[AMERICA 123]

Corolla Confronts Sales Slowdown

http://adage.com/article?article_id=127931

Rare Stumble Surprises Industry as New Model Fails to Win Young Buyers

By Jean Halliday

Published: June 23, 2008

DETROIT (AdAge.com) -- The Toyota Corolla looks to be running out of gas.

While it's still America's fifth-best-selling car < only if you include the MATRIX>, in the first five months of this year, the brand hit a rare bump.

Automotive News figures show that combined sales of Corolla and Matrix, a hatchback based on the Corolla sedan, slipped to 152,308 units vs. 165,722 for the same period a year ago.

And in fact, despite a new model introduced with great fanfare during the Super Bowl, Corolla is being outsold by the older Honda Civic, redone in 2006.
Experts blame a number of factors, including uninspired design of the new 2009 model and a flawed ad strategy that didn't resonate with Corolla's target audience.

And while Corolla is maintaining customers, the new model isn't drawing new ones.

Then there's the issue of Corolla's aging consumer base. "I'm not convinced the advertising is going to bring in new buyers" for Corolla, Strategic Vision's Mr. Edwards said. He said the average age of the Corolla driver has risen every year since 2006, when it was 49, to this year's 52. Ditto for Yaris, whose average buyer age rose to 48 from 44 last year.

"I don't think Toyota is immune to pitfalls," he said

Corolla will be more than stale - in less than a year - maybe by this fall.

 

[FenwickHockey65]

Hey toyota...maybe if the car actually looked good, people would buy it. Ever think about that?

 

[Ronald McChevy]

I wonder if the Corolla is down because a lot of people that would have bought one are now buying used cars instead to save some cash.

 

[vsd]

It's no surprise Honda is beating it, the new Corolla is the definition of boring, they could have at least thrown in the interior the rest of the world gets on the upscale models.

 

[Ttple]

I keep hearing that the steering on the new Corolla is terrible. They really should address the problem, pronto.

 

[kilcher]

I wonder if the Corolla is down because a lot of people that would have bought one are now buying used cars instead to save some cash.

I don't know how well the Yaris is selling but I'm guessing that's taking a chunk of sales too (and perhaps Scion to a lesser extent).

 

[eurohazard]

The new Corolla is lame IMHO. Whatever you guys do.....do not scroll down further on the link the OP posted. There's bad news about GM crossovers (Outlook, Enclave etc).

 

[I-Love-Pontiac]

Hey toyota...maybe if the car actually looked good, people would buy it. Ever think about that?

Well it must look pretty damn good then because it's still selling like hotcakes.

 

[Koasterking]

Just out of curiosity, what are the sales total for the Cobalt? The reason I ask is because that car is selling so well they had to hire more workers. I would like to see a sales comparo of the Cobalt va. the Corolla.

 

[Rex Raider]

They're selling pretty darn good at my dealership.

 

[plane]

They're selling pretty darn good at my dealership.

Proof yet again that you are physically, mentally and morally incapable of separating your comments on this blog from your employment at Toyota.

It's called cognitive dissonance.


As far as sales go, the market will reward exceptional products that provide value that exceeds cost. Toyota has remained stagnant while other manufacturers have advanced.

Plus, did you see the Matrix review that Baja posted? When plastic pieces break off during the review, that's generally a bad sign.

 

[Ach]

Civic, Mazda 3, Rabbit, Focus...all would be ahead of the Corolla on my list. There are just a lot of interesting choices in this segment right now.

 

[jkennedy293]

If you want to see why sales are down, just look at the avg age of the buyer. These are the people finalizing retirement plans.

Toyota just doesn't speak to the younger buyers anymore. Honda, Nissan, Mazda all have a sporty, energetic, performance model in their lineups to appeal to the youth market. Toyota's reliance on CR and reliabilty studies will eventually lead it down the same path as Buick.

 

[Hitman1970]

The new Corolla is lame IMHO. Whatever you guys do.....do not scroll down further on the link the OP posted. There's bad news about GM crossovers (Outlook, Enclave etc).

Does anyone know if any of this had to do with the American Axle strike and availability of units to be sold?

 

[Citation84]

What ? Couldn't be the dorky re-styling and the blisters over the head and tail lights could it?

Maybe it's the interior plastics that look every bit as bad as was claimed about ANYTHING GM used in the 80s.

It just LOOKS cheap. The previous one had [and still does] a very elegant look and appeared more expensive than it was. I had even considered buying one. Sat in the new one and was truly turned off.

Maybe the potential buyers of the 08 are looking at the previous generation and simply buying USED Corollas.

 

[Rex Raider]

Proof yet again that you are physically, mentally and morally incapable of separating your comments on this blog from your employment at Toyota.

It's called cognitive dissonance.

Still doesn't change the fact that my dealership is selling LOTS of Corollas. So much, that there's a waiting list for certain models.

Me and Leon Festinger go way back. We're also selling tons of Prius, Camry Hybrid and Yaris models too.

Facts is facts.

 

[jbiggs]

Still doesn't change the fact that my dealership is selling LOTS of Corollas. So much, that there's a waiting list for certain models.

Me and Leon Festinger go way back. We're also selling tons of Prius, Camry Hybrid and Yaris models too.

Facts is facts.

"LOTS" and "tons" tell us nothing other than your skewed opinion on what is happening for the entire company based on what your dealership is experiencing. Sure these vehicles are going to sell, like all fuel efficient vehicles right now, but the "facts is" that the corolla is not doing that well comparatively. You can't seem to see what the "facts is" when it smacks you in the face.

 

[boston boy]

:yup::yup::yup:because toyota sucks:yup::yup::yup:

 

[mbukukanyau]

I looked at one and pricing was around $22K, I said, No way

 

[Sal Collaziano]

Hey toyota...maybe if the car actually looked good, people would buy it. Ever think about that?

You know how the saying goes... "Ask and ye shall receive"...