Volvo Cars are restructuring its business in the Americas, separating the markets of the United States and Canada. Anders Gustafsson, the current head of Volvo Cars Americas and CEO of Volvo Car USA, will be stepping down from his role on March 1. Michael Cottone, a 21-year Volvo veteran and Western Region Vice President, will take his position. Cottone will report to a Volvo Cars executive rather than the company’s CEO.
Volvo is experimenting with new sales models as it transitions to an all-electric portfolio by 2030. Cottone will now have to negotiate a dealer network that is unsure what this new approach implies for their business, as well as execute the brand’s aggressive product release while retaining the brand’s present market momentum. The company has also announced plans to sell battery-powered automobiles online via volvocars.com and dealer websites, which has sparked concern among some merchants.
Furthermore, the new year will bring economic issues like inflation and rising interest rates, which may have an impact on the demand for luxury vehicles. Cottone and his team will have to navigate these challenges while also delivering on the brand’s ambitious growth, full electrification, and omnichannel customer experience ambitions.
Gustafsson’s resignation startled Volvo’s retailers, who admired his no-nonsense demeanour. Cottone will be stepping into large shoes at a critical juncture in the brand’s history.
