chrysler Group's minivans offer something every member of the family will enjoy during their journey."

2008 Grand Cherokee Facelift

The Jeep Grand Cherokee is in line for a facelift, and the folks over at Popular Mechanics have the photos to prove it. The mule in these pics sports very little camo up front, and nothing covering the rear, and yet it's still difficult to tell where the changes lie.


Up front, the headlights have been updated, with the outside light overlapping the inside light. The front bumper and the grille are also both revised. Out back, the taillights have been slightly changed and now feature amber turn signal lenses.


The 2008 Grand Cherokee will be getting the 3.0L Common Rail Diesel, which is sourced from foster parent Daimler-Benz. No word yet on whether Jeep will get the upgraded 290-hp 4.7L V8 that powers the 2008 Dakota, but we'll undoubtedly find out soon enough. The updated Grand Cherokee will be unveiled next week at the New York Auto Show, and we'll be on hand to chart the changes in person.

[Source: Popular Mechanics]

Chrysler Recalls 50,000 Vehicles

AutoWeek is reporting that Chrysler Group is recalling more than 50,000 2007 cars and SUVs due to faulty anti-lock brake software. Included in the recall are: 2007 Jeep Wrangler, Compass, Patriot, Commander, Liberty and Grand Cherokee.

The specific vehicles were built in late 2006, so not every 2007 model needs to be serviced. The problem “could result in a loss of vehicle control and cause a crash without warning” according to a company warning.

This follows a recall last week of more than 86,000 2006 Dodge Ram pickups for faulty front-wheel bearings. The problem would present itself with noise and vibration and, if ignored, could cause the wheel to simply fall off, possibly causing a loss of vehicle control and a crash.

You can call Chrysler at (800) 853-1403 regarding either recall.