New York City, New York – The second annual National Automobile Dealers Association (NADA)/IHS Automotive Forum, “The Road Ahead for the New Automotive World: Risk, Reward and Opportunity”.
Scott Waldron, president of Experian Automotive, presented detailed insights into changing automotive market share trends.
Some of Waldron’s highlights:
239 million cars registered in the United States
hybrid vehicles represent .77% of VIO (vehicles in operation)
1.6 million increase in new vehicle registrations in 2010
830K increase in used vehicle registration
hyundai 23% increase
ford retook lead Hyundai edged out nissan
Chrysler is better than honda
2007 was the first year that import brands exceeded 50% of the market share.
ford has been up in sales for 7 quarters in corporate loyalty
loyalty net migration map by top 5 corporations
hyundai taking customers from big 6
nissan taking from big 5 except hyundai
brand loyalty with auto finance
Mercedes-Benz loyalty rises in prime and super prime
nissan/infiniti goes down in prime and super prime
highest loyalty for non-luxury brands is in subprime – how do you get customers back?
korean improved quality – seen in loyalty numbers will continue
great product out in small cars by gm and ford
where do you see the recovery?
capital goods, hiring
no robust housing increase for a long time.
pre-owned lease programs? because of residual value (and because dealers need cars)
OPEC is balancing – last thing they want is for the price of gasoline to soar
over 75% of france energy is nuclear – US may slow
The biggest lesson that should be learned from the recession is do not do bad business – don’t over finance a car. Don’t keep rolling your customers loans into another car until they don’t have a car, but they still have a loan.