Thursday, October 6, 2011

September Auto Sales Defy Economic Headwinds

The formatter threw an exception while trying to deserialize the message: Error in deserializing body of request message for operation 'Translate'. The maximum string content length quota (30720) has been exceeded while reading XML data. This quota may be increased by changing the MaxStringContentLength property on the XmlDictionaryReaderQuotas object used when creating the XML reader. Line 2, position 31611.
The formatter threw an exception while trying to deserialize the message: Error in deserializing body of request message for operation 'Translate'. The maximum string content length quota (30720) has been exceeded while reading XML data. This quota may be increased by changing the MaxStringContentLength property on the XmlDictionaryReaderQuotas object used when creating the XML reader. Line 1, position 32222.
By AutoObserver Staff October 3, 2011

2011 September Car Sales Figures Big Six Lead Art.jpg

September vehicle sales once again showed signs of charting their own course, demonstrating strength that was a bit surprising given the deepening of the general economic sluggishness across America. September sales reached about 1,053,129 units, up about 10 percent from a year earlier but down about 2 percent from August. Still, the Seasonally Adjusted Annual Rate (SAAR) of sales for the month inched upward to about 13 million units, the best pace since April. The results show a stubborn and even improved resilience in auto sales that seems to be divorced from the glumness enveloping most of the U.S. economy these days.

“September generally is a weak month, seasonally, but we had expected a much bigger decline” in absolute sales from August, said Jessica Caldwell, head of U.S. industry analysis for Edmunds.com. “So this month looked relatively strong in the context of the last few months.” The weak close of August had made market watchers “a little nervous,” Caldwell conceded. Economists pointed to the relative economic trauma of August – which included messy federal-debt negotiations in Congress, a dramatic drop in stock markets, stubbornly high unemployment rates in the United States and continued global financial stress from the European debt situation – as perhaps the beginning of a double-dip recession.

AO201109 Key Match Midsize SUV.jpg AO201109 Key Match Midsize.jpg

But Caldwell said Labor Day weekend sales of autos kicked off the month in strong fashion for the industry, especially on the East Coast where there had been some short-term “pent-up demand” from buyers who were prevented from closing vehicle purchases by the slow-moving Hurricane Irene during the last week of August. Yet there was more at play in September than this regional factor. During the rest of the month, the overall “sales cadence grew” in the new-car market, suggested Erich Merkle, Ford’s head of U.S. industry analysis. “We continued to see restocking of inventories and an increase in merchandising activity around the industry,” he said.

In fact, some in the industry believe that the zephyr called “pent-up demand” may finally be turning into a substantial tailwind for U.S. auto sales, offsetting the drag on the industry caused by the overall economy. Certainly, there’s latent demand on the part of thousands of loyal Toyota and Honda customers who have been waiting for their brands to return dealer inventories to normal levels, and both brands expect to benefit greatly from this factor during the fourth quarter. Hyundai, Ford and some other automakers expect to gain as well from growing suppliers of particular small-car models.

But does enough of the U.S. automotive fleet still need replacing, imminently, that pent-up demand could continue to help power the vehicle market through the next few months almost regardless of what happens in the economic background? Merkle said that pent-up demand is helping to generate “solid advances” in pickup-truck sales heading into the fourth quarter, for instance, in addition to seasonal factors and a recent easing in gasoline prices. And overall, “As the economy is stabilizing a bit, people who had been delaying are now buying vehicles,” said Jenny Lin, senior economist for Ford.

AO201109 Key Match Compact.jpg AO201109 Key Match Compact SUV.jpg

In fact, Bob Carter, Toyota division general manager, said that his company remains “confident” in its forecast of 12.5 million overall sales for the U.S. market in 2012, “and it may actually trend slightly above that before we’re done with the fourth quarter.” Indeed, Al Castignetti, Nissan Division vice president, predicts the fourth quarter will be the strongest of the year, given that September ended strong and the first weekend of October was promising. General Motors sales chief Don Johnson said “a modest but steady and continual release of pent-up demand” exists with the average age of vehicles on the road as high as 10.8 years old. “People have to buy and come back into the market,” he said.

Edmunds.com’s Caldwell said that the jury is out on whether auto sales can remain a reliable power source to help keep the rest of the U.S. economy from completely stalling out. “We’re cautiously optimistic for the rest of the year,” she said. “Sales are still volatile. If we can sustain and grow sales in the coming months in light of all the troubling economic news, that’s a real test to see if the auto industry is doing its part to bring us out of the doldrums.”

GM: Trucks, SUVs Weigh In

2011 September GM Sales.jpg

September General Motors sales totaled of 207,145 vehicles in September, a 19.8-percent increase from September 2010. GM’s strength was largely across the board, but large pickup trucks and SUVs kicked in the biggest percentage increase. By vehicle category, GMC and Chevrolet pickup and SUV sales kicked in a hefty 34-percent hike in sales from a year ago, car sales rose 12 percent and crossover sales climbed 7 percent. As a result of higher truck and SUV sales, Chevrolet and GMC had the most substantial sales rises – both more than 20 percent – of the four GM brands. GM said fleet sales accounted for 26 percent of total sales even though they were down by 22 percent from a year ago.

