Car Biz Buzz

While the auto industry struggles to counteract the effects of falling auto sales, a new study suggests that new car sales won’t necessarily be rebounding any time soon. According to market research firm AutoPacific, Americans are holding on to their cars for longer periods of time, and are there are continuing to stay clear of dealerships.

Research suggested that most would-be new car buyers intended to keep their cars for four years or longer rather than purchase a new car. This statistic, to the dismay of New York Hyundai Repair, is an increase from last year. Meanwhile, 72 percent of the general public intended to refrain from purchasing a new car for more than one year.

Needless to say, the economy is the largest factor in changing buying behavior admits Used Cars Yuma. Consumers that purchase a new vehicle every couple of years or less are becoming rarer in today’s economic environment. Despite the economy, one Nissan dealer in Tacoma points out that automakers are introducing attractive sales incentives and other programs to entice buyers to enter showrooms. Despite these initiatives, sales continue to be sluggish.

With over 32,000 respondents to the survey, the study likely indicates what the general public feels about car buying these days. Although recent signs suggest the worst may be behind us, the industry is still limping along and the rebound in new cars sales is clearly not going to happen overnight. Continue reading ‘Consumers are Holding onto Their Cars Longer’

General Motors is preparing to change the image of its lineup when it emerges from bankruptcy. While the much anticipated Chevrolet Volt is hoped to add to the automaker’s eco-friendly credentials, plenty of attention is also being placed on the Buick brand, particularly to compliment the expected demand for the attractive 2010 Buick Lacrosse.

Complimenting the release of the all-new Buck Lacrosse, Oklahoma City Car Loans say that GM is also planning a new hybrid model in the not too distant future. The stunning Lacrosse will be launched with two powerful V6 options to choose from, not to mention an ultra efficient 2.0-liter four cylinder engine with direct injection technology.

The announcement of a hybrid version of the new Buick Lacrosse comes on the heels of the cancellation of the Chevy Malibu hybrid, which will meet its demise next year according to Trenton Auto Service. The current Chevy Malibu and the Lacrosse hybrid already share similar a chassis and components and are built alongside each other.  The cancellation of the Malibu hybrid stems from poor sales, but Salt Lake City used car loans specialists notes that GM seems to think the Lacrosse hybrid will have better luck in the tough mid-sized hybrid segment.

By 2012, General Motors hopes to offer 14 hybrids. The recent announcement of the Lacrosse hybrid appears to be one of those 14, but it remains to be seen whether it can achieve the sales momentum that the Malibu hybrid seemed incapable of attaining. Continue reading ‘GM Announces Buick LaCrosse Hybrid in the Works’

Toyota and General Motors have had a strong partnership via NUMMI. This seemingly odd relationship was responsible for the Pontiac Vibe, which was build alongside the similar Toyota Matrix in a joint manufacturing venture based in California. With the Pontiac Vibe now discontinued, the question now is what will come of the NUMMI partnership.

Rumors have suggested that another model will soon be shared by the two automakers, perhaps also based on the Toyota Matrix suggests Oklahoma City Used Cars. However, details on these discussions remain unconfirmed. Another possibility for NUMMI is that GM will license Toyota’s hybrid technology for GM cars and trucks. This rumor has since been denied from GM executives in the paged of their online blog, the GM Fastlane Blog.

Although GM would no doubt benefit from Toyota’s stellar Synergy Drive Hybrid System, the automaker has pointed out that they are very busy developing their own internal hybrid technology. Chevrolet Financing Peoria say this proprietary technology will be available soon enough in the upcoming Chevrolet Volt electric vehicle. GM also has several other hybrid models under development, including a Buick hybrid crossover.

