The Peugeot and Citroen brands seemed to run PSA/Peugeot-Citroen SA in the past. That has changed under CEO Philippe Varin.
The heads of Peugeot and Citroen now report to Jean-Marc Gales, 48, who is PSA's board member in charge of the brands.
The goal of the change is to further reduce overlapping marketing spending and product competition between Citroen and Peugeot.
“Brand overlapping had always been an issue at PSA,” said Philippe Houchois, head of European auto research at UBS in London. He noted that in the past the executives responsible for the Citroen and Peugeot brands were part of the first level of management.
“Now there is a single guy (Gales) at the top giving direction to both brands,” Houchois said, “which makes me more confident of more focused brand positioning and higher product differentiation in the future.”
Citroen is led by Frederic Banzet and Peugeot by Vincent Rambaud. Both are 51.
Gales has been a fast-riser since joining PSA last year after stints with Opel and Daimler. He was named head of the Citroen brand in April 2009 and two months later was promoted to the management board as executive vice president of both the Citroen and Peugeot brands.
As part of CEO Varin's recent management shake-up, Gales now also has responsibility for marketing and product operations at the two auto brands.