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Nissan Motor Co. in August posted the largest incentive boost of the six biggest vehicle sellers in the United States, according to Autodata Corp. estimates. That analysis helps explain why it was the only one of those companies to post a gain in sales last month.
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Nissan raised its incentives by $603, or 23.9%, to an average of $3,124 per vehicle in August, the same month that the automaker's sales rose 13.6%.

The industry average for incentives rose by $190, or 7.2%, to $2,838 per vehicle.

Nissan's incentives led those of other Asian automakers, but were lower than those of the Detroit Three.

http://www.freep.com/apps/pbcs.dll/article?AID=/20080904/BUSINESS01/809040460/1014
 

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I keep seeing Nissan's sales hike every month when the whole industry is down otherwise and it leads me to question what is going on. Nissan has not came out with any wonder products lately and their current lineup is no better than anyone else. Sure they have the new Maxima, but that is not a super high-volume product.

This makes me wonder if they are dumping vehicles in rental fleets....I saw a lot of Sentra's at the Enterprise lot the other day.
 

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Nissan's incentives are higher than the industry average, which explains their sales increases.
Perhaps, though Detroit has even higher incentives, and we all know their sales are horrible. At least Nissan's incentives seemed to have gained more traction.

Still, I'd prefer the strategy of more reasonable incentives to clear inventory while simultaneously maintaining some profit. I doubt with $3,100 on the hood Nissan is going to show a solid profit in the US.
 

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altima 2.5 rental cars ! at the tune of 40k a month being sold to avis herts and enterprise.
 

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Nissan's incentives are higher than the industry average, which explains their sales increases.
Yes, but with their incentives, they are actually seeing a sales increase. GM has yet to do that. Even so, I'd rather GM have lower sales and make money than throw gobs of money on the hoods of it's vehicles lowering both corporate profit potential AND customers' resale values.
 

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Yes, but with their incentives, they are actually seeing a sales increase. GM has yet to do that. Even so, I'd rather GM have lower sales and make money than throw gobs of money on the hoods of it's vehicles lowering both corporate profit potential AND customers' resale values.
True, the market has decided that Nissan vehicles are more desirable, despite less incentives.
 

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Perhaps, though Detroit has even higher incentives, and we all know their sales are horrible. At least Nissan's incentives seemed to have gained more traction.

Still, I'd prefer the strategy of more reasonable incentives to clear inventory while simultaneously maintaining some profit. I doubt with $3,100 on the hood Nissan is going to show a solid profit in the US.
I think it's a symptom of the concept of diminishing returns.

Nissan started with a lower level of incentives so the additional $600 or so is of significant interest to a buyer not expecting much in the way of incentives; say 1.9% subvented rate PLUS a $500 cash rebate.

OTOH $600 additional might not sway a GM/F/C buyer who goes shopping expecting massive incentives. In this situation the additional incentive might have to be in the $1500-$2000 range to get the buying public's interest aroused enough to make a significant jump in volume.
 

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altima 2.5 rental cars ! at the tune of 40k a month being sold to avis herts and enterprise.
40k Altimas a month huh? That would be 480,000 cars per year...they don't even make that many.

I have no doubt Nissan is selling more than usual to fleet sales....I recently rented a Murano. But still the overall sales increase is a little odd. The Versa is good, but I think the Fit is best. The Sentra is lame IMHO. The Altima is good, but so is Camry, Accord, Malibu etc. And we know the trucks aren't selling. So where exactly is the increase coming from?
 

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one reason for the increase is the Rogue. if you look at their numbers, most nameplates were down. A few trucks increased, as did the Maxima and Rogue. They sold over 8k Rogues which is a huge boost.

Of course they are seeing an increase, more incentives plus more fleet sales will allow for an increase. GM already had high incentives last year and GM is trying not to use fleet sales to prop up overall sales. Notice how Nissan and Hyundai dont break out fleet sales or even mention them? There is a reason for that. Manufacturer incentives are measured but no one measures TOTAL discounts. Local Nissan and Toyota dealers are offering many thousands in dealer discounts off their products. If the factory rebate is $2500 the dealer is advertising another $1000 or more off Nissans in my area. If it's a truck you can count on $3k or more in dealer discounts.
 

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I think it's a symptom of the concept of diminishing returns.

Nissan started with a lower level of incentives so the additional $600 or so is of significant interest to a buyer not expecting much in the way of incentives; say 1.9% subvented rate PLUS a $500 cash rebate.

OTOH $600 additional might not sway a GM/F/C buyer who goes shopping expecting massive incentives. In this situation the additional incentive might have to be in the $1500-$2000 range to get the buying public's interest aroused enough to make a significant jump in volume.
Hence the resale value of GM vehicles, even the good ones, CTS, Corvette, Malibu, is crap!
 
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