Chrysler Extends $2.99 Gas Deal on 36% June Sales Drop

[Ming]

Thomson Financial News
Chrysler June U.S. sales fall 36% to 117,457 cars and trucks
07.01.08, 4:40PM

SAN FRANCISCO (Thomson Financial) - Chrysler LLC on Tuesday reported total June U.S. sales of 117,457 cars and trucks, down 36% from the same month last year.

Total car sales in the month fell 49% to 29,858 units, while truck sales dropped 30% to 87,599.

Sales of the company's top-selling Ram pickup plunged 48% to 16,149.

Year to date, Chrysler said sales are down 22%.

http://www.forbes.com/afxnewslimited...fx5174177.html

Chrysler Extends $2.99 Gas Promotion



Today, Chrysler announced it would extend its $2.99-gas guarantee promotion through July 31. It also announced a huge 36% loss in sales for the month of June. Ford, GM and Toyota posted losses of 28.1%, 18.5% and 11.5%, respectively. While gas prices have been at the forefront of peoples’ minds as of late — and many dealers report the gas deal does indeed bring people into showrooms — we certainly aren’t seeing a stellar impact on sales for Chrysler.

Only four models saw sales increases last month: the Chrysler Town & Country and Dodge Caravan minivans, the Jeep Patriot and the Dodge Viper. The new Dodge Journey crossover also had a strong month. It seems people are buying the most efficient or utilitarian vehicles they can find.

http://blogs.cars.com/kickingtires/2...er-extend.html

[adplusone]

Biggest June drop of any major brand....

So they extend the promotion...

That's great for the rest of the industry...

When they go under I wonder what share of their biz GM will pick up?

[adplusone]

Originally Posted by Ming

Thomson Financial News
Chrysler June U.S. sales fall 36% to 117,457 cars and trucks
07.01.08, 4:40PM

Only four models saw sales increases last month: the Chrysler Town & Country and Dodge Caravan minivans, the Jeep Patriot and the Dodge Viper. ....It seems people are buying the most efficient or utilitarian vehicles they can find.

http://blogs.cars.com/kickingtires/2...er-extend.html

Presenting the efficient and utilitarian Viper?

Viper?

Viper?

[tholland]

... because it's been working so well??

[paul8488]

They probably sold 9 Vipers last June and 10 this June.

Chrysler cars are down more than their trucks... says alot for Chrysler's car lineup.

[tntwit]

The Viper sales were 22 last June and 79 this June. Sales are likely up because the vehicle is slated to go out of production, potentially increasing the collectible factor.

[Hitman1970]

Their "small" car isn't and the cheapness of the mid-sizes is at a criminal level.

300/Charger/Challenger is all they have carwise and still need better interiors.

Minivans and Jeep brand equity are all that is left.

[jkennedy293]

I can't wait to see their August promotion: "Buy one of our cars, and a Chrysler executive will come to your house and wash it once a month!"

How long can this go on before the company just gives up the ghost?

[jkennedy293]

Originally Posted by Hitman1970

Minivans and Jeep brand equity are all that is left.

...And they just annouced they are closing one of their minivan plants.

[JonathanRohr]

Chrysler just doesn't even come close. The market is so competitive and crowded, what reason do people have to buy a vehicle that is in the middle/bottom of the pack?

Take midsize cars, arguably a tie between Camry/Accord/Malibu. Your personal preferences for looks, or dealership experience will likely determine which one you end up with. Not far behind them youve got Fusion/Mazda6/Altima. So why would anyone pick a sebring when there are at least 6 better cars out there?

And then small efficient cars? Does chrysler even have any? You may be quick to note that the Caliber and PT Cruiser get about 30 mpg on the highway - big whoop. I normally get 31mpg, and have gotten as high as 33mpg on the highway in my V6 Firebird with 165,000 miles! 30mpg is NOT efficient for a small little car like that! Why would anyone pick these vehicles when the Focus, Cobalt, Corrola, Civic and Sentra all get 35+ on the highway, for the same price!?!?

[carscomblogger]

Originally Posted by adplusone

Presenting the efficient and utilitarian Viper?

Viper?

Viper?

No fair, they cut off the rest of the paragraph!

The new Dodge Journey crossover also had a strong month. It seems people are buying the most efficient or utilitarian vehicles they can find — not including the 79 new Viper owners — regardless of the promotion. Even so, the automaker’s most affordable car, the relatively gas-thrifty Dodge Caliber — 24/29 mpg city/highway — saw sales drop 44%, even with a choice between $1,000 cash back in some areas or a gas savings of more than $1,500 (provided gas stays at $4 per gallon). That would bring the base price under $14,000.

Geeze! I know the Viper isn't utilitarian or fuel efficient. Give me some credit.

[Ming]

Originally Posted by JonathanRohr

Chrysler just doesn't even come close. The market is so competitive and crowded, what reason do people have to buy a vehicle that is in the middle/bottom of the pack?

Take midsize cars, arguably a tie between Camry/Accord/Malibu. Your personal preferences for looks, or dealership experience will likely determine which one you end up with. Not far behind them youve got Fusion/Mazda6/Altima. So why would anyone pick a sebring when there are at least 6 better cars out there?

And then small efficient cars? Does chrysler even have any? You may be quick to note that the Caliber and PT Cruiser get about 30 mpg on the highway - big whoop. I normally get 31mpg, and have gotten as high as 33mpg on the highway in my V6 Firebird with 165,000 miles! 30mpg is NOT efficient for a small little car like that! Why would anyone pick these vehicles when the Focus, Cobalt, Corrola, Civic and Sentra all get 35+ on the highway, for the same price!?!?

Don't let logic get in the way of Jim Press' optimism. Saw him just over the weekend touting the new Dodge Ram...

[Ed753]

Just think how bad sales would have been, had they cancelled the gas promo!? <- assuming it IS actually working .............

I was 50/50 on leasing another Ram back in February/March, but they weren't dealing - I mean the best I could do was about $50 more than I was paying for my 2005 Ram and that was even with me going to 12K a year, from 15K.

It was just one of several reasons; I jumped back to GM and got another Sierra.

GMT900 Pro's: Ride, MPG, Insurance Rates, and ABS Brakes.
Ram Pro's: A little more Cab Room (Quad-Cab vs. Ext-Cab).

[xyagentguy]

Hmm.. I wonder how long it will take before the company closes. I wonder if GM should assimilate them and their technology and resources and then axe everything but Jeep.. ??

lol.

Or sell Hummer and buy Jeep?

[mpsrent]

Discounted fuel won't offset the depreciation and the price you must pay for fuel for the balance of the vehicle's life. Chrysler is a prime example of what is wrong in Detroit, too much focus on vehicles that love fuel. Their popular vehicle list is getting shorter and shorter and they practically abondoned the mid size family market offering product that only a rental operation would want.