Jump to content
  • William Maley
    William Maley

    Nissan and Toyota's 'Strong Demand' In January Partly Thanks to Fleets

      How do you explain a noticeable increase in January sales?

    January is usually not a strong month for car sales as it just after the holidays and people don't have the money to buy a new car. This is reflected in our January sales figure ticker where most automakers post small increases and decreases. There were some automakers that posted some surprising numbers. Nissan reported a 10 percent increase and Toyota noted an impressive 16.8 percent rise. The two automakers credit their utility as a key reason for the rise. But Bloomberg reports there is another reason for these rises.

    Pulling data from Cox Automotive, Bloomberg found out that fleet deliveries for the month rose 46 percent for Nissan and 69 percent for Toyota. Most of the sales came from rental car companies. 

    “If you want to claim 10 percent market share, that’s a way to do it. The danger is that you create a large number of late-model used cars that will compete with your new cars and bring down prices and profits,” said Maryann Keller, an independent auto industry consultant.

    A number of automakers have been turning away from fleet sales for this very reason. GM which has been a poster child for fleet sales has been cutting back.

    Toyota spokeswoman Amanda Roark told Bloomberg that fleet deliveries will be lower during the second half of this year and will likely make up "about 10 percent of its total U.S. sales in 2018." Judy Wheeler, Nissan vice president of U.S. sales explained the increase in fleet sales was due to them clearing out 2017 models to make way for 2018 models.

    “It’s really just a timing situation for us,” she said.

    It needs to be noted that Nissan has been increasing their sales to fleets within the past year.

    Source: Bloomberg



    User Feedback

    Recommended Comments

    2 hours ago, dfelt said:

    Fleet Sales, the fastest way to reduce / Burn your long term value! :killitwithfire:

    Wait, Nissans had value before fleet?

    • Haha 1

    Share this comment


    Link to comment
    Share on other sites
    26 minutes ago, daves87rs said:

    Wait, Nissans had value before fleet?

    To some they did young padawan! Course burning what little is left seems to be all one can do at some companies! :roflmao: 

    • Haha 1

    Share this comment


    Link to comment
    Share on other sites

    I am not surprised about Nissan getting fleet sales. 

    Toyota? That is weird.  Ten years ago GM had that "move the metal" mentality prior to BK and it nearly killed the company (among other causes).  Now Toyota is doing what GM did back in the 2000s?!  WTF?

    Share this comment


    Link to comment
    Share on other sites
    1 hour ago, riviera74 said:

    I am not surprised about Nissan getting fleet sales. 

    Toyota? That is weird.  Ten years ago GM had that "move the metal" mentality prior to BK and it nearly killed the company (among other causes).  Now Toyota is doing what GM did back in the 2000s?!  WTF?

    Totally agree, Toyota seems to be following GMs road map to self destruction.

    Share this comment


    Link to comment
    Share on other sites
    Just now, dfelt said:

    Totally agree, Toyota seems to be following GMs road map to self destruction.

     

    have to say there is some irony there....

    Share this comment


    Link to comment
    Share on other sites


    Join the conversation

    You can post now and register later. If you have an account, sign in now to post with your account.
    Note: Your post will require moderator approval before it will be visible.

    Guest
    Add a comment...

    ×   Pasted as rich text.   Paste as plain text instead

      Only 75 emoji are allowed.

    ×   Your link has been automatically embedded.   Display as a link instead

    ×   Your previous content has been restored.   Clear editor

    ×   You cannot paste images directly. Upload or insert images from URL.




  • Similar Content

    • By William Maley
      The Toyota Yaris and Yaris Hatchback will be no more in the U.S. come the end of June. That's according to a leaked memo posted to Reddit and found by CarBuzz. Sent to "All Southeast Toyota Dealers and General Managers" by Toyota, the memo says the Yaris will "cease production" at the end of June.
      "The Yaris sedan and Yaris Hatchback will not be available for model year 2021. Model year 2020 will be the last year for Yaris. June 2020 will be the last month of production for the Yaris sedan and Yaris Hatchback for the US," wrote Christine N. Henley, Toyota North America's Western Communications Manager in the memo.
      Toyota confirmed the memo, and gave Car and Driver this statement;
      "The entry-subcompact segment has new regulations that require additional homologation. Those regulations, coupled with declining sales in the segment, are some of the reasons behind the decision."
      (Author's Note: We're wondering what Toyota means by the statement we bolded here, and we'll update if we get some sort of clarification. -WM).
      The declining sales makes sense as Toyota only moved 21,917 Yaris models in 2019, down 5,293 units when compared to 2018. To give more perspective, the Corolla moved 304,850 units last year.
      So if you're interested an affordable Toyota, we would hurry down to your nearest dealer ASAP.
      Source: CarBuzz, Car and Driver

