MOAB, Utah — Jeep is no stranger to overcoming obstacles.
This is true on dusty, rock-laden trails as well as in a marketplace that has been upended this year by the coronavirus pandemic and a shortage of microchips.
Despite those challenges, the off-road brand is building up steam by broadening its portfolio with new powertrain offerings, redesigned models and forays into segments where it hasn’t competed before.
The goal now is to continue churning out metal while working around parts shortages to fulfill orders for customers who are ready to experience the next phase of Jeep products. But with so many important launches in a short period, the brand will have to ensure it keeps building on the quality gains it has made in recent years and avoid snafus that could slow its momentum at a critical time.
“Jeep is white hot right now,” said Brian Moody, executive editor at Autotrader. “They clearly know who they are and how to present themselves in a focused, on-brand way. Better yet, Americans want to embrace exactly who Jeep is.”
Moody said Jeep has kept its “rugged authenticity” and stayed on-brand while going upscale and adding electrification.
Jeep’s U.S. sales rose 4 percent in the first nine months of 2021, a period that included the summer launch of the Grand Cherokee L, the nameplate’s first three-row offering. Third-quarter sales of the Grand Cherokee, boosted by the L, surged 45 percent from a year earlier to 81,704.
That was good enough to make the Grand Cherokee the industry’s No. 5 selling nameplate during the quarter. It ranked 15th in 2020.
Having solid footing in a turbulent market gave Jim Morrison, Jeep’s North America vice president, plenty of positive developments to tout during a media drive here last month for the redesigned Grand Cherokee.
Riding in the passenger seat, Morrison said the Grand Cherokee L is delivering new customers to the brand. He said Jeep has an “aggressive growth plan” for the Grand Cherokee family, which has a plug-in hybrid variant arriving in early 2022.
The venerable Wrangler also has been a hot commodity, with sales up 9.7 percent this year through September. The rugged off-road cruiser received a rumbling V-8 engine variant this year as well as a model that rides on 35-inch tires to match the Ford Bronco’s Sasquatch edition. Dealers say the Wrangler 4xe plug-in hybrid has been in high demand since its debut in early 2021.
“The team is doing a great job in Toledo working around the clock keeping up, but I think the biggest thing with Wrangler is just going to be helping our dealers with availability,” Morrison told Automotive News. “They’ve been selling them off their upcoming inventory and they’ve got the biggest order bank that we’ve ever seen for Wrangler. The demand is still strong, so expect that to continue next year.”
Ken Thomas, operating partner at Northland Chrysler-Dodge-Jeep-Ram in suburban Detroit, said growth shouldn’t be an issue with the Grand Cherokee L and Grand Wagoneer taking the brand into new territory.
For Thomas, quality will be key to whether Jeep can keep up its momentum as it delves into electrification. The brand jumped into the top 10 of the 2021 J.D. Power Initial Quality Study, moving up three spots to eighth. The previous-generation Grand Cherokee was among the top-performing midsize crossovers, while the Gladiator led the quality race for midsize pickups.
Initial-quality scores sometimes slide after a redesign, so Jeep will have to contend with that trend as it updates its lineup.
“With all these new launches, the main thing that they have to focus on now is making sure that the product that we’re getting is of high quality without any issues,” Thomas said.
Morrison knows dealers are relying on Jeep to execute and keep the brand moving forward. He hopes to have some dealers come to Moab next year for the Easter Jeep Safari to see their products perform off-road.
“I started in the dealer world, and I still believe that a lion’s share of the success to any manufacturer is by having a really good dealer body, and we’ve got a good dealer body,” Morrison said.
“I think they’ve done really well even through the last couple years where we were kind of short on product. Now we’ve got lots of product for them, so it’s our job to build demand, build a really good vehicle and deliver them to the store and then keep customers for life.”