Stellantis shifts auto show strategy -- What does that mean for Detroit?

Automaker pulls out of Chicago Auto Show

DETROIT – A major announcement from Stellantis has sparked numerous questions about the future of something that has been a staple for decades, especially here in Detroit.

Stellantis is withdrawing from the Chicago Auto Show this year and reevaluating its participation in other shows.

In Metro Detroit, we share a special relationship with the Auto Show -- the pomp, the circumstance, the Charity Preview, the millions of dollars spent on vehicles and displays. However, Stellantis has been tightening its belts, acknowledging its exit from the Chicago Auto Show. Yet, it appears this decision is not that unique.

Although the Auto Show has undergone changes in recent years, the journey to Huntington Place to inspect all that shiny sheet metal and dreams remains a Detroit tradition few want to lose. North American International Auto Show Executive Director Rod Alberts said it’s unlikely that we will lose this tradition.

“It’s going to get stronger in a different way,” Alberts said. “It’s going to be a little more consumer oriented, but there’ll still be a place for the media to come in because technology is going to keep going to expand and the choice of colors one cars, choice of the brands that’s going to expand so why not have show in Detroit and show that off to the world.”

Stellantis released a statement that said the move comes as the automaker works to “optimize its marketing strategy as it relates to auto shows.”

Guidehouse Insights auto analyst Sam Abuelsamid said the move comes as automakers carefully manage costs as they transition to EVs.

“They can do more for a lot less money and get more attention by doing stand alone events, it’s much more cost effective,” Abuelsamid said. “They get a lot better return on investment.”

Detroit Free Press auto critic Mark Phelan sees the shift as a return to the auto show’s roots from a century ago.

“Auto shows in general, personally I think they make sense; they always make sense for people who want to buy a car,” Phelan said.

Stellantis clarified that they are evaluating participation on a case-by-case basis, indicating they are not withdrawing from the auto show business in the long term. This decision is in response to immediate factors such as belt-tightening, high inventories, and slowing sales.