Key Takeaways
- The F-Pace is the only model to survive as Jaguar kills off the existing lineup.
- CEO Adrian Mardell said JLR is discontinuing low-profit models as it transitions to an electric-only brand.
- JLR’s success is primarily driven by Land Rover models.
Jaguar Land Rover CEO Adrian Mardell has told investors that the automaker will pull the plug on several Jaguars with “close to zero profitability” as the marque transitions to an all-electric brand. An unnamed JLR spokesperson told Automotive News Europe that the E-Pace and I-Pace EV would be discontinued, following in the footsteps of the XE, XF, and F-Type.
The only Jaguar to survive this mass culling is the F-Pace SUV, the brand’s best-selling model. It will remain in production as the rest of the lineup is phased out. How long it sticks around remains to be seen, but we’re guessing it will be offered alongside Jaguar’s new electric cars for at least a few months.
2024 Jaguar F-Pace
- Base MSRP
- $57,000
- Engine
- 2.0L Turbo Inline-4 Gas
- Horsepower
- 246 hp
- Fuel Economy
- 22/27 MPG
F-Pace Is The Sole Survivor
Jaguar has been struggling with sluggish sales and outdated products compared to its German rivals. “We are eliminating five products, all lower value. None of those are vehicles on which we made any money, so we are replacing them with new vehicles on newly designed architectures,” said Mardell to investors last month. Discontinuing these cars will increase the average selling price of JLR vehicles. It currently stands at around $90,000.
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JLR has had its best year since 2015, with an annual profit of £2.2 billion ($2.8 billion) before taxes, with revenues of £29 billion ($37.6 billion). However, this success was driven by the Land Rover Defender, Range Rover, and Range Rover Sport. Mardell said these three cars contribute to 85% of JLR’s value, although he did not stipulate whether value means profit or company revenue.
“Our business model is not going to be succession of increasing variable marketing [discounts, for example] and fixed marketing expenses to try and keep our plants full. That was a mass premium model. Our model is very, very different, and there is huge opportunity in front of us to excel.”
– Adrian Mardell, JLR CEO
Jaguar Is Preparing For An All-Electric Future
In the second quarter, Jaguar sold 15,324 vehicles, 5,292 of which were the F-Pace. Compared to Land Rover, which sold 95,856 SUVs in the same period, Jaguar is clearly in dire need of revitalization. And that’s precisely what JLR has planned for the luxury automaker. The first EV, due in concept form later this year, will take the form of a sleek grand tourer. With an estimated six-figure price tag, Jaguar will target the likes of Bentley and Porsche. It’s unclear when the GT will arrive in production form.
Related
Jaguar Retires F-Pace With Subtle 90th Anniversary And Powerful SVR 575 Models
Jaguar is celebrating its attractive SUV, saying goodbye with speed and style.
In addition to the coupe, Jaguar plans to launch a trio of electric cars, all based on the Jaguar Electrified Architecture (JEA) platform. However, before they arrive, JLR will first introduce the all-electric Range Rover, which will be revealed next year. Based on the prototypes, the battery-powered Rangie will share its styling with the ICE-powered version and debut with sophisticated technology. As for Jaguar, one can only hope that the XJ will make a return in the electric era. Rumors suggest the luxury sedan will make a comeback, but as an ultra-luxury sedan that will be even larger than before.
Source:
Automotive News Europe
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