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GM's September sales down 24 percent

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Old Oct 4, 2005 | 03:00 AM
  #1  
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GM's September sales down 24 percent

It's very depressing to read that GM's sales were down compared to the corresponding 2004 September figures. What's more, Toyota sales improved 10% and continue to climb.

Sales

When will the GM turnaround happen and when will ToyHondaSan sales peak? That is the ultimate question.

I know that the new SUVs are around the corner but sales are slowing.

I have a feeling the Japanese makers have an image rapport with the buying public that is hard to shake - makers of smaller, economical, technologically advanced and reliable transport. The big 3 have a long way to go to convince consumers that they now make vehicles that are the equal of anything originating from Japan.

Excuses just don't cut it for me anymore.

My 2c.
Old Oct 4, 2005 | 03:28 AM
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Re: GM's September sales down 24 percent

Originally Posted by SSbaby
When will the GM turnaround happen and when will ToyHondaSan sales peak? That is the ultimate question.
No, the ultimate question is "if", not "when". Once there's any sign of GM and/or Ford stabilizing their sales, then we can get to the "when" part.
Old Oct 4, 2005 | 08:01 AM
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Re: GM's September sales down 24 percent

Employee pricing is gonna hurt the sales figures for a couple years until the consumers come back around to buy there next new car. Dont forget the Katrina and Rita had a sure impact on sales. Say that caused a 10% drop and all the people who took early advantage of employee discount not knowing it would go on through sept.
Old Oct 4, 2005 | 08:07 AM
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Re: GM's September sales down 24 percent

Thats depressing news, hopefully GM will make a rebound soon.
Old Oct 4, 2005 | 09:22 AM
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Re: GM's September sales down 24 percent

October sure to be worse without employee pricing to the public. The SUV tanks that get 13-18mpg will probably drop 50% or so now that $3/gal gas is here to stay.
Old Oct 4, 2005 | 09:44 AM
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Re: GM's September sales down 24 percent

It's just a fact of consumer psychology. You can't go willingly and knowingly make sub-par vehicles for decades just to make your bottom line even sweeter at the consumer's expense and then when you finally start suffering the consequences except to win all your customers back over instantly just by making vehicles that are 'good enough' to compete.

I guess what I'm saying is that it will take GM some time and momentum. I think that the employee discount pricing was a smart move on their part because it got lots of people who swore off GM to give them another chance, and if this batch of vehicles truely is designed to last over the long run (and not just in JD Power 90 day initial defect surveys) then they'll really start moving that momentum back in the right direction. But again, don't expect people to say "wow, my brand new GM vehicle hasn't broken down yet and I've already owned it for 6 months and 7 thousand miles!"... it'll take several years, really.

Another consideration is that GM got a huge sales boost from their employee discount pricing in its first month or two. MOST people who were going to buy one from that discount already had before september. However with so many other manufacturers pulling copy-cat promos this month, not only did GM run out of most of its promo sales from the last couple months, but I'm sure they lost a good amount of sales to other makes as well due to the copycat promos.

Once the promos stop I suspect it will equalize some.
Old Oct 4, 2005 | 10:17 AM
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Re: GM's September sales down 24 percent

Originally Posted by SSbaby
When will the GM turnaround happen
I don't think GM will get, or is counting on, a turnaround in sales numbers. I'm of the opinion that it is more a matter of of completing a restructuring that includes a smaller and simpler product portfolio and reduced production capacity that allows them to be profitable at those levels.
Old Oct 4, 2005 | 10:33 AM
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Re: GM's September sales down 24 percent

Originally Posted by SSbaby
When will the GM turnaround happen
When they start building some affordable RWD cars with knock out styling like the 300C and Mustang.

Solstice is awesome, but it is a 30,000 unit car that isn't practicle for a primary vehicle. Where is the Kappa Sedan???????????????
Old Oct 4, 2005 | 10:36 AM
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Re: GM's September sales down 24 percent

I'd second that. When the restructure is finally complete, if GM can grasp even 22-23% of the market, I'd be thrilled. Think about it...China is not far away now with new cars. They are the next Korea. And we see how well Hyundai has made an inroads into the U.S. consumer's pocketbook.

No matter how hard I try at the dealer level, you can TELL people all you want that you have comparable quality...but the bias is so insane, its unreal.

And Threxx, while I tend to agree with some of what you said, you love to repeat your 90 day argument. GM did just win a variety of 3 year JD Power quality studies...which you continually forget to mention. For some reason, this doesn't surprise me much
Old Oct 4, 2005 | 10:37 AM
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Re: GM's September sales down 24 percent

This is much ado about nothing.

Much of the reason for the lack of sales in September is the fact that dealer lots are empty of 2005's that were sold during the summer and have not yet been replenished with 2006's.
Old Oct 4, 2005 | 10:43 AM
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Re: GM's September sales down 24 percent

What are you thoughts on DCX?
Old Oct 4, 2005 | 10:44 AM
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Re: GM's September sales down 24 percent

Originally Posted by Jason E
And Threxx, while I tend to agree with some of what you said, you love to repeat your 90 day argument. GM did just win a variety of 3 year JD Power quality studies...which you continually forget to mention. For some reason, this doesn't surprise me much
I don't forget it I just know that they are still behind Toyota and Honda on average by a decent margin, and I also feel that 3 year lifespan is still a period of time where most part failures are considered defects, and I'm talking about durability.
Old Oct 4, 2005 | 10:46 AM
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Re: GM's September sales down 24 percent

Originally Posted by Threxx
I don't forget it I just know that they are still behind Toyota and Honda on average by a decent margin.
Really? You KNOW that? Prove it to me. Right now. With statistics. Please. And don't pull a redzed on me, either.
Old Oct 4, 2005 | 10:48 AM
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Re: GM's September sales down 24 percent

Oh right...I'm sorry. My family and I buy GM products because they're pure crap compared to their Honda and Toyota counterparts. RIGHT....

I have more examples of GM quality in my own family and in my dealership that I would LOVE to share with you...as soon as you prove to me your completely ASININE above comment. But oh wait...you can't PROVE it. Its called BIAS.

So yeah, I'm waiting...
Old Oct 4, 2005 | 10:52 AM
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Re: GM's September sales down 24 percent

Originally Posted by Jason E
Really? You KNOW that? Prove it to me. Right now. With statistics. Please. And don't pull a redzed on me, either.
In reference to the 3-year defect, yes I know, if you consider JD Power 'fact'. Not that I necessarily do, but most others around here seem to consider it so.
http://www.jdpa.com/presspass/pr/images/2004055a.gif

I don't know about the long term durability, but that's what I'm saying people care most about. Not how much it breaks down under warranty so much as how much it breaks down after the warranty.



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