Daily Sales Rate in April Auto Market Highest Since 2002.
Even though the SAAR (seasonally adjusted annual sales rate) dipped below 16.5M units for April, and despite Japanese automakers missing expectations for the month, the industry continues to show signs of strength in a tepid economy.
Detroit’s Big 3 all posted solid year-over-year increases, and Subaru once again posted a big double-digit gain.
The Light truck story remains the same, as 55% of new vehicle sales were pickups, SUVs and CUVs. As this segment bolstered the total tally with a +7.9% gain from last April, total car (non-truck) sales actually dropped 2.9% for the month. Passenger car inventories are bulging, and with continued stability on gas prices, automakers are planning to reduce production of cars (vs light trucks). Those low gas prices also have stunted the growth of electric and hybrid vehicles.
Hyundai turned in another record April — the sixth straight year the automaker has set a new high mark for the month — with a 2.9% gain over April 2014.
Your Car Keys recap follows.
APRIL 2015 HIGHLIGHTS
Wards Auto and NADA MarketBeat
- SAAR (April): 16.46M units
- April Units: 1.45M vehicles sold
- DSR* +4.9% vs April 2014
- Big Gainers: Subaru +17.9%, BMW +9.6%, GM +6.9%, Ford +6.4%, Fiat-Chrysler +6.3%
- Laggards: Honda -1.8%, Kia -0.7%
*DSR: Daily Sales Rate. A more reliable indicator of the pace of auto sales which accounts for actual car-selling days per month.
SOURCES: NADA MarketBeat, Wards Automotive, Automotive News.
Dave Eckstein is a Partner in the firm ESA & Company. He specializes in highly profitable market share growth for local businesses and gets a kick out of demonstrating a declining cost of customer acquisition. He plays baseball, but isn't that Dave Eckstein.