      View full article
    • By William Maley
      The Toyota Yaris and Yaris Hatchback will be no more in the U.S. come the end of June. That's according to a leaked memo posted to Reddit and found by CarBuzz. Sent to "All Southeast Toyota Dealers and General Managers" by Toyota, the memo says the Yaris will "cease production" at the end of June.
      "The Yaris sedan and Yaris Hatchback will not be available for model year 2021. Model year 2020 will be the last year for Yaris. June 2020 will be the last month of production for the Yaris sedan and Yaris Hatchback for the US," wrote Christine N. Henley, Toyota North America's Western Communications Manager in the memo.
      Toyota confirmed the memo, and gave Car and Driver this statement;
      "The entry-subcompact segment has new regulations that require additional homologation. Those regulations, coupled with declining sales in the segment, are some of the reasons behind the decision."
      (Author's Note: We're wondering what Toyota means by the statement we bolded here, and we'll update if we get some sort of clarification. -WM).
      The declining sales makes sense as Toyota only moved 21,917 Yaris models in 2019, down 5,293 units when compared to 2018. To give more perspective, the Corolla moved 304,850 units last year.
      So if you're interested an affordable Toyota, we would hurry down to your nearest dealer ASAP.
      Source: CarBuzz, Car and Driver
    • By William Maley
      Nearly a decade ago, Nissan launched an ambitious assault on the U.S. commercial van market with the launch of their NV vans. It started with the Titan-dervived, body-on-frame NV1500/2500/3500 vans. This was followed by the unibody NV200 van, which was for a time the "Taxi of Tommorow" in New York City. But Nissan is reportedly throwing in the towel.
      Automotive News has learned from a source that it will end production of their commercial vans. No time frame was given.
      "We don't want to go more in the business of vans in the U.S. We will exit," said the source.
      Nissan spokesman Brian Brockman declined to comment about the future of the commercial vans, only saying in a statement that the automaker " is considering a number of opportunities to streamline the product portfolio and drive efficiencies within our manufacturing operations."
      When the NV lineup was launched in 2009, Nissan was hoping to steal away sales from the Detroit Three. At the time, Ford and GM had 97 percent of the large van segment. The NV was positioned as being a more modern option compared to the Ford E-Series and Chevrolet Express/GMC Savana. It was more comfortable with adjustable seats, taller ceiling for easier access to the cargo area, and pre-drilled holes in the body to allow owners to add interior racks easily. But Nissan wasn't able to make decent inroads into this market, only achieving around an eight percent share in the marketplace.
      What was the NV's downfall?
      Brand Loyalty to the American brands Using a modified Titan platform for the larger vans comprised them in urban areas with their extended front nose, and cargo capacity. "A third of the vehicle is dedicated to the engine and passenger compartment instead of cargo. The van takes up more real estate for the same amount of cargo space," explained Sam Fiorani, vice president at AutoForecast Solutions. NV200 Taxis were dinged by taxi companies poor ride quality, difficulty entering/exiting the van for elderly passengers, and increasing maintenance costs. Proved to a be a difficult sale to fleet buyers due to the automaker lacking the numerous combinations of light-trucks that the Detroit three can offer. Trucks and vans work hand in hand to attract sales in the commercial market. "Chevrolet and Ford can be everything to everybody," said Tyler Slade, operating partner at Tim Dahle Nissan Southtowne in Salt Lake City. "When we went to some of these fleet companies, it didn't make sense for them to have trucks from Ford and vans from Nissan." Add in $2.8 billion in cuts that the company is planning to stay afloat and COVID-19, and the death knell was coming sooner than later for the NV family.
      If Nissan does go forward with dropping the NV family, this will be a major blow to about a forth of Nissan dealers in the U.S. They made various investments such as installing heavy-duty lifts capable of lifting fully-loaded vans and having a dedicated sales staff to handle specific fleet issues.
      "Dealers now have serious concerns about their investments in commercial vehicles," said Slade.
      There is also the question as to whether Nissan may try again. Automotive News notes that in the new business strategy outlined last month, Nissan is wanting more global cooperation with its alliance partner Renault. The French automaker already has a number of vans in its lineup and is quite successful in various markets. Nissan already sells a version of the Renault Traffic, called the NV300 in Europe.
      But getting a Renault van into the U.S. as a Nissan will be difficult and costly in terms of homologation. Also, Nissan would still need to figure out how to appeal to larger fleet buyers that go with Ford or GM.
      Source: Automotive News (Subscription Required), The Drive
      Pic Credit: William Maley for Cheers & Gears