In discussing future hybrid technology plans, GM has singled out Buick as the main beneficiary of this new technology. A hybrid Enclave is currently in the works says Washington DC Buick, as well as a smaller hybrid crossover that will essentially fill the void in the GM lineup that will be left once the Vue Hybrid and the Saturn brand are sold. Continue reading ‘GM Dispels Rumors of Licensing Toyota Hybrid Technology’

With Chrysler’s bankruptcy problems, the automaker has been trying hard to unload its Dodge Viper business. Since late in 2008, Chrysler has been working to find a buyer for the Viper sports car brand, but unfortunately the only offers available went up to $10 million – far less than Chrysler was hoping.

As a result of the Viper brand being virtually unsellable, Chrysler will be holding onto it, meaning the brand will be handed over to Fiat to control. Reportedly, Chrysler had received offers of up to $35 million for the Dodge Viper business, but unfortunately used cars Connecticut dealers believe these offers were well before bankruptcy and needless to say have since  fell through.

With Chrysler now emerging from bankruptcy as a new company, the Viper’s fate will now be decided by Italian automaker Fiat. This includes the control of all Viper assets says Texas Dodge. Fiat can continue to look for a potential buyer for the assets. However, the other option is for Fiat is to simply dissolve the brand, which one body shop Oklahoma City observes is a sure way to remove competition from Fiat’s own Ferrari and Maserati sports car brands.

The Dodge Viper brand began 17 years ago. The brand helped Chrysler add a performance pedigree to its image and has earned a cult following. After a mere 25,000 Vipers have been produced, there will still be plenty of disappointed enthusiasts should the brand cease to exist. Continue reading ‘Chrysler’s Viper Brand Moves To Fiat’

Following is bankruptcy filing, General Motors has confirmed that the Hummer brand has at last found a buyer. Based on information just released, the buyer has been identified as Chinese firm Sichuan Tengzhong Heavy Industrial Machinery Co. The sales is certainly not soon enough for GM. The Hummer brand had seen ample popularity, but has more recently been handicapped by poor sales and poor consumer perception. GM said the sale was helped by the brand’s sales potential in emerging markets such as China and India.

The sale of Hummer to the Chinese company is expected to be wrapped up by the end of Q3 of this year. With the sale marks a big step for GM towards downsizing, and becoming one step closer to the company that it is supposed to emulate says one Pittsburgh used car dealer. In addition, the Hummer sale has also secured a number of jobs involving manufacturing and engineering personnel, not to mention jobs at Hummer dealerships. Auto Loans Detroit note that the deal also includes provisions for future product development by the new investor. This includes the potential for a new compact SUV.

Numerous details of the buyer and the transaction have yet to be released. Until that time, Oklahoma City Car Loans points out that Hummer will continue to manufacture and sell its vehicles. This includes production at GM’s Shreveport Assembly, which will produce the H3 model until 2010 at minimum.

Sales at Hummer are down over 60% compared with last year. This is a substantial decline that continues to hurt Hummer’s ailing parent company. Meanwhile, dealers have been unhappy by GM’s public bashing of the Hummer nameplate as they wished the pending sales could have been handed more discreetly. Continue reading ‘GM Officially Finds Buyer for Hummer’

With competition in the auto industry at an all time high thanks to the demanding economy, reliability and quality both play important roles in gaining new customers and retaining them. As a result, those seemingly irrelevant automotive quality and satisfaction surveys are becoming more important to today’s car buyers as they strive to find the make and model that will provide the most value. One of the latest of these reports is from California-based AutoPacific, which recently showcased its list of the most satisfying vehicles for 2009.

There was finally good news on this list for General Motors, whose Cadillac division won the Highest Satisfaction Brand for the second year in a role. Despite the negative news surrounding GM lately, the news apparently has not stopped customers from enjoying their Cadillac cars and SUVs. Despite setbacks for GM, Cadillac Philadelphia says that the Cadillac brand remains committed to luxury and innovation.

In other news, Hyundai was able to move up on this list compared with last year’s rankings, which is no surprise to Hyundai Service Chicago. Hyundai’s two shining models were the Genesis, which won the title of most satisfying Aspirational Luxury Car, and the Sonata which won most satisfying Premium Mid-Size. New Jersey Hyundai dealers say customers have continued to be drawn to Hyundai and these two models specifically thanks to their incredible value. Overall, Lexus took the title of highest overall satisfaction.

