A year after Ford and Chevrolet abandoned the compact-car segment to prioritize SUVs, buyers are abandoning those makes and shopping for cars made by Hyundai, Toyota and Honda.
"The catch is, if Ford and GM don't have affordable options for shoppers who are buying their first or second new car, it could be much harder to win them over later," said Edmunds analyst Caldwell. "Catching consumers early and keeping them in the family has been a basic tenet of automotive brand strategy for decades. But it feels like we're in the midst of a transformative time for the industry where automakers are being forced to rethink everything. Time will tell if it will end up the right call in the long run."