2005 Chrysler Minvan (more info)

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2005 Chrysler Town & Country



Chrysler fights to reclaim its minivan crown

'05 models aim to revive segment Caravan invented

By Brett Clanton / The Detroit News
Charles V. Tines / The Detroit News

Dieter Zetsche, CEO and president of the Chrysler Group, displays the 2005 Dodge Grand Caravan and its "Stow N' Go" fold-flat seating.



DaimlerChrysler AG's Chrysler Group unveiled its re-engineered 2005 minivan models Monday, launching a critical salvo in the ongoing battle for the hearts and wallets of American families.

Chrysler unveiled the first minivan 20 years ago. And with features such as sliding doors, multiple cup holders and a power liftgate, the Chrysler minivan became an icon of suburban life and helped propel the automaker to record profits in the 1990s.

In recent years, though, overall minivan sales have slipped as buyers flocked to sport utility vehicles. At the same time, foreign rivals, such as the Honda Odyssey and Toyota Sienna, have gained market share and, some believe, unseated Chrysler as the benchmark in minivan quality and innovation.

Chrysler lost momentum with its current models, in part because the company decided not to offer foldaway third-row seats while many competitors added the popular feature.

Now the automaker has spent 18 months and $400 million to add fold-flat seats in not only the third row of Dodge and Chrysler minivans, but in the second row, too -- trumping a slew of competitive minivans that boast only third-row folding seats.

"(A fold-flat, second row) makes it much more of a Swiss Army knife," said George Peterson, president of auto consultants AutoPacific Inc. in Tustin, Calif. "It's a very important feature because the idea of a minivan is that it should have ultimate utility."

Chrysler is counting on the new models, which go on sale early next year, to win back consumers who increasingly are turning to SUVs and crossover models that combine attributes of cars, minivans and SUVs.

Whether a fold-flat second row will be enough to lure back buyers who have drifted from Chrysler minivans to what many consider the new gold standard -- the Odyssey and Sienna -- remains to be seen.

"Once a person has driven an Odyssey or Sienna, it's tough to reconquer them, and bring them back into the fold," Peterson said.


New features


The 2005 models also feature minor changes to the grille and side panels. Inside, the vehicles have a new overhead storage and entertainment system for each row, plus added safety features, including more air bags and break-away cupholders. Soundproof steel on the vehicles' undercarriages will make the minivans 16 percent quieter than old models, Chrysler said.

"More than once, we've redefined the segment, and time and time again, we've leapfrogged the competition," Chrysler Chief Operating Officer Wolfgang Bernhard said Monday.

"Well, guess what? We're about to do it again."

Moreover, Dodge says its 2005 Caravan will now be the least expensive minivan on the market when it goes on sale in the first quarter of 2004. The current low-price leader, the Kia Sedona, starts at about $20,000.

Specific prices for the 2005 minivans will be announced during the North American International Auto Show at Cobo Center in January.

The vehicles will be built at Chrysler minivan plants in Windsor, Ontario and St. Louis, Mo.

The fold-flat seats will be offered as standard equipment on highline long-wheelbase models of the Chrysler Town & Country and Dodge Grand Caravan SXT models.


Minivan sales drop


The minivans are part of a Chrysler vehicle offensive that will bring the launch of nine new models in 2004 as Chrysler tries to convince consumers and investors that the company is poised to return to solid profitability nearly three years into a sweeping turnaround effort.

Chrysler remains the leader in U.S. minivan sales, commanding a 35 percent market share, according to WardsAuto.com. But overall minivan sales have fallen nearly 14 percent since 1993, to about 980,000 units annually.

"There has been some shrinkage of the segment," Chrysler CEO Dieter Zetsche said. "But we do not think that this will continue. We are about at a stable situation now."

Through November, U.S. minivan sales fell 5.9 percent, while SUV sales were up 8.5 percent.

The decline in minivan sales in recent years has led automakers such as General Motors Corp. to launch new designs that straddle the two segments.

"We categorize them as crossover sport vans," said Jeanne Merchant, GM's vehicle line director. GM's 2005 lineup of sport vans, due on the market in late 2004, includes the Saturn Relay, Buick Terraza, Pontiac Montana SV6 and Chevy Uplander models.

Even so, GM is doing its part to stay competitive in the minivan wars, offering a fold-down third-row in all new 2005 crossover models. However, no folding second-row seat is in the works on future models, Merchant said.

Nor does Ford Motor Co. plan to offer fold-flat second-row seats.

"The real game is the third row," said Steve Lyons, president of Ford Division. "The (fold-flat, second row) is interesting, but, I don't think, a high priority."

Ford's redesigned 2004 minivans, the Ford Freestar and Mercury Monterey, both feature fold-into-the-floor third-row bench seats.


Brett Clanton can be reached at (313) 222-2612 or bclanton@detnews.com.