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Renaulution : a new strategy for Groupe Renault

Published by on 02.15.2021 - 5 min

“From chasing volume to creating value.” This, in short, is the new strategic direction for Groupe Renault, announced on January 14 by the group’s CEO Luca de Meo. This paradigm shift involves a profound change within the company, with strong and distinct brands. Its objective is to position the group fully within the times and to make it a forerunner of new mobility by 2025 and beyond. Discover the ongoing “Renaulution”.

Groupe Renault launches its revolution

The word “revolution,” which is part of Groupe Renault’s new strategic plan, testifies to the scope of its ambitions. “Renaulution” is divided into three simultaneous phases: Resurrection, Renovation and Revolution. The goals? Financial optimization, the renewal and enrichment of vehicle ranges, as well as a shift of the group’s economic model from strictly within the automotive sector into technology, energy and mobility in the broad sense.

To achieve this, Groupe Renault is planning to use its standing as leader in the Europe electric vehicle market and its technological expertise. On the organizational side, it positions itself for even better performance, thanks to the creation of four divisions and brands with clearly distinct scopes: Renault, Dacia and Lada, Alpine and Mobilize (dedicated to mobility services).

When it comes to vehicles, Groupe Renault intends to balance its product portfolio by significantly strengthening its offer in the C and D segments, and launching 24 new vehicles by 2025 — of which at least 10 are electric. The creation of value, which guides the group’s new strategy, also requires more efficiency and the streamlining of resources, particularly in terms of engineering and production. This is demonstrated, for example, by the move from eight powertrains to four, from six platforms to three, by the launch of new models completed in less than three years, etc.

At the same time, Groupe Renault does not lose sight of its objective to be an authority in the circular economy or its ambition to reach carbon neutrality in Europe by 2050.

 
The Renaulution is about moving the whole company from volumes to value. We will feed our brands’ strength, each with their own clear, differentiated territories. We’ll move from a car company working with tech to a tech company working with cars.
Luca de Meo CEO of Groupe Renault
Renaulution concepts
The Renaulution with, from left to right: Dacia Bigster Concept, Renault R5 prototype, EZ-1 Prototype Mobilize and Alpine 1521.

Renault

Renault’s “Nouvelle Vague”: the beginning of a new era

Building on 120 years of innovation and its position as pioneer and leader of the European electric vehicle market  for a decade, the Renault brand prepares to start a new chapter and to bring the automobile into the modern age. 14 new models will be launched by 2025, seven of which are electric, and seven in the C and D segments. All will be offered in electric or hybrid versions. R5 Prototype, with its new take on the iconic R5, embodies all the spirit of this “Nouvelle Vague”. With the revival of this cult model, Renault demonstrates its desire to democratize the electric vehicle through a contemporary approach to the popular and essential car.

But the real shift is Renault’s repositioning from “automotive brand” to a “technology, services and energy brand.” Firstly technology: through “Software République”, an open ecosystem dedicated to software, data, cybersecurity and microelectronics which will then provide the Renault vehicles with the best in artificial intelligence systems. Secondly, services take two forms: the new My Link infotainment system, incorporating Google Built-in technology for the first time; and the extension of vehicles’ lifespans, for which the ‘Re-Factory’ in Flins (France) is the cornerstone. At this unique industrial site, more than 100,000 used electric vehicles will be reconditioned, and diesel utility vehicles will be converted into 100% electric or biogas-powered. Through this, Renault demonstrates its commitment to leading the circular economy. Thirdly, the brand shows its focus on clean energy with the extensive electrification of its range, the breakthrough of the hybrid vehicle thanks to revolutionary E-TECH technology and the arrival of hydrogen-powered utility vehicles. Here, Renault clearly affirms its ambition to become the forerunner of the energy transition by offering the greenest product mix on the market.

Renault R5 prototype
Renault R5 prototype

Dacia

Dacia: continuity while conquering new markets

Over the next five years, Dacia will continue to deliver on its promise to offer accessible and reliable vehicles to customers looking for the best value for money — all while adapting to new consumer needs and meeting the challenges of the automotive sector, notably with the arrival of hybrid or alternative-energy-powered motors. As part of a division that also includes the Lada brand, Dacia will increase its competitiveness in order to conquer new markets and develop new products.

In addition to the new Sandero and Logan, 2021 is gearing up to welcome Spring, the most affordable all-electric city car in Europe. Several new models should also see the light of day by 2025, including an SUV in the C segment, prefigured by Bigster Concept. Loyal to the values of simplicity and authenticity that have made the brand so successful, it will be offered at the price of a vehicle from the segment below.

Dacia Spring
Dacia Spring

Alpine

Alpine: 100 % sport, 100 % electric

The “next generation” Alpine concentrates all the sporting spirit of Groupe Renault — grouping Alpine, Renault Sport Cars (RSC) and its emblematic sports cars like the R5 Turbo and Clio V6,  and Renault Sport Racing (RSR) with its Formula 1 team, under one banner. This new division therefore combines technical excellence, expertise and a love for racing in order to offer passionate and exacting customers sports cars that are innovative, authentic and exclusive.

The Alpine product plan includes three new all-electric models that benefit from F1’s cutting-edge technology: a sport compact (B segment), a sport crossover (C segment) and the replacement for the A110 developed in partnership with Lotus.

Carved in its history and DNA, competition remains at the heart of Alpine projects, with F1 at the forefront. Entering the highly exclusive factory team club, from 2021 the F1 Alpine team will face the most prestigious names in the automotive industry.

Alpine A521
Alpine A521

Mobilize

Mobilize: service beyond the automobile

The last building block of Groupe Renault’s new strategy, Mobilize is dedicated to mobility, energy and data services. Engaged in the development of more sustainable mobility, it aims to support the shift in public mindset from individual ownership to usage when needed. Its objective? To extend the lifetime and life cycle of vehicles and their components through carsharing, reuse and recycling, according to the principles of a circular economy.

To achieve this, Mobilize has developed a unique set of services. It begins with a range of designated all-electric vehicles — principally EZ-1 Prototype — designed for intensive use and to meet different transport needs: transport with a driver, carsharing, last-mile delivery and transport on demand. The new division will also deal with financing, with new and more flexible solutions such as subscriptions, leasing and pay-as-you-go. Data and artificial intelligence services in particular should lead to an increase in vehicle use rates thanks to increasingly powerful algorithms and software.

Lastly, the Re-Factory in Flins will ensure the maintenance and recycling of shared vehicles. Mobilize also commits to the energy transition through supporting the development of virtuous energy ecosystems with smart charging and stationary energy storage solutions that use second-life batteries.

Mobilize
Mobilize and EZ-1 Prototype

More than a new strategic direction, Groupe Renault has therefore embarked on a revolution in order to respond to modern needs and challenges by offering vehicles and solutions which will come to define the future of mobility.

 

 

Copyrights: Olivier Martin-Gambier, Groupe Renault – Direction Design