GM’s vehicle inventory stood at 558,157 units at the end of September. Full-size truck inventory was 208,650 for an 88-days supply. GM said it is on track to meet its target of ending 2011 with a full-size pickup inventory of about 200,000 units. That comes in advance of GM launching a new line of full-size pickup trucks and SUVs beginning in 2012. Chevrolet sold 147,611 vehicles in September, a 21.5-percent gain from the year-ago month. The Cruze, launched in September a year ago, continued strong. GM sold 8,097 Cruze models, bringing its first full year of sales to 212,019 vehicles. Sales of the full-size Silverado pickup truck gained 36 percent while the full-size Tahoe was up beefy 63 percent.

Another Chevy that by no means can still be considered new but keeps up the pace is the Equinox crossover, which saw a 33-percent hike. Traverse sales were about even with a year ago. Chevy dealers sold 1,426 units of the U.S.-built Sonic subcompact, which just went on sale in September to replace the Korean-made Aveo. Except for models being discontinued, Chevrolets across the board had a better September than last year. GM said the first Chevrolet Malibu will go on sale in the first quarter and will be equipped with eAssist, a mild hybrid system. The Volt had its best month since going on sale last December, with 723 sold. Alan Beaty, vice president of sales and service for Chevrolet, said dealers have 2,000 demonstrators and 884 in stock in the 34 states where the Volt is sold. He added that the most traded vehicle for the Volt is the Toyota Prius.”Supply will still be tight on the Volt for a few months,” he said in a conference call. “We’re positioning it for 2012 when sales will be national.”

AO201109 Sept Sales GM.jpg AO201109 Sept v Aug GM.jpg AO201109 Sales YTD GM.jpg
A0201109 Sales v TCI GM.jpg

GMC sales totaled 33,194 for the month, a 27.7-percent increase from September 2010. Sierra sales were up 26 percent, Terrain sales were up 45 percent and Yukon was up 45 percent. All models but ones being discontinued had plus signs in front of their percentage changes from a year ago. Cadillac sales came in at 12,741 vehicles, a 1-percent increase from a year ago as the luxury division winds down old models like the DTS and STS and lowers fleet sales -- by 54 percent last month. Combined sales of the Cadillac CTS sedan, coupe and wagon increased 24 percent compared with September 2010. The Cadillac SRX was up 22 percent. Despite early declarations by GM executives that the SRX looked as if it would beat the segment sales-leading Lexus RX for the first time ever, it did not, but it was close: 4,901 SRX sales versus 5,003 RX sales.

Buick’s break-neck pace of sales gains slowed as it was bound. September sales totaled 13,599 cars for a 4.3-percent increase. The Regal led the charge with sales up 87 percent. The Enclave, which began the transformation of Buick, increased its sales by 10 percent. Buick adds an all-new model, the compact Verano, in December.

Ford: Focus On October

2011 September Ford Sales.jpg

Ford had more challenging year-over-year comparisons than its competition but still put up a positive number for September, reporting a 9-percent sales increase, to 175,199 units versus 160,873 units a year earlier. Company executives attributed the gain to factors including rising pickup truck sales for seasonal and other reasons, initial availability of an EcoBoost powertrain option on the Explorer SUV, and continued robust sales of the Fusion and Fiesta small cars, especially on the West Coast. “We will have equal or improved market share” for all of 2012 over a year ago, concluded Ken Czubay, Ford’s vice president of U.S. sales. “There have been ins and outs, and segmentation has changed, but we’ve been very pleased for the year.”

But the company continued to be dogged by its inability to completely supply demand for the Ford Focus compact. Focus sales were down by 24 percent compared with a year ago, and for the year to date, Focus sales have increased by only 2 percent. Executives described the shortfall as entirely stemming from tight inventories. “Inventories in September were tight compared with a year ago, and that continued as we made the transition to the new model,” Czubay explained. “But there’s been a ramp-up of production over the last several months, and as we fill our pipeline, [Focus] stocks should be up where we want them. We will have a good month in October.”

Overall, Czubay said, Ford September sales results showed good balance. Fusion continued to accelerate, with September sales of 19,510 units up 23 percent over a year earlier and representing a monthly sales record for the 11th out of the last 12 months. The car is on pace to break 200,000 in annual sales on the way to the model’s all-time sales record, he said. At the same time, Fiesta continues to sell well, with sales up 30 percent compared with a year earlier. Propelled by its small-car lineup, Ford posted a 50-percent sales increase in California, the nation’s largest state car market, in September over a year ago.

AO201109 Sept Sales Ford.jpg AO201109 Sept v Aug Ford.jpg AO201109 Sales YTD Ford.jpg
A0201109 Sales v TCI Ford.jpg

The new Explorer continued to set a torrid sales pace, moving more than 11,000 units in September, more than double the number of a year earlier; for the third quarter, the model posted almost triple the volume of the year-earlier period. Escape sales rose as well, by more than 40 percent. Czubay said that Ford utility-vehicle buyers have switched back and forth over the course of the last several months regarding their primary criteria, as gasoline prices spiked at about $4 a gallon last spring and since have subsided. “Now most buyers are focused on a strong balance between strong capabilities and fuel efficiency” in their SUV purchases, he said. The new availability of an EcoBoost engine option in Explorer could boost results.

