Jump to content
  • Greetings Guest!

    CheersandGears.com was founded in 2001 and is one of the oldest continuously operating automotive forums out there.  Come see why we have users who visit nearly every day for the past 16+ years. Signup is fast and free, or you can opt for a premium subscription to view the site ad-free.

William Maley

Volvo News: Volvo Sets A Modest Sales Goal for the S90 in the U.S.

Recommended Posts

The next member of the Volvo 90 Series family, the S90, will go on sale next month in the U.S. Anders Robertson, product manager for the 90 series at Volvo Car USA tells Automotive News the company expects to sell about 15,000 S90s during the first full year of sales. For some perspective, the segment that the S90 competes in - the midsize luxury sedan - sells around 300,000 vehicles per year. That means Volvo is hoping to capture about five percent of the segment sales.

 

That sales goal seems a bit small, but there is some reason for it. The S80, Volvo's previous flagship sedan only sold 1,887 models last year. The best sales came in 2007 when 12,347 S80 sedans were sold.

 

Source: Automotive News (Subscription Required)


View full article

Share this post


Link to post
Share on other sites

OK, so maybe I am missing something, but if the S80 sedan only sold 12,347 in 2007 and the average transaction price was $75,000 that means gross sales was $926,025,000.

I wonder how much it cost to develop the auto in the first place, support, testing, etc. 

 

Did they ever make money on the auto? Even break even? I question how a company as small as Volvo can make money on such low production figures.

 

Any additional info on this from them?

Share this post


Link to post
Share on other sites

Don't forget about sales outside the US...

OK, true, globally, but then I checked out what Volvo stated and was honestly surprised.

 

Here is their actual numbers:

https://www.volvoclub.org.uk/press/releases/2009/2008sales.shtml

 

In 2007 they had a record year producing and selling a total of 458,323 total auto's produced globally.

The S80 made up a global sale of 42,527 so then that would make this a multi-billion dollar sales auto. But I would have to think this is still slim in comparison to other product lines.

 

They clearly are not as big as GM or Toyota.

Share this post


Link to post
Share on other sites

Volvo will start going much higher as soon as their new vehicles start to take off in Europe. I think folks in Europe are much less reluctant to consider brands like Volvo compared to stuff like Cadillac or Lexus.

 

That's besides their ambitious goals from China.

  • Upvote 1

Share this post


Link to post
Share on other sites

Your content will need to be approved by a moderator

Guest
You are commenting as a guest. If you have an account, please sign in.
Reply to this topic...

×   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
      Volvo is shifting production of XC60s destined for the U.S. from China to Europe in an effort to avoid a 25 percent tariff on Chinese imports.
      "We will, of course, reshuffle here and take XC60s for the U.S. from our factory in Europe, and let China produce for other markets," Volvo CEO Håkan Samuelsson told Reuters.
      Samuelsson went on to say that the shift has already begun.
      Earlier this month, the Trump administration slapped a 25 percent tariff on $34 billion in Chinese imports, including Volvo's XC60 and S90. Unlike the XC60, the S90 is only built in China, leaving it in a difficult place. In turn, the Chinese government increased tariffs on imported U.S. vehicles to 40 percent. 
      Source: Reuters

      View full article
    • By William Maley
      Volvo is shifting production of XC60s destined for the U.S. from China to Europe in an effort to avoid a 25 percent tariff on Chinese imports.
      "We will, of course, reshuffle here and take XC60s for the U.S. from our factory in Europe, and let China produce for other markets," Volvo CEO Håkan Samuelsson told Reuters.
      Samuelsson went on to say that the shift has already begun.
      Earlier this month, the Trump administration slapped a 25 percent tariff on $34 billion in Chinese imports, including Volvo's XC60 and S90. Unlike the XC60, the S90 is only built in China, leaving it in a difficult place. In turn, the Chinese government increased tariffs on imported U.S. vehicles to 40 percent. 
      Source: Reuters
    • By William Maley
      The next-generation Volvo XC90, due out in 2021 as a 2022 model will follow in the S60's footsteps by not offering any sort of diesel option. Instead, Volvo will be offering a range of hybrids and electric-only powertrains.
      “We have to prioritise – we cannot do everything. So if we want to be faster in electrification we can’t say yes to everything. That’s why [the S60] has no diesel alternative and we are not planning to have a diesel alternative in any new cars. The XC90 will follow this,” said Volvo CEO Håkan Samuelsson to Auto Express.
      Volvo's next-generation SPA2 platform will underpin the XC90, which is designed to accept both electric and hybrid powertrains. Don't expect a major change in terms of the design. Auto Express reports that Volvo will undertake an evolutionary approach.
      Source: Auto Express

      View full article
    • By William Maley
      The next-generation Volvo XC90, due out in 2021 as a 2022 model will follow in the S60's footsteps by not offering any sort of diesel option. Instead, Volvo will be offering a range of hybrids and electric-only powertrains.
      “We have to prioritise – we cannot do everything. So if we want to be faster in electrification we can’t say yes to everything. That’s why [the S60] has no diesel alternative and we are not planning to have a diesel alternative in any new cars. The XC90 will follow this,” said Volvo CEO Håkan Samuelsson to Auto Express.
      Volvo's next-generation SPA2 platform will underpin the XC90, which is designed to accept both electric and hybrid powertrains. Don't expect a major change in terms of the design. Auto Express reports that Volvo will undertake an evolutionary approach.
      Source: Auto Express
    • By William Maley
      Subaru has been on a roll in the U.S. with 79 months of steady month-over-month growth. But Subaru wants to spread that success to other markets and has a new five-year to try an achieve this.
      Today in Tokyo, Newly appointed Subaru President Tomomi Nakamura unveiled the plan known as STEP - speed, trust, engagement, and peace of mind.
      "The automotive industry is now in a tumultuous time. Subaru’s fast growth in recent years has come to highlight our challenges. The question is how we, as a small-scale company, will be able to survive in this big-changing area," said Nakamura.
      Subaru wants to increase global sales from the 1.1 million vehicles it expects to sell in the current fiscal year to 1.3 million vehicles in the fiscal year on March 31, 2026. To do this, Subaru is planning to launch a number of new products including a hybrid and a "global strategic SUV" in the early 2020s. Furthermore, Subaru will evolving their "Dynamic X Solid design language into a "bolder" expression" and "enhancing sporty models."
      On the technology front, Subaru is planning to offer Level 2 autonomous capability (i.e. Cadillac Super Cruise and Tesla's Autopilot) around 2020 and higher levels by 2024. It is also planning to offer some sort of connectivity in "80 percent of new vehicles in major markets" by 2022.
      STEP will also be focusing on regaining trust in Subaru's home market. Last year, Subaru admitted that it had uncertified workers carrying out tests on new cars for Japan for decades. Early this year, the scandal got worse as Subaru revealed that inspectors falsified fuel economy and emission data. It led Japan's transportation ministry to reprimand Subaru and 417,288 vehicles to be recalled in the country.
      Source: Automotive News (Subscription Required)

      View full article
  • My Clubs

  • Recently Browsing

    No registered users viewing this page.

  • Reader Rides

About us

CheersandGears.com - Founded 2001

We ♥ Cars

Get in touch

Follow us

Recent tweets

facebook

×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.