GM Sales Down 11 percent

[tgagneguam]

DETROIT - After three consecutive monthly increases, GM dealers in the United States delivered 263,654 vehicles in November, down 11 percent compared with a year ago, reflecting continuing reductions in daily rental sales and softening industry demand.

GM's retail car deliveries increased, based on the strength of the all-new Chevrolet Malibu, 2008 Cadillac CTS and fuel-efficient Chevrolet Aveo, Cobalt, Pontiac G5 and G6.

"Integral to our strategy is to grow our share in the key car segments. The retail performance, especially from the new Chevrolet Malibu and Cadillac CTS, demonstrates the enthusiasm customers have for these outstanding new vehicles," said Mark LaNeve, GM North America vice president, Vehicle Sales, Service and Marketing. "The recognition of the 2008 CTS as Motor Trend's Car of the Year reinforces what we are hearing from customers about this phenomenal car. And, not to be outdone, the new Malibu is flying off dealer lots."

There were several bright spots in retail deliveries, led by brisk sales in the economy, small, mid and luxury car segments and mid-utility crossovers. Chevrolet retail car sales were up more than 15 percent, Cadillac retail car sales, driven by a 48-percent increase in CTS sales, were up more than 13 percent and Pontiac retail car sales were up more than 8 percent. Total retail deliveries were down 9.7 percent, largely due to reduced availability of 2007 models after a strong sell-down in September and October.

See article, with handy-dandy sales chart

[tgagneguam]

CTS moved 5,586 units, up 55.1%. I'd like to say that beating expectations is getting old, but really, it isn't.

I think it's completely unacceptable that in its second month GM still has yet to ramp up Malibu; 7,210 sales, some of which were undoubtedly last generation Malibu's?! This car is far too important for there to be a ramp-up phase, especially considering the new CTS seemed to have been going full tilt from month 1. Come on, GM, you're better than this.

[Chaz_23]

Second worst month of the year. Enclave down from last month. Solstice, Vibe, STS up from last month. Aura just sad.

[K-1]

Originally Posted by tgagneguam

CTS moved 5,586 units, up 55.1%. I'd like to say that beating expectations is getting old, but really, it isn't.

I think it's completely unacceptable that in its second month GM still has yet to ramp up Malibu; 7,210 sales, some of which were undoubtedly last generation Malibu's?! This car is far too important for there to be a ramp-up phase, especially considering the new CTS seemed to have been going full tilt from month 1. Come on, GM, you're better than this.

13,000+ Malibus produced last month, many of which are still in transport.

[K-1]

Originally Posted by Chaz_23

Aura just sad.

7,000 Malibus = ~2/dealer. 4,000 AURAs = ~9/retailer. Given equal retail outlets, the AURA would be up over 30k/month.

[blank disk]

I don't think the words Fuel Efficient and Aveo should ever be used in a sentence together. That car is bottom drawer in terms of FE.

[rueben44]

Originally Posted by blank disk

I don't think the words Fuel Efficient and Aveo should ever be used in a sentence together. That car is bottom drawer in terms of FE.

No in real world terms compared to what most people get in MPG generally. Add to the fact it is the cheapest car in America and you save much more than you would from a few more MPG in something else.

[editor]

I hate to say it, but this may be merely a prelude to a very, very tough 2008 for GM as well as other automakers. Economic forces are combining to produce a "perfect storm" of substantially lower demand for new vehicles in 2008.

[KWBSales]

As far as the CTS is concerned, I'll bet that 0% for 72 month financing is sure helping a lot on the leftover '07's (I know that I couldn't pass that up). See that 0% for 72 months it is still being offered on the '07 CTS, so combined with hot '08 CTS sales, I would look for CTS sales to remain up.

[rhvfd10]

this article just hit the Drudge Report:

http://www.reuters.com/article/busin...rpc=23&sp=true

[likearock00]

Glad to see the CTS is kickin butt! The Malibu is doing well, as GM already stated that they blew their forecast out of the water. I'm glad there isn't a flood of them at the dealer yet. Keep them around for a week and let em roll out of the sales floor!

[igor]

the retail down 9.7% is worry some - but it is nice to see the Cars retail to be up - but trucks is where GM's profit is .. so if this continues - GM might get revenue hit.

overall - this was not a very good month, but one month does not mean much - we need to look at longer term - and so far Gm has had a good year .. hopefully they will continue to do well amid the though economy.

igor

[HoosierRon]

Three years ago, who on earth thought this would be the bright spot:

GM's retail car deliveries increased...

That's right -- not trucks, not SUVs, not the purchasing manager for Avis -- more and more retail consumers are buying GM cars.

Also worth noting:

Dealer Inventories Down 97,000 Vehicles Year-Over-Year

Planned Daily Rental Sales Reduction of 28.5 Percent

It is good to see GM showing this kind of discipline.

[91Saturn]

Originally Posted by K-1

7,000 Malibus = ~2/dealer. 4,000 AURAs = ~9/retailer. Given equal retail outlets, the AURA would be up over 30k/month.

Oh, please. That's a bit like saying that a million Mini Coopers would be sold per year if Mini USA had the same number of retail outlets as Toyota. The fact is that they don't have a dealer network like Toyota and never will, so it's pointless speculation. While it's true that Saturn has a weak dealer network, that excuse has become tiresome. The Aura isn't even selling as well as the old L-Series. Any way that you spin them, Aura sales are disappointing.

[Perian]

Originally Posted by tgagneguam

I think it's completely unacceptable that in its second month GM still has yet to ramp up Malibu; 7,210 sales, some of which were undoubtedly last generation Malibu's?! This car is far too important for there to be a ramp-up phase, especially considering the new CTS seemed to have been going full tilt from month 1. Come on, GM, you're better than this.

Easy does it!

Job One Fairfax was only on 10-15-07

Job One Orion was only on 11-29-07!

The Malibu ramp-up is going very well.

Output should reach 7K a week sometime in March 2008.

13,064 new style Malibu units were produced in November.

The Malibu Classic is no longer in production after a short MY08 run for fleet use.

Only 3,203 Saturn Aura units were produced!

Also:

Rumor has it the Malibu/Aura Hybrids have been delayed.