This survey was given to customers who purchase or leased a vehicle in Q4 of 2008. What’s interested is that it reflects attitudes of car buyers just at the beginning of concern over the economic downturn. Feel free to check out the full list of winners for the most satisfying vehicles below. Continue reading ‘Cadillac and Hyundai Named ‘Highly Satisfying’’

Car dealers are finding ways of attracting car buyers to showrooms while also delivering the best experience possible. Obviously fresh products remain an important part of the equation, but as the automotive industry braces for more losses, automakers are realizing the showrooms themselves also play a large role in the sales equation.

Luxury automakers in particularly have been focusing their attention to individual showrooms. Acura for example has begun investing heavily in its branding and services at the showroom level according to St Louis Acura dealers in order to raise the profile of the brand among premium car buyers. Additionally, a Los Angeles BMW dealer says that all products in the luxury segment remain so attractive and competitive that ultimately the focus has now widened to include the entire sales experience. As a result, if the showroom doesn’t give the premium feel that buyers expect, a dealer may lose a sale.

The latest to invest in its dealer showrooms is Audi. With an investment of $1 billion, Audi dealers will become transformed by the end of 2010 to include a new “Terminal” design scheme. The new design is intended to align dealerships with Audi’s image of sportiness, luxury, and efficiency. See the video of the new design above.

While automakers in every segment struggle to lure buyers back to showrooms, Washington DC Mercedes Benz dealers realize that service and the total package is exactly what premium buyers require. This is also why new car incentives have gone beyond low APRs and now include free maintenance and other enticing offers. Continue reading ‘Luxury Brands Invest in Posh Showrooms’

The automotive industry is said to be in the midst of an auto recession. With auto sales at a record low, automakers and dealers alike are feeling the effects of a sluggish economy as car buying is down across the board. Those particularly hard hit are the Big Three Detroit automakers who have scrambled to cut costs and introduce exciting new models.

New car buyers are staying clear from dealerships for a number of reasons. Among these reasons are falling resale values says Chicago Used Cars. For buyers planning on trading-in their current vehicles, they’re going to be getting less cash for them, which may make all the difference for some consumers. This is especially true for those who want to trade-in their full-size trucks and SUVs. Dealers are having a hard enough time selling their existing stock of new trucks and SUVs, and your used truck probably is likely to be a turn off for many dealers.

Leasing is also contributing to the auto recession. Automakers have reevaluated their leasing programs as many drivers have failed to make payments. Chrysler has made the boldest step, eliminating leasing entirely. Once vehicles have been returned to the dealer, Philadelphia Used Cars say they’ve lost a significant amount of value following the duration of the lease, hurting dealers further.

Car buyers have also changed their buying habits to keep with the changing economic constraints. Increasingly, buyers are considering smaller, more fuel efficient cars rather than the once popular trucks and SUVs. With concerns over gas prices and plummeting resale values, drivers are focused on compacts, which have helped make companies like Honda and dealers like Lexington Auto Dealers slightly better off as buyers are drawn to their selection of compact and fuel efficient models.

Some analysts have varying opinions about when the auto business will recover, but many expect it to be quite some time before it happens. Some don’t expect the recovery to begin until 2013. Meanwhile, it’s expected that GM may declare bankruptcy in the coming months. Even Ford, who has recently added a string of all-new models to their lineup, will also be bringing European models to US shores, which San Diego Ford dealers expect will help boost its presence within the compact car market. But Ford is not only in promising new models by 2010 – GM and Chrysler both have many vehicles in the works in hopes of encouraging a rebound in domestic sales.

