Fiat Gives UK Model 500e Big Discount, Here's Why

Fiat Abarth 500e. (Doc. Stellantis)

JAKARTA - A brand automotive from Italy, Fiat took a strategic step by cutting the price of Abarth 500e in the UK market. This step is taken to embrace the growing fleet market segment, as well as increase sales of its electric hatchback in the midst of increasingly fierce competition.

Reporting from Autocar, Wednesday, January 8, the hatchback was discounted for up to 4,220 (IDR 85.2 million) and is now 29,975 (IDR 608.8 million).

This follows a price cut in other Fiat models, namely 600e to 4,020 pounds or equivalent to Rp. 81.2 million. Thus, this gives the two EVs the same starting price.

Abrath and UK spokesmans explained that the discount was given directly by Fiat to the dealer network on condition that it should be forwarded to consumers. This move confirms Fiat's commitment to dominate the fleet market, which currently plays a crucial role in the sale of new cars in the UK.

According to data from Motor Manufacturers and Traders (SMMT), the fleet market accounted for about 62.2 percent of the total new car sales in the UK last year. More than 25 percent of the vehicles sold in this segment are electric cars, with a total of 306,451 units of 381,970 electric vehicles sold as a whole.

The imbalance in sales between fleet markets and retail buyers was due to financial incentives for fleets to switch to electric vehicles, while retail buyers did not get similar benefits.

Previously, Stellantis as the parent company announced the extension of the factory closure in Mirafiori, Italy, which assembled Fiat 500e until January 20.

Now, Fiat 500e offers three variants, namely 94 cellphones, then 117 cellphones, and a maximum of 153 cellphones. Meanwhile, the hatchback offers two battery packages, namely 24 kWh and 42 kWh with a distance of 185 km to 320 km.