Skip to main content
Sister Publication Links
  • Automotive News
  • Automobilwoche
  • Automotive News Canada
  • Automotive News China
Subscribe
  • Subscribe
  • Newsletters
  • Login
  • HOME
    • Latest news
    • Automakers
    • Suppliers
    • New Product
    • Environment/Emissions
    • Sales By Market
    • On The Move
    • Auto Shows
    • Munich Auto Show
    • Geneva Auto Show
    • Paris Auto Show
    • Beijing Auto Show
    • Shanghai Auto Show
  • Features
    • Long Read
    • Interview of the Month
    • Focus on Electrification
    • Focus on Technology
    • Segment Analysis
    • Cars & Concepts
    • Supplier Spotlight
    • Europe By The Numbers
  • Opinion
    • Blogs
    • Commentary
    • Guest columnists
  • Photos
    • Photo Galleries
    • Geneva Photo Gallery
    • Beijing Photo Gallery
    • Frankfurt Photo Gallery
    • Paris Photo Gallery
    • Shanghai Photo Gallery
  • Podcasts
  • Car Cutaways
  • EVENTS
    • ANE Congress
    • ANE Rising Stars
    • ANE Eurostars
  • More
    • Publishing Partners
    • Social Media
    • Contact Us
    • Media Kit
    • About Us
    • Capgemini: All or nothing: Why circular business models require a holistic approach
    • Capgemini: Invent Head on automotive takeaways from CES 2023
    • Capgemini: Securing the industry's future through a radical rethink
    • Capgemini: Succeeding with the automated driving journey through AI
    • Capgemini: The circular economy is spurring new thinking on EV batteries
    • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
    • HEXAGON: Plugging into data is the only way to make winning EVs
    • PUBLICIS SAPIENT: The power of post-purchase: How automakers can maximize customer lifetime value
    • TUV Rheinland: Ideas, services and certifications for smart mobility
    • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
    • Toyota Europe
    • UFI Filters
    • Facebook
    • Instagram
    • LinkedIn
    • Twitter
MENU
Breadcrumb
  1. Home
  2. Automotive News Europe
September 02, 2009 01:00 AM

Mercedes to sell Sprinter through its own U.S. stores, jettisons Dodge dealers

Diana T. Kurylko
Bradford Wernle
  • Tweet
  • Share
  • Share
  • Email
  • More
    Print
    The Sprinter: Mercedes will sell them at its own U.S. dealerships.

    MONTVALE, N.J. -- Mercedes-Benz USA is getting back into the commercial van business Jan. 1 and will appoint up to 120 dealers to sell Sprinter vehicles.

    That means Mercedes will yank the Sprinter from nearly 350 Dodge dealers who now carry the van.

    The vans will be sold by the newly created Daimler Vans USA, which is sharing headquarters with the car division here.

    Contracts will be terminated by Jan. 1 with the nearly 350 Dodge dealers who sell most of Daimler’s Sprinter vans in the United States. The Dodge version of the Sprinter will be discontinued, said Ernst Lieb, CEO of MB USA.

    Dodge has been selling the Sprinter since 2003.

    About 45 Freightliner dealers who have the Sprinter franchise will continue to sell the Sprinter as a Freightliner, Lieb said. Beginning 2010, Sprinters sold by Mercedes-Benz dealers in the United States and Canada will be branded as Mercedes vehicles.

    In January, the Sprinter will be launched with a 3.0-liter, V-6 common rail diesel that currently is used in the Mercedes-Benz M and GL SUVs and sold in all 50-states.

    Freightliner or Dodge

    When Daimler launched the Sprinter in the United States in 2001, it was branded either a Freightliner or a Dodge because U.S. buyers didn’t know the vehicle, said Lieb.

    “It has now established itself,” he said.

    Claus Tritt has been appointed general manager of the new van unit. He previously worked at the van division for the now-defunct DaimlerChrysler in Auburn Hills.

    The Sprinter is assembled at a semi-knockdown factory in Ladsen, S. C., which has a capacity of 32,000 units a year, said Tritt.

    Freightliner dealers who also handle Daimler’s commercial vehicles in the United States have a separate Sprinter franchise. They account for about 30 percent of Sprinter sales.

    That means U.S. Mercedes dealers could sell about 18,000 Sprinters annually.

    Lieb said Mercedes-Benz will approach dealers about taking the Sprinter franchise “based on their potential in the market.”

    Said Lieb: “We are dealing with a product that has been sold for nine years here, so we know where it sells best and in what market we can pinpoint where we need a dealer.”

    Sprinter U.S. sales

    2001 -- 1,893

    2002 -- 2,970

    2003 -- 7,150

    2004 -- 15,280

    2005 -- 23,655

    2006 -- 25,694

    2007 -- 19,589

    2008 -- 18,282

    * Source: Daimler Van USA LLC

    Dodge dealership impact

    Dodge Sprinter sales peaked in 2006 when Dodge sold 21,961 units. Dodge sold 14,600 in 2008.

    Earl Hesterberg, chairman of Houston-based Group 1 Automotive Inc., said the departure of the Sprinter would hurt revenue on at least one of his company's eight Chrysler stores -- Rancho Chrysler Jeep Dodge in San Diego, which does a large business servicing them.

    “It will create a challenge for us at at least one of our dealerships due to lost parts and service business,” he said.

