Ferrari has yet to win a race so far this season, but has been second in each of the last two grands prix courtesy of Vettel on both occasions. Raikkonen finished fourth in the Grand Prix of Europe - hampered by a five-second time penalty - and Arrivabene was pleased with the progress the team made across the weekend but is still not happy with its overall standing.
"If you consider where we were on Friday, I am sure yes [it is a step forward]," Arrivabene said. "Especially looking at the pace of Mercedes versus our pace, I think today we have done a very good job but we need to provide to our drivers - it was them who did their best to be very strong - we need to provide them with a better car."
And Arrivabene described the performances of his drivers as "spectacular" after finishing second and fourth in Baku.
"The race pace was good, it was better, we were working a lot during the weekend and it was better. It is not good yet, this is my only concern because if I have to talk about what I saw from the drivers it was spectacular, from both of them, and the car needs to be improved still."