The Toyota Camry began a streak of 14 consecutive years as America’s best-selling car in 2002. Holding that number one position isn’t easy.
Toyota does not merely need the Camry to continue to live up to its reputation for reliability, and subsequently incite demand. Toyota also requires massive production capacity and a pricing scheme that matches production capacity to demand.
Demand in the United States for conventional midsize cars, however, is falling quickly. Year-to-date, overall midsize car volume is down 8 percent. In July 2016, midsize car sales fell 15 percent.
With a 2016 Camry now attempting to leave dealer lots as a five-year-old car, more than two years since its last refresh, Toyota’s desire for the Camry to maintain its high-volume nature and best-selling posture is now matched by a significant uptick in Camry incentives.
Toyota is now discounting Camrys 27-percent more than just one year ago, with an average incentive spend per Camry of $3,760 in July. (Read More…)