Ram Jam: Ram Trucks CEO Talks Hellcat, Compact Trucks, and More

Last August, longtime Chrysler executive (he’s been with the company since 1988) Robert Hegbloom took the position of CEO of Ram Trucks. Now that he’s had time to get comfortable with the reins, we sat down to talk sales numbers, EcoDiesel, mid-size trucks, and more—much more.

Car and Driver: Ram sold 395,567 trucks in 2014, placing it in fourth place in the bestselling-vehicle derby behind the Toyota Camry (396,988), the Chevrolet Silverado (471,918), and the Ford F-series (679,496). Safe to call it a big year?

Robert Hegbloom: We were up 28 percent year over year, and three points overall in the market. Basically, we look at our customers and see that they play in a number of areas: work, outdoor [recreation], motorsports, and even [just using the truck] as a family vehicle. And in those spaces, customers are looking for something unique. But the first thing with a light-duty truck is fuel economy, which is so different from where it was a few years ago. We want to deliver on fuel economy first, and then, depending on what their particular needs are, make sure we have the right package.

Might the product lineup get diluted by the staggering amount of available trims and packages and submodels? Do you see consumers being overwhelmed by the number of choices?

You know, it varies when regionalism comes into play. For instance, when you go down to Texas, the Laramie Longhorn is very popular, and there are some urban areas like Dallas, Fort Worth, Houston, and Austin, too, and they like chrome. Now when you go to California, they like the monochromatic look. You go to another part of the country and they have preferences, too. So you’ll have regional differences among the package preferences, and the dealers aren’t going to stock all of them.

We know this is sensitive subject, but now that the F-150 has come out and the numbers have posted, where is Ram on the use of aluminum? Last time we talked, [Ram vehicle line executive] Mike Cairns said “aluminum is for beer cans.”

Well, we are delivering fuel economy using technology, like the EcoDiesel and the Pentastar V-6 mated to the eight-speed transmission. Then you add the enablers we put in place such as active grille shutters and aerodynamics. We still have the best aero in the segment, and we want to stay consistent there while looking for new opportunities in efficiency.

Are the guys who buy diesel Ram trucks concerned with being green, or is it just about torque and fuel efficiency?

Ultimately, it’s about delivering on fuel economy without sacrificing any capability. You get 240 horsepower and 420 lb-ft of torque and 29 mpg on the highway [with the EcoDiesel]. And to put that in perspective, consider that when we launched the 5.9-liter Cummins [in 1989], it had twice the displacement, yet made less horsepower and less torque. The 3.0-liter diesel delivers all the capability a light-duty buyer demands. Typically, consumers see a label and think they aren’t going to achieve the quoted mileage; what we’re seeing is customers writing [to us] about their EcoDiesel truck and saying they are getting 29 mpg or even better.

Gas prices are currently at the lowest they’ve been in years. Is that slowing the sales of the EcoDiesel?

Back in December, when gas prices were at their lowest, we had the highest-selling month YTD that we’ve had since the introduction of the EcoDiesel. We are at 26 days on lot with the EcoDiesel, even being a full year into the model’s availability and while we are increasing our volume. Typically we see much more fluctuation with gasoline prices than with diesel prices, so it doesn’t affect sales as much.

Is there a cap on the number of EcoDiesels you can produce?

We are trying to add 20 percent to our production. We received enough orders on this thing right out of the gate that took us almost to the model year [to have enough available units for sale]. You expect to get a big lift when you come out with something like that, but to sustain it for a year, that’s really something.

Now the big question: Hellcat Ram?

You know, we did an SRT a number of years ago, and it was something that at the time worked for a little bit. We get a few people who think a Hellcat truck would be fun, we could take it to Woodward Avenue and have some fun, but there’s not really a big appetite for that type of performance vehicle right now. Plus [Dodge chief] Tim Kuniskis wants all the Hellcat motors he can get.

ProMaster City—what’s the early feedback?

We need to get them out there. We started shipping in the end of December, and the people that have driven them have been pleased. The 2.4-liter Tigershark four-cylinder with the nine-speed transmission surprised a lot of people, as did the independent suspension, which we were very focused on, because we wanted the driving characteristics right. All three of those are major changes compared to what is in Europe. We took a great platform and optimized it for our market. I’m pretty excited to get them here.

Is a diesel option for the ProMaster City in the cards?

They have it in Europe, and the first time I ever drove one it was a diesel with the manual. But time will tell. We have the technology, but you start getting into the cost of ownership, which is a major driver in a commercial-oriented package. Acquisition price plays a big role in that, and I’m just not sure the appetite is there for that.

What’s the possibility that a mini/mid-size truck based on the Fiat Strada will make it to the U.S.?

No plans. It’s a nice package, but to meet all the homologation requirements, you would essentially have to start over. We looked at it, it’s a 200,000–300,000 unit a year segment with a number of players in it, so unless you see some major changes there’s just not a big opportunity. [A new generation is due next year. Hmm . . . —Ed.]

As read on: http://blog.caranddriver.com/ram-jam-ram-trucks-ceo-talks-hellcat-compact-trucks-and-more/