Ford considers 50,000 sales of F-Series trucks as a significant accomplishment for any single month, and in September, the pickup line sold more than 54,000 units, up nearly 15 percent from a year earlier; it was the best September for F Series sales in four years. Seasonality was a big factor, Czubay said, as it is for pickup-truck sales. Purchase of the EcoBoost six-cylinder option in F-150s continued to rise as a percent of F-150 sales in September even as gasoline prices have eased lately, he said, “and helped us increase conquest sales” in the segment. “Fuel costs went down, as the segment probably increased sales, and yet there still has been a significant shift to our six-cylinders,” he said. “People need to replace [trucks], gasoline prices are lower, and they’re still going to the capability and fuel economy of the F-150.”

While sales for the Lincoln luxury unit continued to struggle – down by 7 percent for September, and up more than 2 percent for the year to date – Czubay said that Ford is continuing to “maintain our laser focus” on rebuilding the brand and reminded that Lincoln will be introducing several new or refurbished models over the coming months.

Chrysler: Got To Tell Somebody

2011 September Chrysler Sales.jpg

No wonder Chrysler executives went out of turn this morning and announced their September sales before their traditional mid-day monthly slot. The company posted a whopping 27-percent increase in U.S. sales last month, to 127,334 units compared with 100,077 units, the best relative performance of any of the top-tier automakers by volume for the month. It was sort of like how Florida is trying to jump the gun and host its presidential primary before Iowa. But Chrysler September sales news apparently was too exciting to wait. Not only were its overall sales up significantly in September, but the retail-sales component soared by 50 percent. That's right: In the sales component that most reflects the mood of the buying public, Chrysler and its dealers far outperformed the fleet-sales component that is tied to commercial purchases and is far more volatile.

“Irrespective of the economy, strong products equal strong sales, and with our retail sales up a whopping 50 percent, that is exactly what we have,” said Reid Bigland, Chrysler's head of U.S. sales, in an early-morning statement. “We have now gained more retail market share than anyone else in the country. There is no double-dip downturn going on around here.”

So what is going on around Chrysler? For one thing, its brands have re-emerged with clear vibrancy under Fiat ownership. Chrysler, Jeep, Dodge and Ram Truck brands each posted sales increases in September, led by a 42-percent surge for Ram truck. Ram pickup sales were up 45 percent, for the best sales month of any this year and the best September sales since 2007. Jeep sales once again were strong, as they have been all year, up 24 percent over a year ago. Chrysler said they were driven by availability of the new Compass, whose sales were up 306 percent over a year ago. Grand Cherokee sales rose 78 percent through September compared with sales of an older version a year ago. And Wrangler and Liberty each posted double-digit sales increases.

AO201109 Sept Sales Chrysler.jpg AO201109 Sept v Aug Chrysler.jpg AO201109 Sales YTD Chrysler.jpg
A0201109 Sales v TCI Chrysler.jpg

Even the Chrysler brand with the thinnest product line, Chrysler itself, has been making the most of things: Its new 300 sedan, for instance, just got an uncharacteristically strong recommendation from Consumer Reports, which is highly influential with many American consumers. Thus, with 300 sales up by 50 percent for the month because of the new model, compared with a year ago, the Chrysler brand logged its best sales month since August 2008 and the best September sales since 2007. Dodge sales were up 10 percent over a year ago as sales of nearly 5,000 units of the new Durango, missing from the brand’s product lineup for about two years, energized results. Momentum is another factor working in Chrysler’s favor. Americans now pretty much believe that Chrysler is here to stay, after the company's fortunes had dipped to the lowest nadir among the American Big Three in the wake of the industry's 2009 restructuring. So, September marked the company's 18th consecutive month of year-over-year sales growth.

Edmunds.com's Caldwell, however, noted something that could comprise a long-term concern for Chrysler: how sales of its new models perform once they're actually in the marketplace for a while. New models and styling changes drive most increases in sales and market share for any auto maker, of course. That truth welcome the new Grand Cherokee a year ago, and year-to-date sales of the substantially improved new model were 78 percent ahead of year-earlier results, which mostly reflected the previous model. But sales in September -- for the first month, pitting the new Grand Cherokee against itself a year earlier -- declined by 3 percent. "That's the first of the new models in their arsenal," Caldwell noted. "So we should be watching that. It's easy to post gains and drop incentives with new stuff, but it's harder to sustain that sales strength over the long term."

Perhaps the most remarkable element of Chrysler's run is that it has occurred without resorting to the deep-incentives ploy that American automakers too often have used over the last several years, to the long-term detriment of their brands. In fact, according to an analysis by Edmunds.com, Chrysler was the only major automaker besides Toyota to lower U.S. incentives in September from August, down by 2.5 percent while Toyota’s dropped by 1.9 percent.

Toyota: Done Falling?

