Peugeot chief Adam Wood outlines C segment strategy at centre of electric ambitions

The launch of Peugeot’s E-3008 electric fastback marks a significant milestone for the car maker as it prepares to field a 100% electric version of every model in its lineup by 2025 with five electric cars in the C segment alone.

Peugeot continues to punch above its weight globally, with a strong presence in 147 countries. In the UK, its sales are on the rise, making it the second fastest-growing brand in Britain with electric models such as the E-208 city car and E-Expert van already receiving praise.

Adam Wood, Peugeot’s managing director, tells AM that Peugeot’s aim is to solidify what is an already robust position to shore up its ambitions to become the pre-eminent leader in European electric sales by next year.

“The E-3008 is an absolutely critical vehicle for our retailers,” he tells AM. “We've actually started the launch phase now and have allowed our retailers to take pre orders since the start of this year.”  

By giving their retail partners the tools to take orders well in advance of vehicles coming into the UK, together they have helped build a healthy order bank which will allow Peugeot to achieve a 30%-plus battery electric mix this year.

“We've provided them with web-based training but now we're about to have two big events. The first one is a central event at Sherwood Pines where we are inviting the entire retailer network to attend professional training and have a chance really to celebrate Peugeot’s electric range.”

Kick-off

He says that will act as a kick-off to celebrate the arrival of E-3008 in June which will precede a nationwide tour where Peugeot will visit every single retailer with a professional training session in the morning followed by an afternoon where dealerships will be able to invite prospects to test drive the car - a kind of VIP preview.

With 70% of the French car maker’s UK marketing budget for the year targeted at supporting the arrival of the E-3008, recent comments by the Stellantis chief Carlos Tavares about the repercussions that the ZEV mandate may have for the car making giant seem to sit oddly, coming as they do as Peugeot stakes its claim for electric ascendancy in the UK market.

“We're a brand that's been around since 1810,” says Wood. “Through the years, we've seen an influx of competition and different regulations, but ultimately, we've got through that. Today we have invested €40 billion in electrification and are bringing 13 battery electric models into the market this year. That really proves our commitment.”

“But ultimately,” he adds, “that needs to be done hand in hand with government to support the industry with the right incentives that private buyers need. I think if we act together, then we've got every reason to believe we can create the success that we all want.”

“The ZEV mandate is something of course that we're tuned into and are embracing. We have Europe’s widest mainstream electric vehicle range so we're certainly 100% committed to supporting customers in this country on the road to electrification.

“We listen to what consumers are saying and they have three major concerns. One is obviously the purchase price of electric vehicles. The second is so-called range anxiety. And the third one is obviously the inadequacy of the charging infrastructure in this country.

“We're certainly investing a lot in terms of improving the accessibility of our products. And so right now, we're offering up to a £6,500 Switch Grant and up to four years 0% finance on battery electric cars. That means that the majority of our battery electric vehicles are within £10 a month of their ICE equivalent.

“So with the investment that we're making, we're starting to bring them into reach. Having said that, I would certainly welcome more incentives for private buyers from the Government because, while there are fiscal incentives for the fleet sector, it's fair to say that jump is bigger for private buyers.

“But what is clear, however, is that we have a ZEV mandate that extends well beyond the mandate of any government and we've committed to meeting that through investing €40 billion in electrification as part of a 10-year product roadmap.”

Discounting

Asked whether carmakers with ambitious electrification strategies expect to come under pressure to apply heavy discounts, Wood remains sanguine.

“We will always be in a competitive market, that's a fact. However, I think we are certainly confident in the value of the product that we provide. E- 3008 is a class-leading vehicle offering up to 422 miles in range. That genuinely creates new possibilities for our customers. Combine that with the level of style fit and finish and the quality of the product that we're delivering, we offer exceptional value. It's not just about price, It's about value.”

“Certainly, the start we've made this year bears that out. We're now the second fastest-growing brand in the UK. With a 4.4% market share - 0.7% up on the previous year - it's clear to me that more and more customers are seeing the value that Peugeot offers as a brand with a lot of that progress achieved through the retail network and Motability.”

Looking ahead to the forthcoming launch of the seven-seat E-5008 SUV, Wood says orders are expected to open from July following on from the recent global reveal, with vehicles expected to arrive in Q4.

“That vehicle really is a unique one for us,” Wood says. “Seven seats with a fully electric range of up to 410 miles genuinely makes it a class-leading and a highly unique vehicle. Very few vehicles in the market today offer that level of performance.”

Wood says Peugeot has enjoyed a strong start to the year with the 408 launching last year. becoming the number one mainstream car in the UK through selling well over 1,000 units in Q1.

The fully electric 408 Fastback coming towards the end of the year will gives Peugeot five C segment electric cars. “Which other brand can say they've got five electric cars in the C segment?” he asks.

“We're also launching the plug in hybrid of the E-3008 later on in the life cycle. plug in hybrids can act as a stepping stone to people who are who, for their own reasons, not necessarily ready immediately to make the jump to electric.”

Timing

Wood says the timing of the launch of the E-3008 plug-in hybrid was purely as a consequence of the model’s production ramp up although, although notesthat with well over 30% of pre orders being for the fully electric version, the full electric version will be the focus of sales activity.

In terms of Peugeot’s fleet offering, Wood believes there has never been a better year to link with the Peugeot brand.

“If you look at the credibility particularly of our battery electric offering now for fleets over and above the fiscal incentives to go electric with the new E-3008 in the market, what I would say to fleet managers is make sure that you try one as quickly as possible because I genuinely believe that Peugeot, with its five cars in the C segment lineup, we're in a fine position to make the most of the salary sacrifice sector.”