Why Did the DS Brand Separate from Its Parent, Citroen?

In 2015, DS decided to part ways from its parent, Citroen, in a move that would make history. The two brands had been intertwined for 60 years, with the original DS model proving a massive hit throughout three decades and remaining one of the most recognisable cars in the world.

So why did DS branch out on its own and was there an underlying strategy behind it?

DS focuses on style and luxury

It appears the main reason DS decided to part ways from Citroen, is to develop itself as a more luxurious brand. While Citroen remains renowned for its practicality and affordability, DS has focused on establishing itself as a more refined and sophisticated choice.

The Citroen badge was dropped from models last year, though the company claims for the time being both brands will still be available from the same showrooms. However, it also claimed this could change soon.

To make its separation official, DS launched an updated version of the DS 5, ditching the Citroen badge and showing off a bolder, more stylish model. The brand is now looking to compete with other luxury big names in the industry such as Audi, by 2020.

Playing the long game

One thing DS has made clear is that it is focusing on building up its sales and exclusivity gradually.

Rather than trying to dominate the market overnight, the company is looking at building up over a course of 20-30 years. It’s in it for the long run, with the hope of gaining huge profit margins and a well-established reputation as a luxury brand.

That being said, you don’t have to take out a second mortgage to afford the current DS 5. You can find it at great competitive prices from companies such as RobinsandDay. The dealership also offers a great selection of popular Citroen models.

So, it seems DS did have a strategy – to put itself as far away from “affordability and practicality” as it could, to be seen as a more serious, high-end brand. It also means DS and Citroen aren’t direct competitors. Both offer something for completely different target markets. Citroen has also stated it intends on sticking to its roots, offering the same level of high customer service and vehicle reliability for years to come.

Overall, if you’re looking for style, affordability and practicality, Citroen is the brand for you. If you’re looking for something a little ore up-market, then the new DS models are the better option.

Author: Eddy

Eddy is the editorial columnist in Business Fundas, and oversees partner relationships. He posts articles by others on various topics related to strategy, marketing, supply chain, technology management, social media, e-business, finance, economics and operations management. The articles posted are copyrighted under a Creative Commons unported license 4.0. To contact him, please direct your emails to editor.webposts@gmail.com