2011 September Toyota Sales.jpg

Toyota posted 18-percent lower sales in September, with 121,451 units moved during the month compared with 147,162 units a year earlier. But company executives vowed that, finally, October and the rest of the fourth quarter would represent a true sales turnaround for Toyota in the United States, as it benefits from the return of full-volume production of vehicles destined for this market, a slew of new and updated products including the Camry sedan, and the release of pent-up demand for its products in particular as well as by American car buyers in general.

“We’re saying ‘down sales’ one last time for September,” said Bob Carter, general manager of the Toyota division. “For the first time [since March], all of the Toyota plants in Japan and North America are back to normal production levels, a couple of months earlier than originally expected. Our flow of vehicles is rapidly increasing, and so are our inventories. We expect the Toyota division to exceed year-ago sales levels beginning in October and to continue to do so every month throughout the fourth quarter and beyond. The increases are being driven by improved availability and an influx of new products.” In fact, Carter said that he and his colleagues have “a spring in our step” these days because they’re so confident of a turnaround in Toyota’s short-term sales trend. “Our production is back to 100 percent just in time to be launching our largest barrage of new products in more than 25 years,” he said.

AO201109 Key Match Large Truck.jpg AO201109 Key Match Minivan.jpg

Model by model, results for Toyota, Scion and Lexus continued to be disappointing in September. Corolla sales were down 23 percent for the month and remained 11 percent behind for the year. Prius sales were down 18 percent in September. All but two of Toyota’s fleet of non-car vehicles posted sales declines for the month compared with the year earlier, most by double digits. And Camry, America’s best-selling car for the last many years, sold 19 percent fewer in September compared with a year ago, and about 9 percent fewer units for the year to date.

Yet, the way Carter tells it, Camry is the very locus of short-term optimism for Toyota. The company has begun producing a substantially improved 2012 version of Camry and finally got some shipped to its U.S. dealers last month, a couple of weeks ahead of schedule. “They arrived last week and dealers began selling them as soon as they came off the trucks,” he said. October will mark the real kickoff of sales of the new model. “We’ll ship about 35,000 Camrys in October, and [sales] will become a flood.” Buyers are attracted to an MSRP that Edmunds.com has called the lowest in the Camry’s 22-year history as a nameplate, Carter said; at the same time, initial orders are seeing high selling rates for top-trim versions, including Toyota’s new Entune infotainment system.

AO201109 Sept Sales Toyota.jpg AO201109 Sept v Aug Toyota.jpg AO201109 Sales YTD Toyota.jpg
A0201109 Sales v TCI Toyota.jpg

There simply are a substantial number of Americans who have been waiting for the new Camry to become available, and now is their day, he said. “Camry advertising won’t even start for a couple of weeks,” Carter said. “But we’re ecstatic about the initial reaction. And it is an understatement to say, and we’re quite confident, that Camry will hold on to the title of America’s best-selling car” for 2012. At the same time, he said, Prius finally will be more broadly available than at any time in the last year, Carter said. And availability of Toyota’s pickup trucks once again will allow the brand to “take a good hard run” at the segment in the fourth quarter.

Carter also reiterated Toyota’s plans for significant product enhancements in the next few weeks: a new Yaris that goes on sale later this month; a just-introduced 2012 Tacoma light pickup truck; and the wholesaling of the new Prius V by the end of October. “That is four all-new or significantly upgraded models in the span of just 30 days, and they will be followed a new Scion iQ by the end of the year,” he said. But some observers were skeptical about Toyota – and Honda – being out of the woods just yet, despite Carter’s expectations. “We’re still kind of waiting for them to get better selection and inventory,” Edmunds.com’s Caldwell said. “And the vehicles still have to get to dealerships and provide the selection that consumers want. So they’re still in flux.”

Meanwhile, Lexus sales declined by 12 percent in September compared with a year earlier, as Toyota’s luxury brand continued to struggle mightily with supply issues. “September was a transitional month,” Lexus general manager Mark Templin said. “Our dealers are selling just about every car that arrives on their lots. Production continues to increase, and each day we have a greater variety of cars to offer customers.” Overall production for Lexus, he said, would be 22 percent higher during the fourth quarter than a year ago.

That will be especially good news for the fate of RX, America’s most popular luxury SUV. Although RX just avoided being caught during September by rising sales of the Cadillac SRX, Templin vowed that RX production at a Canadian plant would be 40 percent higher than the company’s plans before the earthquake. And sales of the CT 200h hybrid “continue to exceed expectations,” he said, as well as to attract younger buyers than originally predicted.

Nissan: Best September In 26 Years

2011 September Nissan Sales.jpg

Nissan North America reported September sales of 92,964 vehicles, a hefty 25.3-percent increase over a year ago, on the strength of the Nissan Division, which had its best September in 26 years. Nissan Division sales increased 28.2 percent to 84,485 units. Infiniti sales, which had been hobbled by the Japan earthquake, edged 2.1 percent higher from the prior year to 8,479 units. “Nissan is in a fortunate position,” noted Edmunds.com’s Caldwell. “It is strong from an inventory standpoint and has been very aggressive in getting that message out in advertising. It also has a wide spectrum of vehicles, which is helpful when the seasonality of car-buying changes. And it can offer deals on the low end and still have larger vehicles for people wanting trucks and SUVs.”

