GM Announces September Sales Down 45%; Tough Comparison To '08 Employee Discount Sale

[Perian]

Link: http://media.gm.com/servlet/GatewayS...=2&docid=57226

GM September Sales Total 156,673

* Cash for Clunkers conclusion, weak consumer confidence and extremely low inventory levels adversely affected the industry and GM sales results
* GM market share was down year-over-year compared with a strong, incentive-driven September 2008; however, the anticipated 21 percent share this month would be the highest so far in 2009
* Sales of the red-hot, all-new Chevrolet Equinox up 94 percent compared with September 2008
* Led by a sales increase of 105 percent compared with a month ago, sales of the new Cadillac SRX pushed total Cadillac sales up 64 percent
* Other key launch products, including the GMC Terrain, Buick LaCrosse, Cadillac CTS Sport Wagon and Chevrolet Camaro, greatly exceeded sales expectations and current ability to supply

DETROIT – General Motors dealers in the United States delivered 156,673vehicles in September. When compared with strong sales a year ago, September’s sales were down 45 percent. GM retail sales were down 46 percent while fleet sales declined 43 percent. When comparing GM’s September total sales with a strong August, and the conclusion of the Cash for Clunkers program, volume was down 36 percent month-over-month.

“September was a tough transitional month for the industry, and a difficult year-over-year comparison for GM. Fortunately, the fourth quarter looks brighter and our year-over-year comparisons should look more favorable,” said Mark LaNeve, vice president, U.S. sales. “We have the Cadillac SRX, Buick LaCrosse, Chevrolet Equinox and GMC Terrain hitting dealerships right now, generating significant buyer interest, and we’re selling many of our launch vehicles as soon as they hit dealers’ lots.”

“As expected, the market returned to pre-Cash for Clunkers levels in September, but we believe that our four core brands – Chevrolet, GMC, Buick and Cadillac – are well positioned with new products to generate enthusiasm with our 60-Day Satisfaction Guarantee and ‘May the Best Car Win’ marketing campaigns,” he continued. “We’re gearing-up fourth quarter production to replenish depleted dealer stocks and improve availability of our vehicles for customers.”

There were several product highlights in September for GM’s core brands:

* Buick car sales, led by LaCrosse and Lucerne, increased 50 percent compared with August. Total Buick sales increased 10 percent.

* The luxury segments started to show improvement as Cadillac car truck and total sales all increased compared with the previous month, led by SRX (up 105 percent), CTS (up 35 percent), DTS (up 174 percent) and STS (up 29 percent). Escalade sales increased 28 percent.

* Chevrolet launch products continue to perform strongly in the market. There were 6,900 Traverse, 6,800 Equinox and 8,000 Camaro sales recorded in September.

* GMC Terrain sales continue to build launch momentum with a 183 percent increase from the previous month.

A total of 1,011 GM hybrid vehicles were delivered in the month. So far, in 2009, GM has delivered 12,555 hybrid vehicles.

Non-core brand total sales, when compared with a year ago, showed the impact of the end of the Cash for Clunkers program and overall market demand. Pontiac sales declined 53 percent; Saturn was down 84 percent, HUMMER dropped 82 percent and Saab declined 73 percent.

GM inventories dropped compared with a year ago, and remained at very low levels. At the end of September, about 424,000 vehicles were in stock, down about 294,000 vehicles (or 41 percent) compared with last year, and down approximately 9 percent compared with August. There were about 157,000 cars and 267,000 trucks (including crossovers) in inventory at the end of September.

[Perian]

Wow. 45% is quite a number compared with the 5% drop at Ford. It's a tough comparison with the CFC and the GM Employee Discount Sale of September 2008 however.

But wow. 45%!

Side note: My neighbor has been a Suburban owner for the last 14 years - purchased or leased six of them during that time period. Our local Chevy dealer closed in May, the local GMC dealer last December. There is no GM dealer near my home now...but there is a thriving Ford dealer, and last week he was happy to put a (beautiful) new Expedition XL in my neighbors driveway. I could understand this if I lived in the middle of a rural area...but not here in heavily populated New York.

Side note: Can someone explain to me how VW is managing to move 1000+ Routan units a month? That is really incredible!

Poor Saturn moved just 1,303 vehicles in September, down 88% from last September!!!

That means each Saturn dealer turned under ONE NEW VEHICLE A WEEK in September.

Perhaps this is what Mr. Penske was looking at. Let's face it - don't you think GM and Mr. Penske could have worked out some kind of arrangement to continue product delivery? Last time I checked GM seemed to have the capacity... Something smells with yesterday's explanation!

