Thursday, July 3, 2014 by
The domestic OEMs have lagged behind their Asian competitors in the
U.S. new car market for many years. From 2009 through 2012 the
domestic OEMs’ combined share of the retail car market was below
28%. Last year it inched up to 28.2%, and through the first four
months of 2014 it stands at 28.7% (based on IHS Automotive analysis
of Polk new vehicle registration data). Although the current car
offerings from GM, Ford and Chrysler are clearly superior to their
predecessors in many perspectives,...
Monday, September 9, 2013 by
Seeing the Signs Every new vehicle sold is a signal to OEMs that
customers want more of that type of car or truck. In essence,
customers are voting with their wallets and with business
interests ever focused on customer loyalty and customer retention,
an OEM should be seeing the market signs. National Trend: Consumers
Continue to Buy New Through the second quarter of this year
(2013 Q2), new vehicle sales are once again on the
rise in Canada. New vehicle registrations indicate that...
Thursday, June 6, 2013 by
It's not always about who has the largest market share or the
broadest product line. Sometimes repeat sales for OEMs and dealers
are fruitful when you're a small player, too. Yesterday, Polk
issued a press release of customer loyalty on automakers who beat
the industry average by looking at first quarter results.
What did we find?
- Thirteen brands exceeded the average industry increase for make
loyalty when we compared buyer behavior from Q1 2012 and Q1 2013.
The first three months of the...
Friday, March 8, 2013 by
The automotive industry achieved nearly 14.5 million new vehicle
sales in 2012, which resulted in a sales improvement of 13.4%
versus 2011. There are many contributing factors to this sales
achievement. The following all played a part in the industry
- Stabilized inventory levels from the Japanese automakers
- Several new product introductions from all OEMs
- Strengthening consumer confidence in the U.S. economy and
- Lower unemployment rates
Also in 2012, we began to witness OEMs placing...
Monday, February 11, 2013 by
January 2013 U.S. new light vehicle sales climbed 14% from a year
ago and sales for the rest of the year are expected to climb as
well, though at a more modest rate. There are several drivers of
this growth, both at the macroeconomic level and within the
industry itself. Consider the following:
- Interest rates remain exceptionally low, and with the Fed
promising to keep them there until unemployment declines to 6.5%,
we can expect to see low rates for quite awhile. This means that
Thursday, December 13, 2012 by
If your current car or truck is getting long in the tooth and
you've been thinking about trading it in, you may want to drop by
your local dealership before year-end. While some people believe
the fall is the best time to buy a new car because the dealers want
to clear out their inventory to make room for the new models, in
fact the end of the calendar year is just as good a time, if not
better. Here's why:
- Dealership employees and vehicle manufacturer employees,
including retail salespeople,...
Monday, September 17, 2012 by
At this point in automotive history, nobody denies the importance
of Hyundai. According to Polk data, the Korean OEM produced almost
3 million light vehicles worldwide in 2003 and we forecast that its
output will reach 8.3 million in 2016. That's a growth of 183%,
while on the other hand, GM's production is rather stable during
the same period. Part of this growth will come from a brand new
factory in Brazil. With an investment of $600 million, Hyundai will
start producing a hatchback on... Read...
Wednesday, August 15, 2012 by
It is a presidential election year, which is creating a flood of
advertisements along with politicians pounding on podiums to
convince voters they are the best candidate for the job.
Politicians present their plans to turn the United States economy
around and create jobs. Both parties discuss plans to invest in
small companies and sexy high tech companies such as Facebook, and
mobile devices including phones and tablets. Too often,
they fail to discuss plans to attract and retain...
Tuesday, June 5, 2012 by
The Venetian Resort in Las Vegas served as host to the 3AF (Asian
American Advertising Federation) The 2012 Annual Asian Marketing
Summit on May 16-17. The goal of the annual summit was to share
marketing best practices and celebrate the leaders in Asian
marketing. With Asian Americans representing one out of every 20
new vehicles purchased in the U.S., it's easy to see why automotive
market leaders including Toyota, Honda and Nissan were well
represented at the conference.
Thursday, April 12, 2012 by
This month, the Jacob Javits Center in New York is the focal point
for the automotive industry as it hosts the 2012 New York
International Auto Show from April 4 to April 15. Each year,
automotive executives, dealers, suppliers, media, automotive
consumers and simply the curious descend upon New York to check out
the new cars, trucks, crossovers, hybrids, electrics and futuristic
concepts. On April 4, part of the Jacob Javits Center served as a
launching pad for the first Annual NAMAD (North... R...
