Peugeot and Citroën Want to Differentiate Models Further

PSA PeugeotPeugeotFrance, 1882 > present120 models
3839 photos
7 videos
-CitroënCitroënFrance, 1919 > present94 models
5346 photos
11 videos
wants to stem losses by differentiating its brands. They will still share platforms and engines, but Peugeot will move upmarket, while Citroën will expand its DS cars and C-line cars. 

The problem now, according to PSA, is that Peugeot and Citroën are too similar. It is not a problem that the cars share platforms and engines, but they are competing for the same customers at the same prices.

The plan is to begin targeting different customers with their cars. Peugeot will go after mainstream car buyers at slightly higher prices than currently. Citroën will expand its DS cars and focus on small cars like the C1Citroën C1France, 2005 > 201436 versions
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and C3Citroën C3 Gen.2France, 2009 > 2016111 versions
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. The C cars will become slightly cheaper and offer less technology. 

Peugeot's responsibility will be to fill the gap between Citroën's lineup with mainstream, midsize cars.

These plans are only for the European market. In the rest of the world, especially China, Peugeot and Citroën will try to grow with cars aimed at emerging markets like the C-ElyseeCitroën C-Elysée Gen.1France, 2012 > present15 versions
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and Peugeot 301Peugeot 301 (modern)France, 2012 > present5 versions
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. 

 "Our brand positioning is a new thinking, so we cannot refer to existing cars," said PSA CEO Philippe Varin.

PSA is in a race against time to stem its losses. This new strategy may work, but the question is if it will work fast enough. 

Source: Automotive News Europe