.

[TriShield]

Originally Posted by Perian

Poor Saturn moved just 1,303 vehicles in September, down 88% from last September!!!

That means each Saturn dealers turned under ONE NEW VEHICLE A WEEK in September.

Perhaps this is what Mr. Penske was looking at.

You hit the nail on the head.

Saturn would have been an epic mistake for Penske to take on and he probably figured it out before it was too late. I wouldn't be surprised to see the HUMMER deal with the Chinese fall through as well. Both are hugely tarnished and unpopular brands being sold in a mature and shrinking new car market. They both should be wound down and out like Pontiac.

As for sales. Why is anyone surprised? GM is still GM no matter what "new GM" image they want to wrap themselves around. Consumers aren't stupid and they aren't taking chances with GM.

[megeebee]

Oy.


.

[DoomsDave]

Camaro 7,961
Mustang 4,917

Wonder how long Camaro will continue this trend.

[Buick61]

Not much in the way of a silver lining in there.

Why isn't the Malibu more popular?

[Perian]

Originally Posted by DoomsDave

Camaro 7,961
Mustang 4,917

Wonder how long Camaro will continue this trend.

Not that much longer.

GM built 9,461 Camaro units in September.

[Perian]

Originally Posted by Buick61

Not much in the way of a silver lining in there.

Why isn't the Malibu more popular?

Incredibly sad to say, but this great vehicle is sold by GM. The public seems to care for some reason.

[Canyonaro]

Originally Posted by Bokl

Ford down 5% gm down 45%. Yea it is a very good trend. Lets invest money in camaro instead of making better malibu and cruze and aveo. Good move and results are showing.

Your silly.....You do understand that the Camaro was going through testing when the latest Mali came out, and is still quite competitive don't you? Lets see a revised Mali on EP-II out in a year or so, the Cruise, the same....the Aveo I will give you that, it never was any good.

So what you are saying doesn't really hold water. Remember that in September, that 23% of sales for Ford was fleet, quite a bit. Although they seem to be doing ok at the moment. I understand you are a Ford fan, unlike you I am American first and appreciate those two American companies.

[Bokl]

Originally Posted by Buick61

Not much in the way of a silver lining in there.

Why isn't the Malibu more popular?

why only car in its class that has 4-speed standard and no gps, bluetooth or ipod connection

[TriShield]

Originally Posted by Bokl

Ford down 5% gm down 45%. Yea it is a very good trend. Lets invest money in camaro instead of making better malibu and cruze and aveo. Good move and results are showing.

The Camaro's execution should be a template for the entire Chevrolet lineup. Every Chevrolet should have that kind of standout styling and be that true to it's heritage.

Instead we get the Toyotabu-me-too and some ratty stuff from Daewoo and expect it to sell well with Bowties on it. I've said for years that people that want Asian-like cars are just going to get them from Honda and Toyota.

[Extreme4x4]

Originally Posted by Canyonaro

Your silly.....You do understand that the Camaro was going through testing when the latest Mali came out, and is still quite competitive don't you? Lets see a revised Mali on EP-II out in a year or so, the Cruise, the same....the Aveo I will give you that, it never was any good.

So what you are saying doesn't really hold water. Remember that in September, that 23% of sales for Ford was fleet, quite a bit. Although they seem to be doing ok at the moment. I understand you are a Ford fan, unlike you I am American first and appreciate those two American companies.

Yet, even with 23% fleet sales, Ford still GAINED 2% retail marketshare.

What does that tell you about everyone elses fleet sales??

Ford sells certain vehicles that are fleet only, and, like GM, sends some of their new models to the rentals, for exposure (just like GM did with the Camaro). Thus, these numbers should come as no surprise.

[K-1]

Originally Posted by Bokl

Ford down 5% gm down 45%. Yea it is a very good trend. Lets invest money in camaro instead of making better malibu and cruze and aveo. Good move and results are showing.

Malibu 10,479
Fusion 10,834

Cobalt 7,381
Focus 9,182

Aveo 1,906
Ford nothing

Apparently Ford needs a better Fusion, Focus, and a B-car. Your complaint is unfounded.

[Buick61]

Originally Posted by Bokl

why only car in its class that has 4-speed standard and no gps, bluetooth or ipod connection

It has a 6-speed standard on all but the cheapest model and it has Bluetooth. And, while not the same, it does have OnStar for directions.

[TriShield]

Originally Posted by K-1

Apparently Ford needs a better Fusion, Focus, and a B-car. Your complaint is unfounded.

GM is still down 45%, Ford is not.

Get ready for a future with Ford as the only American automaker left.