      View full article
    • By William Maley
      Nearly a decade ago, Nissan launched an ambitious assault on the U.S. commercial van market with the launch of their NV vans. It started with the Titan-dervived, body-on-frame NV1500/2500/3500 vans. This was followed by the unibody NV200 van, which was for a time the "Taxi of Tommorow" in New York City. But Nissan is reportedly throwing in the towel.
      Automotive News has learned from a source that it will end production of their commercial vans. No time frame was given.
      "We don't want to go more in the business of vans in the U.S. We will exit," said the source.
      Nissan spokesman Brian Brockman declined to comment about the future of the commercial vans, only saying in a statement that the automaker " is considering a number of opportunities to streamline the product portfolio and drive efficiencies within our manufacturing operations."
      When the NV lineup was launched in 2009, Nissan was hoping to steal away sales from the Detroit Three. At the time, Ford and GM had 97 percent of the large van segment. The NV was positioned as being a more modern option compared to the Ford E-Series and Chevrolet Express/GMC Savana. It was more comfortable with adjustable seats, taller ceiling for easier access to the cargo area, and pre-drilled holes in the body to allow owners to add interior racks easily. But Nissan wasn't able to make decent inroads into this market, only achieving around an eight percent share in the marketplace.
      What was the NV's downfall?
      Brand Loyalty to the American brands Using a modified Titan platform for the larger vans comprised them in urban areas with their extended front nose, and cargo capacity. "A third of the vehicle is dedicated to the engine and passenger compartment instead of cargo. The van takes up more real estate for the same amount of cargo space," explained Sam Fiorani, vice president at AutoForecast Solutions. NV200 Taxis were dinged by taxi companies poor ride quality, difficulty entering/exiting the van for elderly passengers, and increasing maintenance costs. Proved to a be a difficult sale to fleet buyers due to the automaker lacking the numerous combinations of light-trucks that the Detroit three can offer. Trucks and vans work hand in hand to attract sales in the commercial market. "Chevrolet and Ford can be everything to everybody," said Tyler Slade, operating partner at Tim Dahle Nissan Southtowne in Salt Lake City. "When we went to some of these fleet companies, it didn't make sense for them to have trucks from Ford and vans from Nissan." Add in $2.8 billion in cuts that the company is planning to stay afloat and COVID-19, and the death knell was coming sooner than later for the NV family.
      If Nissan does go forward with dropping the NV family, this will be a major blow to about a forth of Nissan dealers in the U.S. They made various investments such as installing heavy-duty lifts capable of lifting fully-loaded vans and having a dedicated sales staff to handle specific fleet issues.
      "Dealers now have serious concerns about their investments in commercial vehicles," said Slade.
      There is also the question as to whether Nissan may try again. Automotive News notes that in the new business strategy outlined last month, Nissan is wanting more global cooperation with its alliance partner Renault. The French automaker already has a number of vans in its lineup and is quite successful in various markets. Nissan already sells a version of the Renault Traffic, called the NV300 in Europe.
      But getting a Renault van into the U.S. as a Nissan will be difficult and costly in terms of homologation. Also, Nissan would still need to figure out how to appeal to larger fleet buyers that go with Ford or GM.
      Source: Automotive News (Subscription Required), The Drive
      Pic Credit: William Maley for Cheers & Gears
    • By William Maley
      The landscape of midsize sedans was much different ten to fifteen years ago. All of them offered the choice of a four-cylinder and V6 engine. Today, it is a completely different story as most automakers that still offer a midsize sedan have dropped their V6 engines in favor of turbo-fours. But Toyota is bucking the trend by sticking with the V6 in the Camry. It seemed like a good time to ask whether or not there is a place for a V6 in the midsize class.
