Video: Renault accelerates e-mobility

Groupe Renault aims to be a leader in vehicle electrification by 2025, producing more than 10 all-electrics and targeting half of all launches in Europe to be full EVs.

Its newly released “Renaulution” strategy also includes building on Renault’s alliance with Nissan and Mitsubishi Motors and to increase mobility, energy and data services.

The plan aims to shift from volume to value and features three phases, Groupe Renault chief executive Luca de Meo says.

These are “Resurrection” to 2023, focusing on margin and cash generation recovery: “Renovation” to 2025 which will see renewed and enriched line-ups feeding the brand’s profitability; and “Revolution” from 2025 which will move the business model to tech, energy and mobility.

It plans 24 launches by 2025, offering 11 electrics and hybrids in the C and D segments, five electrics and hybrids in the small car category and six in the light commercial vehicle (LCV) including three pure electrics.

Sustainable and innovative marketing solutions will be offered customers, and the plan also includes developing joint ventures in hydrogen fuel cells (FCEVs) and hydrogen turn-key solutions for Europe.

Renault aims to move faster in the new world of mobility, providing solutions and services to other brands and external partners.

It also wants to increase time use of cars, which it says are 90% unused (parked, etc) and proposes purpose-built vehicles for car sharing (two), ride sharing (one) and last mile delivery (one).

New maintenance and refurbishment services will also be offered (Re-Factory).

Groupe Renault aims to be carbon neutral in Europe by 2050.

The “Renaulution” plan is designed to restore Groupe Renault’s competitiveness by taking the 2022 plan a step further, driving efficiency through engineering and manufacturing, to reduce fixed costs and to improve variable costs worldwide and improving profitability through four differentiated business units based on empowered brands, customers and markets.

Renault says a new organisation will roll-out this plan and the company will no longer measure its performance on market shares and sales but on profitability, cash generation and investment effectiveness.

“More than a turnaround, it is a profound transformation of our business model. We’ve set steady, healthy foundations for our performance,” de Meo says of the “Renaulution” plan.

“We’ve streamlined our operations starting with engineering, adjusting our size when required, reallocating our resources in high-potential products and technologies,” he explains.

“This boosted efficiency will fuel our future line-up – tech-infused, electrified and competitive.

“And this will feed our brands’ strength, each with their own clear, differentiated territories; responsible for their profitability and customer satisfaction.

“We’ll move from a car company working with tech to a tech company working with cars, making at least 20% of its revenues from services, data and energy trading by 2030.”