Monday, March 26, 2012 by
Engaging diverse markets has become an increasingly important
initiative for the automotive industry. The contributions of these
consumers have been widely documented by automotive analysts
including my colleague, Marc Bland. In an effort to further
quantify the value of diversity marketing, I thought I’d look back
at 2011 from an ethnic loyalty perspective. In 2011, 1,033,097
African-American, Asian and Hispanic new vehicle owners returned to
market to buy a new vehicle. Of these owners, 47%......
Wednesday, March 21, 2012 by
Recently some friends and I were talking about the fact that
Mercedes-Benz and BMW are fierce competitors, and I mentioned that
Audi was making progress and should also be included in any
discussion about leading luxury makes. One of my friends
responded, “I’ve been hearing that for twenty years.” His
skepticism and sarcasm took me by surprise. I decided to look at
the registration data and see if Audi was in fact getting closer to
MB and BMW in this country, or not. Over the past five...
Tuesday, March 20, 2012 by
Last month, I had the opportunity to speak at the Digital Market
Strategies Conference, an event hosted by First Class
. If you are focused on the retail side of the
automotive industry and haven’t attended an event hosted by First
Class Educators, I highly recommend it. The staff, venue and
speakers are top notch. I co-presented during the afternoon
keynote address with Matt Murray from Dealer.com. Our session
focused on the impact of social media on initial vehicle purchase
Monday, March 19, 2012 by
Everyone's favorite social network, Facebook, is looking to
diversify revenue streams. As Facebook has been more recently known
to do, they're trying to be prudent around their strategy by
assessing the amount of ads they can serve and limit user
dissonance. It's a difficult balance because Facebook has never
served mobile ads, until recently. Also, according to the Vancouver Sun
, customers aren't particularly
keen to mobile advertising messages on their social networks.
Serving ads into this...R...
Monday, February 20, 2012 by
Polk forecasts that 2012 U.S. light vehicle sales will reach 13.7
million, a 7% increase versus 2011. Other forecasting firms have
weighed in with similar predictions, ranging from 13.4 million to
14 million units. What is not included in any new vehicle forecast,
from any company, is a forecast of a traumatic event that would
profoundly impact the industry. The reason why such an event is not
included is because, by definition, such an event cannot be
anticipated. But, that is not to say...
Thursday, February 16, 2012 by
According to my friends at Auto Week
(@AutoweekUSA on Twitter), Honda
is working with Google, the City of Torrance, CA and Stanford
University to conduct tests on a fleet of Honda Fit EVs. In what is
being dubbed the "Honda Electric Vehicle Demonstration Program," it
sounds as if the goal is to conduct research to understand the
challenges and opportunities associated with advancing the Electric
Vehicle market. (Image source: Auto Week.) In a recent blog post
The Road is a Vehicle Charger
Tuesday, February 14, 2012 by
Have you heard of the next new social media phenomenon, Pinterest?
No? Well that's why I'm here, to keep you updated on the latest,
greatest and potentially profitable ideas in social media.
is a two-year old social
media site, still in beta, that allows users to find things
(pictures, videos, infographics, etc) on the web that they like and
pin them to their own page, which contains boards that they can
name. Usually these boards center around hobbies or aspirational
Monday, February 13, 2012 by
With more than eight months to go in the 2012 Presidential election
campaigns, we will probably hear a lot more about red, blue and
purple states. Wikipedia defines red states (22) as those that have
voted overwhelmingly republican in the last five presidential
elections. Blue states (22) generally voted democratic in the same
elections, and purple states (7) have also been named swing states
because, as the name implies, they could go either way (there are a
total of 51 because the District...
Wednesday, January 25, 2012 by
Dependence on foreign oil, increasing fuel costs and concerns for
the environment have forced OEMs to develop solutions to improve
the efficiency of new vehicles and their response could be seen at
the North American International Auto Show which was held in
Detroit from January 9 - January 22, 2012. For those consumers
wishing to stick with gasoline engines, Mazda's Skyactiv technology
is something worth considering. Skyactiv is the combination of an
efficient high compression gasoline engine,...
Thursday, January 19, 2012 by
On January 10, 2012, Polk announced the winners of the 16th
Annual Polk Automotive Loyalty Awards
and one question has been
asked over and over again, where was General Motors? GM did not win
an award this year, but finished second in the Overall Loyalty to
Manufacturer category. Similarly, the Chevrolet Silverado finished
second in the Mid/Full-Size Pickup Truck category. To some it might
appear as though GM has poor owner loyalty, but nothing could be
further from the truth since General...