Added Al Castignetti, Nissan Division vice president and general manager, in a phone interview with AutoObserver: “We have momentum. We were able to get our inventories in better shape than our competitors. We were back to business as usual three months before they were. As a result, we enjoyed pretty healthy July, a great August, a great September and a great first weekend of October.”

AO201109 Sept Sales Nissan.jpg AO201109 Sept v Aug Nissan.jpg AO201109 Sales YTD Nissan.jpg
A0201109 Sales v TCI Nissan.jpg

The September Nissan sales record came particularly on the strength the Altima, Sentra, Maxima and Versa, which combined were up 32.3 percent at 55,751 vehicles. Versa set a new September sales record with 11,800 units sold, up 68.1 percent over the prior year because of new sedan version launched 60 days ago. “Versa sales are on fire,” said Castignetti, adding inventory of the Versa sedan are “okay” but dealers want more and Nissan is limited on production. The Altima posted sales of 24,356 vehicles, up 21.7 percent. Maxima sales jumped 26.3 percent to 6,133 vehicles. Leaf sales totaled 1,031 vehicles. On the car side, only the why-bother Cube saw a sales decline – a hefty one of 71.1 percent to a scant 440 units, and the 370z, off 40.4 percent to a mere 469 units. On the crossover, truck and SUV side of the business, the Rogue crossover had sales up 29.1 percent to 10,740. The heavily incentive-laden Titan had an 11.2 percent sales increase. Other Nissan truck and SUVs saw increase, some of them double digit. The Murano was flat and the Xterra was the only downer with a decline of 5.5 percent.

At Infiniti, the giant QX SUV, redesigned more than a year ago, continued its momentum, posting sales of 1,206 in the month, for a 46.7-percent increase. Infiniti sold 3,940 G sedans, up 28.9 percent for the month, setting a September record. The updated 2012 Infiniti FX, with a new front fascia, wheels and instrument cluster, arrives in Infiniti showrooms this month, which should help the brand. For the year to date, Nissan North America sales totaled 774,079 Nissan and Infiniti vehicles, up 14.9 percent from the same period in 2010. Both car and truck sales are up 14.9 percent each for the year. Nissan sales are at 701,898 for a 17.2 percent year-to-date rise; Infiniti sales are off 3.5 percent at 72,181 vehicles.

Honda: Not Yet Recovered

2011 September Honda Sales.jpg

Although American Honda Motor Co. Inc. said it expected to return to full production in August for all North American-made vehicles save the crucial 2012 Civic, a September sales decline of 8 percent – to 89,532 units – seemingly indicates availability problems remain after the March earthquake that for months disrupted production. Through September, Honda’s sales were down 6.2 percent. Several Honda models – chiefly on its “truck” side of the business – did record sales gains in August. The CR-V compact crossover, despite an all-new model soon to come – improved by 9.5 percent to 19,604 sales, and the CR-V’s year-to-date total now is 11 percent to the good. The Pilot midsize crossover posted a 27.9-percent gain compared with last September, to 10,306 sales; the Pilot also has moved into positive territory for the year. And the Odyssey minivan was up 14.7 percent to 8,818 sales, although year-to-date Odyssey sales remain down by 4.5 percent.

“Truckloads of new vehicles began arriving the last week of September and shoppers can now feel more confident that they will find what they want at their local Honda dealer,” said executive vice president of sales John Mendel in a statement. But buyers probably did not find that to be the case for Honda’s passenger cars during the bulk of the month, as September sales for every Honda car nameplate were down compared with September, 2010. The most aching problem for Honda seemingly was the Civic, which despite the market’s bursting small-car demand and being heavily redesigned for 2012, endured a 26.4-percent sales dive in September, to 13,724 units; the Civic, for which Honda said there remain shortages of certain parts, also is off 15.9 percent for the year.

AO201109 Sept Sales Honda.jpg AO201109 Sept v Aug Honda.jpg AO201109 Sales YTD Honda.jpg
A0201109 Sales v TCI Honda.jpg

Honda’s Accord midsize sedan slid 13.8 percent in September to 18,639 sales and is down 16.1 percent for the first nine months of the year. Sales for the subcompact Fit were off 1.2 percent for the month, while Honda’s low-volume hybrids, the CR-Z and Insight were respectively down 56.6 percent and 69.5 percent.

For Honda’s Acura upscale division, September was down 6.6 percent, with sales declines for five of its six U.S. models offset by a 37.9-percent gain for the TSX entry-level sedan, Acura’s bestseller for the month. Acura’s crossovers posted the unit’s largest declines, with the MDX midsizer sliding 28.3 percent to 2,925 units; the MDX is down 4.9 percent for the year. The RDX compact crossover declined 3.3 percent to 1,336 sales, while the ZDX wagon-crossover dropped under the three-figure threshold to just 87 sales in September; the slow-selling ZDX is down 54.3 percent for the year, finding only 1,220 buyers in the first nine months. Acura’s year-to-date sales are off 7.9 percent to a total of 89,146.