      The V6 in question is a 3.5L used in many Toyota and Lexus vehicles. In the Camry, output is rated at 301 horsepower and 267 pound-feet of torque. An eight-speed automatic routes power to the front wheels. This V6 is one of my favorites due to its combination of excellent acceleration off the line and smoothness that turbo-fours can only dream of. One gotcha you need to keep in mind that torque steer will pop up if you decide to mash on the accelerator. The eight-speed automatic is very smooth and quick to upshift but hesitates to downshift when you need more speed. This is likely due to programming in the transmission to improve fuel economy. EPA fuel economy figures for the Camry XLE V6 are 22 City/33 Highway/26 Combined. My average for the week landed around 24 on a 60/40 mix of highway and city driving. The XSE and TRD V6s see a slight dip in fuel economy due to their performance ambitions. While the XLE can’t fully match the athleticism of the XSE I drove last year, it still can hold its own in the bends. The XLE has the added benefit of providing a smoother ride, as most bumps and road imperfections become mere ripples. Disappointingly, there is a fair amount of road and wind noise comes inside when driving on the freeway. A key difference between the XLE and the XSE I drove last year is the front end treatment. There is a larger lower grille and a different top grille design. I find this design to be a bit much and may scare a lot of people away. On the other hand, the new front does give Camry some needed presence on the road - something that couldn’t be said for previous-generation models. The XLE is surprisingly luxurious with quilted luxury upholstery for the seats and stitching on the dash. Although, a Mazda6 Signature is slightly more premium in terms of offering more luxurious trim pieces, whereas the Camry XLE uses a lot of piano black trim.  Comfort is one area that the Camry XLE excels in. The seats are quite cushy and offer plenty of support, no matter the distance of any trip. The back seat offers plenty of head and legroom. The Entune system may not have the sharp and modern graphics as some competitors, but it does have a simple interface and the ability to use either Apple CarPlay or Android Auto. The XLE starts at $29,455 for the base four-cylinder, while the V6 will set you back $34,580. With a few options, my test XLE V6 carried an as-tested price of $37,824. That’s slightly more expensive than a Mazda6 Signature which offers a slightly more premium interior and better driving dynamics. But the Camry can counter with the smooth performance of the V6, comfortable ride, and its long-standing reputation for reliability. I came away really impressed with the Camry XLE, but also wondering how much longer Toyota will hold out. Despite all of the positives, the V6 is a very expensive proposition and most buyers will likely be happy with the four-cylinder. If I was to buy one, I would likely go for an XLE minus the options. Disclaimer: Toyota provided the Camry, Insurance, and One Tank of Gas
      Year: 2020
      Make: Toyota
      Model: Camry
      Trim: XLE V6
      Engine: 3.5L DOHC D-4S Dual-Injection w/Dual VVT-i V6
      Driveline: Front-Wheel Drive, Eight-Speed Automatic
      Horsepower @ RPM: 301 @ 6,600
      Torque @ RPM: 267 @ 4,700
      Fuel Economy: City/Highway/Combined - 22/33/26
      Curb Weight: 3,549 lbs
      Location of Manufacture: Georgetown, KY
      Base Price: $34,050
      As Tested Price: $37,824 (Includes $920.00 Destination Charge)
      Options:
      Driver Assist Package - $1,550.00
      Navigation Package - $1,040.00
      Carpet/Trunk Mat Set - $264.00

      View full article
  • Posts

  • Social Stream

  • Today's Birthdays

    1. bowtie_dude
      bowtie_dude
      (37 years old)
  • Who's Online (See full list)

    There are no registered users currently online

  • My Clubs

About us

CheersandGears.com - Founded 2001

We ♥ Cars

Get in touch

Follow us

Recent tweets

facebook

×
×
  • Create New...