The Renault group is saving its balance thanks to the success of Dacia

In 2017, Groupe Renault sold 3.7 million vehicles worldwide. Last year, this number stopped at 2,051,174 vehicles to be exact, a decrease of 5.9% compared to a year 2021 which is already decreasing. And even ! This total does not include the loss of the Russian market, which Groupe Renault prefers to leave in May 2022. With this severe shortage of approximately 500,000 Renault and Lada vehicles, the decline in sales will amount to “almost 26% a year”, admitted the manufacturer.

The increase in Dacia sales was not enough to compensate for the decline in Renault sales

Within the Group, it is clear that the Renault brand is suffering the most from this extinction of sales in Russia, where the Diamond is attached to the models designed by Dacia in Romania. The impact of Russia pushed the decline of Renault brand sales worldwide to 14.6% in 2022, a figure that was reduced to 9.4% in the official balance sheet excluding the Russian market and the AvtoVAZ manufacturer where it was sold of Renault its stake. , in May 2022, for a symbolic ruble.

Also readRenault: Losange sells fewer cars in 2022 but increases its profit

The comparison with Dacia hurts. The Romanian brand, which signed the simplest and most affordable cars of the Renault Group, reports a 6.8% increase in sales worldwide in 2022. The inflationary context keeps fears of the next day and weaken household purchasing power to boost the appeal of the Dacia Duster compact SUV, the Dacia Sandero versatile city car and the Dacia Spring mini electric city car. The first two even managed the feat of climbing to the top two steps of the podium of the best-selling individual cars in Europe.

Groupe Renault to sell almost half as many cars in 2022 than in 2018 worldwide

The Renault Group does not seem too concerned with the return of its global sales as it is mainly seen as a result of the ongoing supply difficulties; but also the desired outcome of the policy of ending the volume race decreed by Jean-Dominique Senard, and implemented by its Managing Director Luca de Meo.

In its “Renaulution” plan, presented in January 2021, there are three objectives aimed at restoring revenues, then boosting profitability: increasing Renault’s positions in the retail market, which is more profitable than the business channel; win again in the C segment (that of Mégane and Austral), after too much reliance on the B segment of Clio and Captur; become a major player in hybrid, plug-in hybrid and electric engines.

Renault and Dacia could have sold more if the shortages hadn’t stopped production

However, with these three goals, satisfaction is in order: “From 30% electrified in 2021, the Renault brand goes to 39% at the end of a year 2022 still marked by supply constraints” , underlined yesterday the Director of Sales and Operations of Renault Fabrice Cambolive, during the presentation of the commercial results. The Dacia brand cannot be said to be better, it just started marketing its first hybrid (Dacia Jogger Hybrid 140) and has only one electric in its catalog (the small but very popular Dacia Spring). Note that details of Dacia’s results will be released this Wednesday afternoon, January 18.

Renault Group’s silence finds another explanation in the pursuit of “its commercial strategy focused on value creation, leading to an increase in the share of its sales in the most profitable channels”. Understand: growing share of C-segment vehicles in total sales (new Renault Mégane, new Renault Austral SUV) and the increase of the retail sales channel.

Also readRenault falls in Europe but Dacia is still climbing

The latter should always be patient, as delivery times are still measured in months, rather than weeks. However, the Renault Group cited “an improvement in the second half”, despite “problems with the delivery of new vehicles”. The group’s order book in Europe thus remains at a “record” level of 3.5 months of sales, as of December 31, 2022.

The Alpine sports brand, recently relaunched, confirms its progress with 3,546 units sold in 2022. A 33% increase explained by the unexpected success of the special editions of the Alpine A110 coupe that visibly hitting the mark. A smart way (because cheap and convenient) to revive demand for a model released in 2017, which remains desperately alone in the catalog. Renault plans to expand the Alpine offering in the coming years, venturing into the premium SUV market with electric motors.