Hyundai: Another Sales Record

2011 September Hyundai Sales.jpg

Selling 52,052 vehicles was a record September for Hyundai Motor America, 12 percent better than its total in September, 2010. The brand also is underscoring its decreasing reliance on fleet sales. Through September, the company said fleet sales comprised just 11 percent of the sales mix, a 31-percent improvement, while overall sales for the first nine months are up 20 percent compared to the same period last year. Through September, Hyundai sales fell just shy of a half-million units at 492,914. Sales of the vaunted 2011 Sonata midsize finally cooled, however, with September’s 18,181 representing a 12 percent pullback. The slack was picked up, however, by Hyundai’s freshest consumer-pleasing flavor, the Elantra compact car, which sold 14,386 units for the month, a giant 42-percent gain. Hyundai’s total also was boosted by new incremental sales from the Veloster compact coupe, which sold 834 copies in what the company said was just a couple of weeks on the market.

Meanwhile, the Santa Fe midsize crossover nearly doubled sales compared with last September, moving 6,213 units compared with 3,719 last year. And the Tucson compact crossover continues its sales ascent, with a gain of 36 percent to 3,724 sales for the month. “Finishing September with such strong momentum is no small feat, especially considering the disappointing economic climate,” said Dave Zuchowski, Hyundai Motor America's executive vice president of national sales. “Consumer demand remained strong, vehicle availability improved, and we've added yet another entry to our family of standard 40 MPG fuel economy vehicles with the all-new Veloster.” It wasn’t all dancing in the street for Hyundai in September; a few models followed the Sonata’s sales slip. Despite the presence of an all-new Accent subcompact for 2012, the nameplate declined by 8 percent in a small-car-hungry market to 4,525 sales. The Genesis entry-luxury car slid by 7 percent to 3,000 sales. And the Veracruz full-size crossover gave up nearly 200 units, selling 817 examples to last September’s 992.

Kia: More Records, Too

2011 September Kia Sales.jpg

With 35,609 sales in September, Kia Motors America sold itself to its best-ever September while also powering past its record for full-year sales after just nine months. September’s sales were 18.4-percent better than September, 2010, while the company’s year-to-date total of 367,405 sales surpassed its total for all of 2010, which was a record year at 356,268 deliveries. The brand’s best-seller, the Sorento midsize crossover, led September in volume at 11,112, a 10-percent gain compared with last September. But the Optima midsize sedan was Kia’s biggest achiever for the month, its heady 6,191 units a 305-percent hike compared with last year, when the swoopy new car was just coming on stream. The Sportage compact crossover improved by 24 percent to 3,589 sales.

“Kia has become one of the fastest growing car companies in the U.S., and surpassing our previous annual sales record in less than nine months is the result of our dramatic brand transformation and our diverse lineup of stylish, well-appointed vehicles that offer modern technologies and outstanding fuel economy,” said Byung Mo Ahn, group president and CEO of KMA and Kia Motors Manufacturing Georgia, in a statement. “Our growth and momentum will continue with the arrival of the all-new 2012 Rio 5-door in the next few weeks,” he added. September Kia sales included gains for the Soul compact hatchback, too (up 25 percent to 6,666 units) and the Sedona minivan (up 40 percent to 2,393 sales). Apart from nameplates being phased out – Amanti, Spectra, Rondo – Kia’s only model to post a sales decline in September was the big Borrego SUV.

Volkswagen: 2010 Total Already Surpassed

2011 September Volkswagen Sales.jpg

Volkswagen September sales put the German automaker ahead of full-year 2010 sales, and they included early sales of its two newest models – the Beetle and the Tennessee-built Passat. “It was a very strong month for Volkswagen in September,” Volkswagen of America CEO Jonathan Browning said in a conference call Monday morning. He noted that with 27,036 vehicles sold in September, Volkswagen sales were up 35.6 percent over last September and is ahead 22.2 percent for the first nine months of 2011, already exceeding 2010’s full-year total. With only a couple weeks of sales under its belt, Volkswagen sold 722 units of the revamped Beetle and 3,176 units of the Passat, the new midsize sedan being built at Volkswagen’s new plant in Chattanooga, Tenn. “In the first couple of weeks of retail sales, we’re encouraged by the start they’ve made,” said Browning, who added early buyer information is not yet available to see if more men are buying the new Beetle than the last one and what models are being traded for the Passat.

The Jetta posted sales of 15,023 units, a 39.5-percent increase from a year ago. GTI sales increased 43.4 percent and Golf sales rose 19.4 percent. Sport utility vehicles Touareg and Tiguan experienced 104.4 percent and 22.8 percent sales increases, respectively. Browning noted that Volkswagen is keeping incentives under the industry average, and sales of the Touareg, in particular, have been building since the launch of the freshening, that included a hybrid version, last fall. “The vehicle is establishing itself. We’re very encouraged,” he said. Also in September, diesels accounted for 22.7 percent of total Volkswagen sales in the month; 41 percent on a year-to-date basis. September sales of the CC, due for a freshening this year, were off 24.5 percent. Sales of the Chrysler-built Routan minivan dipped 4.4 percent.

