New Car Sales… Something’s Got to Give

New Car Sales - Really Going DownIt’s no surprise that we watch the new car marketplace carefully, and given this, that we are always interested in the gap between what is reported and what is actually the case.

New cars sales seem, on the face of it, to be rising… tell the franchised dealers the great news… or perhaps they know something that we don’t? Word on the street is that there are a lot of dealers out there with stock of new cars, having bitten the bullet for Q1 and wondering how they can achieve decent NEW business in Q2. After all every pre-reg takes a new buyer out of the marketplace.

Yes, the Pre-Registration issue raises it’s ugly head. Put simply, this is deliberate devaluation of beautiful new cars… register them to make them ‘not new’ even if they haven’t been driven. Curious strategy? Only in the motor trade… where the production lines churn out more cars out than there are buyers for them.

We’re also predicting some rough weather at the premium and 4×4 ends of the marketplace as people steer away from high ownership costs to tighten their belts. Anyway, doesn’t the New Ford Mondeo send a few shivers down the spine of BMW? It should do, it’s a whole lot of car. And Citroen are pitching the C6 straight at the German driver… blatantly.

It’ll be interesting to see what strategies manufacturers adopt in a tough marketplace. Anything has to be better than pre-registration… doesn’t it? Or, perhaps, it’s still the best way to hide discounts!


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