Brisk August Auto Sales Forecast

[Variance]

Link: http://www.caranddriver.com/article.asp?se...article_id=9948

The Daily Auto Insider
Monday, August 29, 2005
August 2005


This month's car sales will top 1.63 million units, a 14.8 percent increase over August 2004 (with the same number of selling days), according to Edmunds.com, an online source for automotive information.

However, the combined monthly U.S. market share for General Motors, Ford, and Chrysler is estimated to drop to 55.5 percent in August, down from 61.0 percent in July.

Edmunds.com predicts in a news release that Chrysler will sell 214,000 units in August, up 20 percent compared with August 2004 but down 11 percent compared with July 2005. This would result in a new car market share of 13.1 percent for Chrysler in August, up from 12.5 percent in August 2004 but down from 13.3 percent in July.

Edmunds.com predicts Ford will sell 315,000 units in August, up 28 percent compared with August 2004 but down 7.4 percent compared with July 2005. This would push Ford's market share to 19.3 percent of new car sales in August, up from 17.3 percent in August 2004 and 18.9 percent in July.

According to Edmunds.com, GM will sell 378,000 units in August, down 5 percent compared with August 2004 and down 27 percent compared with July 2005. GM's market share is expected to shrink to 23.1 percent of new car sales in August, down from 27.9 percent in August 2004 and 28.7 percent in July.

Noticing that its employee discount promotion was no longer as effective as it was when it was originally introduced, GM has extended the program to include some 2006 full-size trucks and SUV models.

"This is a clever way for GM to draw consumers' attention back to its brand, and particularly to its less fuel-efficient vehicles," stated Edmunds.com Senior Analyst Jesse Toprak. "It is likely that Chrysler and Ford will follow suit once again."

This month, Honda is predicted to sell 162,000 units, up 28 percent compared with August 2004 and up 13 percent compared with July 2005. Its market share is expected to increase from 8.0 percent in July to 9.9 percent in August — a record high.

Nissan is predicted to sell more than 107,000 units in August, up 33 percent compared to August 2004 and unchanged from July 2005. Nissan's market share is expected to reach 6.6 percent, up from 6.0 percent in July 2005.

Toyota is expected to sell 240,000 units, up 33 percent compared with August 2004 and up 11 percent compared with July 2005, resulting in a change in market share from 12.0 percent in July to 14.7 percent in August — also a record high.

[Northstar]

Wow, it sounds as if the lack of inventory is going to take it's toll on GM's sales. Only 23.1% of the market share :unsure: :o :blink:

[Matt276]

But what would be Year-to-date market share?

[Newbiewar]

What inventory? I work at one of the biggest B/P/GMC dealers in central Minnesota and all we have for new stuff is a dozen G6's and Le Sabres! :wacko:

[post="6205"]<{POST_SNAPBACK}>[/post]

lack of inventory... Here in Los Angeles, GM cant get us some vehicles fast enough... for example, no cobalts(although 1 ss), 2500 trucks go like the wind, crew cabs are going quicker then GM can send them... with 47 extended silverados and 15 tahoes, 1 colorodo, and 1 equinox for 05 inventory, is kinda like the sale doesnt do anything for us... with the 06 extention on the larger vehicles, it will help get some of the bloated truck inventory down as the new 06 models dwindle in... Impala is getting some looks, HHR's cant keep em in the store... thats about it for new/changed models...

i think my manager said last year for August we did something like 390 cars in the month, this year were at about 250 (8/29) for the month so far... so i think we are more the 5% in the negative over last year...

[gmwsag]

This was expected. Low inventory at GM is sparking high sales for Ford, Chrysler, and Toyota. I think GM should've ended the discounts way back in August. Extending them until almost October is very ridiculous.