BMW: Gains, But Not For Mini

2011 September BMW Sales.jpg

The BMW Group, including the BMW and Mini brands, reported September sales of 25,749 vehicles, an increase of 11.4 percent from September a year ago. BMW brand sales increased 19.3 percent for a total of 21,750 vehicles sold. Split between cars and utilities, BMW car sales were up 10.9 percent at 15,407 units with only the 1-Series seeing a decline; utility sales rose 46.3 percent to 6,343 vehicles. Mini reported sales of 3,999 automobiles, down 18.1 percent from a year ago. “The good results in September are remarkable given the general view of the economy but it shows there is demand and people will spend provided you have the right products and offer value,” said Ludwig Willisch, president and CEO, BMW of North America. “We continue expanding our new product range with the BMW four-cylinder 528i and Z4 Roadster, the 6 Series Coupe and the Mini Coupe now on the market, giving us more reasons to be optimistic about the critical fourth quarter of the year.”
The BMW 3-Series continued as the volume leader with sales of 9,289 sold, up 3.8 percent. The 5-Series had sales of 4,097 units, up 43.3 percent. BMW sold 338 of its 6-Series compared with 50 a year ago, thank to the new coupe. Z4 sales rose 40 percent to 140 in the month. The BMW X3 utility, launched in revamped form in January, continued the strong with 1,853 vehicles sold. For the year, the BMW Group has sold 219,314 vehicles, up 14.2 percent. Of those, the BMW brand has sold 177,679 for a 12.8-percent gain; Mini sales have totaled 41,635 vehicles for the year so far, up 20.4 percent.

Mazda: Crossovers Lead Surge

2011 September Mazda Sales.jpg

Mazda North American Operations reported September sales of 25,521 vehicles, up 37.4 percent from a year ago. Mazda's volume-leading Mazda3 compact car sold 8,929 vehicles, accounting for an 11.7 percent increase versus September 2010 and marking its highest monthly sales in four years. Mazda's CX-7 and CX-9 crossovers reported their best-ever monthly sales. Mazda sold 4,909 of its CX-7s, up 90.8 percent from a year earlier, while the company's sales of 4,201 CX-9s represented a 73.6 percent jump from September 2010. The Mazda6 sedan accounted for 4,163 vehicle sales, up 52.4 percent from September 2010, while September sales of the Mazda5 multi-activity vehicle were up 54.4 percent, with 1,712 vehicles sold last month compared to 1,109 a year ago. Mazda sold 956 Mazda2 subcompact cars, up 62.3 percent from a year earlier. All three of the Mazda models that had September sales declines were lower-volume vehicles. Sales of the MX-5 Miata fell 43.8 percent from a year earlier to 433 vehicles, while sales of the Tribute compact crossover fell 38.6 percent from a year ago to 180 vehicles. Finally, Mazda sold 38 of its RX-8 sports cars, down 62 percent from September 2010.

Mercedes-Benz: Highest September On Record

2011 September Mercedes Sales.jpg

Mercedes-Benz USA reported September sales of 23,897 vehicles, a 15.6-percent increase compared with September 2010 when Mercedes sold 20,666 vehicles. This September was the company's highest September volume on record. The C-Class was Mercedes’ volume leader with 6,865 sold in the month, an increase of 32.1 percent, followed by: the E-Class with sales of 5,122, down 8.6 percent; GL-Class at 2,541, up 27.8 percent; and M-Class at 2,477 units, up 10.9 percent. Big sales percentage gainers from September 2010 were the new CLS 4-door coupe, up 399.3 percent to 709 sales, and the Sprinter van, up 121.3 percent to 1,779 sales. Sales of the Smart ForTwo totaled 469 vehicles for the month, up 11.1 percent compared with September 2010. Year-to-date Mercedes has sold 182,314 vehicles, a10.3-percent increase over the 165,355 vehicles sold during the same period last year.

Subaru: Back Up To Speed

2011 September Subaru Sales.jpg

Subaru of America Inc. is back to full production after struggling with shortages of vehicles built in quake- and tsunami-ravaged parts of Japan. The automaker recorded September sales levels that almost approached last year's. Subaru, which had a 6.3 percent year-to-year sales decline in August, sold 20,934 vehicles in September, down 2.32 percent from a year earlier. Sales of the Forester small SUV increased 2.22 percent from a year earlier to 6,592 vehicles, while the U.S.-built Legacy midsize sedan experienced a 4.67 percent sales increase to 3,139 units. Still trailing year-ago numbers was the volume-leading Outback crossover, which moved 7,607 vehicles, down 6.71 percent from September 2010. Subaru sold 3,340 Impreza compacts, marking a 9.19% drop from a year earlier, while sales of the Tribeca midsize crossover surged 68.4 percent to 256 units. Year-to-date sales are up 1 percent with 195,550 vehicles sold. “We extremely pleased to break 20,000 sales again this month, despite inventory constraints,” said Thomas J. Doll, executive vice president and chief operating officer, Subaru of America. “This momentum positions us well for a successful introduction of the all-new 2012 Impreza, which will hit dealer showrooms later this year.”

