#CarSales

With Sergio Marchionne gone, most assumed Fiat Chrysler Automobiles would swiftly enact the late CEO’s plan to convince another automaker to partner with the company. Until recently, FCA was viewed as a dinosaur within the industry — limping along since its Fiat acquisition with a lineup of unpopular European imports and oversized American vehicles that couldn’t possibly endure tightening fuel regulations.

However, the reality turned out to be quite different. While Fiat’s volume in the U.S. fell from its 2014 peak of 46,121 units to just 15,521 deliveries in 2018, Dodge and Chrysler managed to endure their losses more gracefully, cutting less-profitable models from the lineup and focusing instead on larger vehicles requiring less pricey R&D. Meanwhile, Jeep rose like a phoenix from the ashes — with its annual volume going from 231,701 deliveries in 2009 to last year’s 973,227 units.

Most people don’t care to venture out into the frigid weather unless it is absolutely necessary, instead reserving time for indoor activities such as enjoying the heated delights of the nearest wood-burning stove. Given the sales results shown here for February, it would indeed seem that car buying doesn’t rank too high on the Top 40 of most Americans when the weather is foul.

Overall, sales were off nearly three percent compared to this time last year, fuelling speculation by talking heads that 2019 will be the first calendar year in ages that the industry fails to collectively move more than 17 million units.

On Monday, Matthew Guy asked all of you to nominate vehicles that were ahead of their time. Those rare occasions where vehicles anticipated the desires of consumers, even before said desires were fully formed. Today, we flip it around and talk about Hall and Oates lyrics vehicles which were out of touch or behind the times, even when new.

Most manufacturers were awash in red by the end of 2018, either from the ink on their ledgers or the rose-colored glasses they were wearing while trying to assure themselves that all was well. Ford, GM, Honda, Hyundai … all ceded ground over the last twelve months.

Those seeking the brightest light in 2018 need look no further than our own backyard. Fiat Chrysler climbed the sales chart in a big way. Predictably, that charge was led by Jeep. The numbers put forth by the Trail Rated brand did hold one very surprising statistic, however.

Remember this saga? Earlier this year we told you about All Pro Nissan, yet another entrant into the “Dealers Behaving Badly” file. At the time, the stores – owned by a couple of ex-NFL linebackers and a veteran of the auto industry – were being examined for all kinds of financial chicanery ranging from floorplan irregularities to missing cars.

At the time, it was reported that All Pro Nissan was open but unable to sell or lease vehicles due to “restructuring.” Now, it appears the lights have been turned off for good.

More mainstream brands saw year-over-year rises in sales volume last month than those who endured a sojourn into the red. It will surprise exactly no one to learn those who did earn sales growth largely did so on the backs of trucks, SUVs, and crossovers.

Nowhere was this more apparent than at Genesis, a brand peddling some excellent cars but – for the moment – completely bereft of an offering in America’s hottest segment. Fiat Chrysler, on the other hand, had a particularly strong October thanks to its top-heaviness in each of those markets.

Dealerships across America were awash in red last month, both from the ink spilling across financial ledgers and the anger emitting from corner offices. Just about every marque was off in September and not by insignificant amounts. This can be blamed on a number of factors, not the least of which was last year’s pent up demand after a devastating Hurricane Harvey and this year’s Hurricane Florence having the opposite effect.

One ray of sunshine? Fiat Chrysler, which finally got its Ram production in gear and started delivering snazzy new pickup to eager customers in a big way. Of course, having the perpetually strong-selling Jeep brand on the books didn’t hurt, either.

There’s a popular notion that young people are ruining the automotive industry. It probably has something to do with the steady climb of average transaction prices and a median income for millennials that’s comparatively worse than that of their parents at a similar age. Plenty of evidence exists that younger individuals aren’t particularly fond of the car-buying experience.

They don’t seem particularly fond of the car selling experience, either. Millennials account for nearly 60 percent of dealer hires but shops lose over half of them every year, according to a study by the management firm Hireology. That’s an impressively high turnover rate that probably isn’t helping turn around stagnating car sales, as it takes a while to master any profession.

Major manufacturers saw their fortunes take a dip in July, with red ink spilling across the page like an airport departures board during a snowstorm.

More than ever, sales performance seems tied to the number of crossovers and SUVs available at a given OEM. Sedan heavy marques are taking a beating. Even Ford’s strong selling truck line could not drag the company’s results into the black, thanks to a tanking of sedan sales.

A sea of green greets execs at major automakers this morning, providing a feeling of relief not unlike that of a weary travelling viewing the flight board at JFK where all flights read “On Time.” Come to think of it, that example is surely one of fiction. Anyway…

Unsurprisingly, light trucks and SUVs are the main reason for industry gains, driven by insatiable consumer thirst for tall wagons and vehicles with a pickup bed. This is a familiar refrain in an industry that is up nearly two percent so far this year.

As the industry stresses about the new vehicle market taking it easy for the foreseeable future, there’s one aspect of it that’s of particular concern: car sales. After dominating the field for so long, passenger car sales fell below half of the market just a few years ago. That gap continued to widen through 2018.

Automakers responded by shifting output towards utility vehicles and crossovers. Ford ultimately decided to abandon the majority of its passenger cars in the United States as other manufacturers scramble to adjust their lineup to account for consumer tastes. However, these changes are also helping to push shoppers further away from cars. Bank of America Merrill Lynch estimates that 71 percent of vehicle introductions for the 2019 through 2022 model years will be light trucks.

Some automakers still believe cars hold an importance that’s not to be ignored. True, some models still sell incredibly well. But the general assumption is that they’ll continue losing relevance in the coming years. It’s likely to take another energy crisis or major shift in consumer preference to turn back the tide of crossover vehicles.

The Ford Mustang might have been born in America, but it’s now doing burnouts around the world. Helped along with fresh sales in places like Germany and the U.K., global registrations topped 125,000 cars last year. Your humble author saw his first right-hand-drive Mustang last January.

One country where it’s doing particularly well? China.

Spring is springing in most parts of the country and, as if on cue, more customers are beating their way to a dealership’s door. The market is up, in both monthly and year-to-date measures.

Mazda, Toyota, and Volkswagen are all up on their own merits both from a monthly and year-to-date perspective. In fact, compared to the same month last year, just about all the major automakers moved more metal in March.

It’ll be another 24 hours before the nation’s automakers release March sales figures, all thanks to the Easter long weekend. Shaking off the effects of a chocolate bunny induced sugar high takes a day or two, after all.

This means, at most dealers, last month’s subvented rates still apply — so, if you’re looking at snagging a 2017 model, it might not be a bad idea to lock the deal down today. Shoppers of MY2018 machines can relax, as the deals on those rides will likely be better tomorrow morning … especially if it’s a vehicle that was majorly reworked for 2019.

Until then, we have time to peruse a story from Bloomberg, one which pontificates on the sudden evaporation of subprime new car buyers from showrooms in the month of March.

Evaporation? I thought there was a glut of them! Let’s dig into the report.

With only 24 selling days in which to make a buck in February, the nation’s automakers found themselves staring down the tunnel of a short month. In many parts of the country, the weather at this time of year doesn’t help matters, either.

Most major OEMs saw fewer machines wend their way off dealer lots, with a few notable exceptions.