Perhaps one of the most anticipated vehicles from Detroit will be the Chevrolet Volt. As a top priority for GM’s development teams, the Volt will be one of the first electric models available to the general public, and Hartford Buick expects will help boost GM’s reputation and brand when it comes to car buyers demanding efficiency and the greenest technology available. But with such significant time and financial commitment that big question is whether the Chevy Volt will pay off. Continue reading ‘The Auto Recession Hits Hard’

Faced with an uncertain market with ample new challenges, Land Rover has decided to freshen up its entire lineup. New Land Rover models that will get a midlife update include the LR3, Range Rover, and Range Rover Sport. All of these new models will be on display at the upcoming New York Auto Show.

New upgrades to Land Rover models include fresh interior design, upgrades to the chassis, modest exterior updates, and even new V8 engines. Aurora Land Rover says that to further highlight these changes, the Land Rove LR3 will also be getting a name change to LR4.

In addition to its name change, the new LR4 will get plenty of attention inside the cabin, where Used Cars Denver, which specializes in Land Rover models, says American consumers have indicated room for improvement. Instead of its current utilitarian design, the new LR4 interior will have more soft surfaces and more of an up market feel and look. The LR4 will also receive an updated front grille that is similar to the one on the Range Rover. The new LR4 will go on sale in October.

The Range Rover Sport will receive 1,420 all new parts. Styling cues will also put it more in line with the larger Range Rover. There will also be new Jaguar-sourced Bilstein dampers to help with on-road driving comfort. The larger Range Rover will get a Jaguar-sourced 5.0-liter V8 that produces 510 horsepower. A 5.0-liter V8 that produces 375 horsepower will also become available on all three Land Rover models. With the new X5 and M5 seeing high demand at BMW Los Angeles dealer it seems like an appropriate time for Land Rover to revamp its lineup.  This is especially true as the premium SUV segment is facing more difficulties than most vehicle segments. Continue reading ‘Changes Come to Land Rover Lineup’

As Chevrolet continues to hype and advertise the long-awaited Volt plug-in electric car, many are doubting the effect it will have on Chevy and GM sales. This negative view is shared by the Obama administration, which believes that the car will cost consumers too much and will not provide the demand and the volume that the embattled automaker truly needs.

While the Volt is seen as being technically advanced and possesses plenty of promise, the Chevy is not the commercially viable vehicle that the automaker needs right now. With an expected price far exceeds that of the gasoline-propelled equivalents, the manufacturing costs may not be justified by sales when it becomes available next year.

The outlook being adopted by the current administration is certainly a setback for GM admits Chevrolet Chicago. The Detroit automaker has used the Chevrolet model to change the perception of the brand, and it was this one car that Chevrolet hoped would transform the brand into an eco-friendly moniker.

Regardless, the Chevrolet Volt is heading into production next year. Despite doubt in the vehicle’s commercial success, Orlando Chevrolet dealers say its unique technology will allow the Volt to travel up to 40 miles on batteries alone. After 40 miles, the gasoline engine will then be able to extend the vehicle’s range.

Despite the advanced technology behind the Volt, the administration believes that GM overall remains behind Toyota and other automakers when it comes to developing green technologies. With hybrid technology in particular, GM has offered few options for affordable, efficient hybrid offerings according to hybrid shoppers among Gardena Honda dealers. Meanwhile, the Volt powertrain will likely put it financially out of reach for many eco-conscious buyers. When it becomes available next year, the Volt is expected to be priced around $40,000 – thousands more than other gasoline-powered sedans in its class.

Most hybrids only offer a short range of hybrid power, making the Chevy Volt’s technology unique. However, if the automaker is unable to reduce cost it will not provide the eco-friendly hit that it was hoping for. This may be where GM has made a fatal error. Despite years and plenty of money already invested in the Volt, it is unlikely that the automaker will be able over overtake Toyota and Honda as the green automotive technology leader. Even with the Volt, San Diego Toyota says that GM brands still lack the popular small cars that consumers are buying from Honda, Toyota, Hyundai, and others. Continue reading ‘Doubt Arises Around Chevrolet Volt’