Audi: Best-Ever September

2011 September Audi Sales.jpg

Audi of America reported record September sales of 9,725 vehicles, topping the previous record of 8,151 set in September 2010. September 2011 was also the ninth consecutive month of record-setting sales for the brand in the U.S. market. "All indications continue to point toward 2011 winding up as the best year Audi has ever enjoyed in the U.S. market with even more sales growth ahead," said Audi of America President Johan de Nysschen. Audi U.S. year-to-date sales date grew 15.5 percent to 84,981. Sales of the new 2012 A6 saw a 42.8 percent increase to 1,124 vehicles sold when compared to September 2010, and the all-new A7 hatchback, introduced this spring, managed 693 sales. The Audi A4 (2,690 sales), the Q5 SUV (2,235), and A5 coupe (1,269) lead the Audi showroom sales lineup. Diesel mix on available Audi models remains strong, with the oil-burners making up for 46.5 percent of Q7 SUV sales and 51 percent of A3 hatchback volume. Thanks to the recent intro of the TT RS, Audi TT sales were up 153 percent from September 2010, and four Audi models saw year-to-date sales increases of more than 25 percent --A8, Q7, R8 and TT.

Mitsubishi: On A Roll

2011 September Mitsubishi Sales.jpg

Riding a sales surge that began 13 months ago, Mitsubishi Motors North American reported a 17 percent gain from a year earlier. September Mitsubishi sales of 5,803 vehicles were led by the Outlander Sport crossover, as has been the norm since the model's introduction earlier this year. As was the case with many automakers in September, Mitsubishi was able to reduce its incentive spending in the face of increasing sales and averaged $2,298 per vehicle, down 7.6 percent from $2,486 a year earlier. For the first eight months of the year, Mitsubishi sales were up 59.1 percent. Mitsubishi introduces its low volume but highly visible "i' electric city car in October and also will premier a new ad campaign touting its decision to start manufacturing the Outlander Sport in the United States next year at its plant in Normal, Ill.

Both events are expected to further increase the company's visibility with consumers. The company's crossover SUV's continued to account for more than half its total sales, with September sales of the Outback Sport totaling 1,512, followed by the standard Outlander at 842 -- down 219 percent from a year earlier --and the Endeavor at 778, an 82 percent increase from 428 in September 2010. SUV sales totaled 3,132 for the month. Mitsubishi dealers also moved 2,671 passenger cars in September, the compact Lancer lineup accounting for 1,553 September sales, followed by the midsize Galant, 842, down 29 percent from 1,193 a year earlier, The Eclipse sport coupe and convertible combined for 276 sales, down 20 percent from a year earlier.

Volvo: S60 Boost

2011 September Volvo Sales.jpg

Volvo Cars of North America reported U.S. sales of 5,042 units, a 21-percent increase from September 2010. The S60 sports sedan was the top seller in September with 1,623 units sold, while the XC90 (930 sold) and XC60 (725 sold) finished the month second and third, respectively. Volvo’s September sales also included a 27.8 percent hike in C30 sales to 317 units. Sales of the rest of the line were down. Year-to-date sales are up nearly 27 percent over the first nine months of 2010 to 5,042 units.

Porsche: Up 10 Percent

2011 September Porsche Sales.jpg

Porsche Cars North America (PCNA) announced September 2011 sales of 2,170 vehicles, an increase of 10 percent compared with the same period last year, when it sold 1,971 vehicles. Year-to-date sales of 22,664 vehicles were up 28 percent from the same nine-month period last year when they were 17,690 units. Every model in the Porsche lineup save the Panamera saw a year-to-year sales increase in September. The Cayenne SUV continues to lead to Porsche sales with 930 of them sold in September, followed by the Panamera at 514) units and 911 at 504 units.

Suzuki: Sweet September

2011 September Suzuki Sales.jpg

Its numbers are smaller than Mitsubishi's, but no less impressive in a declining economy. American Suzuki's September sales rose 23.5 percent to 2,026 vehicles, the company's 12th consecutive month of gain, while its sales tally for the first eight months was up 20 percent. The SX4 lineup -- a sedan and a small crossover SUV -- led September Suzuki sales with a 33 percent gain to 997, up from 749 a year earlier. Sales of the Kizashi sedan fell 2 percent to 468 from 477. Suzuki Dealers sold 372 Grand Vitara SUVs, a 27 percent gain, and the Equator compact pickup accounted for 187 sales, up 58 percent from September 2010. Like The months; other big gainer among the smaller brands, Suzuki was able to cut its incentive spending as sales volume grew, offering an average of just $1,349 in spiffs per car, down 16.7 percent from a year earlier.

Saab: 62 Percent Plummet

2011 September Saab Sales.jpg

Saab sold 429 vehicles in September, a 62-percent decline from last September’s 1,127 vehicles. Of September’s total, Saab sold 190 9-3s, 191 9-5s and 48 9-4X models. The troubled Swedish auto brand has a tremendous amount of inventory on the ground in the United States, about 3,051 vehicles most of which are 9-3 and 9-5 models. Inventory of the GM-built 9-4X, based on the Cadillac SRX, appears to be small at only 319 vehicles.

AutoObserver Staff:  Dale Buss, Michelle Krebs, Bill Visnic, Paul Seredynski, John O'Dell, and Danny King contributed to this report.



Technology



Education Information

0 comments:

Post a Comment