    However, Hesterberg said sales of Sprinters has been slow because big customers like FedEx and DHL buy their vehicles direct from Chrysler and there has been no financing available for small business owners in need of such a van.

    “They had the proper configuration of vehicle, which is the walk-in box and they had a diesel engine with automatic transmission," he said. "DHL, Fed Ex and UPS have committed to that configuration.”

    Chrysler’s new management team, headed by Sergio Marchionne who is also CEO of Fiat, is studying the idea of bringing Fiat-based commercial vehicles into North America to fill the hole left by the Sprinter’s departure.

    The Sprinter is sold only in Dodge dealerships that have a franchise called BusinessLink. Those dealerships have special tools and service bays equipped to service the Sprinter and other Dodge commercial vehicles.

    About 80 percent of Sprinters are sold east of the Mississippi River, said Daimler's Tritt.

    The average dealer would have to invest $30,000 to $50,000 in the Sprinter franchise and put up a sign, dedicate service and sales personnel and purchase some special tools and equipment, said Lieb.

    Mercedes-Benz would not require a separate facility for the display of Sprinters, but they won’t be on the showroom floor with passenger cars or light trucks. Dealers can dedicate part of their outside lot and “it could be a roofed area -- that is how we did it in other countries,” said Lieb.

    Lieb said he will lay out the van plan to potential dealers in early October. They will be asked to stay an extra day after a regular dealer meeting in Denver.

    RECOMMENDED FOR YOU
    EV efficiency takes center stage at the Automotive News Europe Congress
    Recommended for You
    Renault electric car
    EV efficiency takes center stage at the Automotive News Europe Congress
    Renault Flins recycling 2021
    Explore Renault's Refactory at the Automotive News Europe Congress
    Fredrika Klaren Polestar Congress 2023
    Polestar sustainability chief Fredrika Klaren to speak at Automotive News Europe Congress
    Sign up for free newsletters
    EMAIL ADDRESS

    Please enter a valid email address.

    Please enter your email address.

    Please verify captcha.

    Please select at least one newsletter to subscribe.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    Get Free Newsletters

    Sign up and get the best of Automotive News Europe delivered straight to your email inbox, free of charge. Choose your news – we will deliver.

    You can unsubscribe at any time through links in these emails. For more information, see our Privacy Policy.

    SUBSCRIBE TODAY

    Get 24/7 access to in-depth, authoritative coverage of the auto industry from a global team of reporters and editors covering the news that’s vital to your business.

    SUBSCRIBE NOW
    Connect with Us
    • Twitter
    • Facebook
    • LinkedIn
    • Instagram

    Founded in 1996, Automotive News Europe is the preferred information source for decision-makers and opinion leaders operating in Europe.

    Contact Us

    1155 Gratiot Avenue
    Detroit MI  48207-2997
    Tel: +1 877-812-1584

    Email Us

    ISSN 2643-6590 (print)
    ISSN 2643-6604 (online)

     

    Resources
    • About us
    • Contact Us
    • Advertise with us
    • Advertise with Us
    • Ad Choices Ad Choices
    • Sitemap
    Awards
    • Rising Stars
    • Eurostars
    • Leading Women
    Legal
    • Terms and Conditions
    • Privacy Policy
    • Privacy Request
    Automotive News Europe
    Copyright © 1996-2023. Crain Communications, Inc. All Rights Reserved.
    • HOME
      • Latest news
      • Automakers
      • Suppliers
      • New Product
      • Environment/Emissions
      • Sales By Market
      • On The Move
      • Auto Shows
        • Munich Auto Show
        • Geneva Auto Show
        • Paris Auto Show
        • Beijing Auto Show
        • Shanghai Auto Show
    • Features
      • Long Read
      • Interview of the Month
      • Focus on Electrification
      • Focus on Technology
      • Segment Analysis
      • Cars & Concepts
      • Supplier Spotlight
      • Europe By The Numbers
    • Opinion
      • Blogs
      • Commentary
      • Guest columnists
    • Photos
      • Photo Galleries
      • Geneva Photo Gallery
      • Beijing Photo Gallery
      • Frankfurt Photo Gallery
      • Paris Photo Gallery
      • Shanghai Photo Gallery
    • Podcasts
    • Car Cutaways
    • EVENTS
      • ANE Congress
      • ANE Rising Stars
      • ANE Eurostars
    • More
      • Publishing Partners
        • Capgemini: All or nothing: Why circular business models require a holistic approach
        • Capgemini: Invent Head on automotive takeaways from CES 2023
        • Capgemini: Securing the industry's future through a radical rethink
        • Capgemini: Succeeding with the automated driving journey through AI
        • Capgemini: The circular economy is spurring new thinking on EV batteries
        • Capgemini: Toyota and Capgemini leaders on how OEMs can handle industry changes and succeed
        • HEXAGON: Plugging into data is the only way to make winning EVs
        • PUBLICIS SAPIENT: The power of post-purchase: How automakers can maximize customer lifetime value
        • TUV Rheinland: Ideas, services and certifications for smart mobility
        • TUV Rheinland: Testing of automated and autonomous vehicles on test tracks
        • Toyota Europe
        • UFI Filters
      • Social Media
        • Facebook
        • Instagram
        • LinkedIn
        • Twitter
      • Contact Us
      • Media Kit
      • About Us