Despite all the negative publicity, it seems that Americans would still rather be driving a Toyota than a Chrysler product. According to Edmunds, Chrysler's consumer sales are down a HUGE 44% this year, versus Toyota's 14% drop.
Anyone quoting a 3% drop by Chrysler is factoring in fleet sales, and that isn't exactly fair. However, a Chrysler spokesperson says, "Fleet is part our businesses strategy...We have to rebuild consumers' confidence in the company...The fact that large companies are willing to buy our vehicles helps rebuild that confidence." Hopefully.
Here's what you can learn from some industry analysts:
Jesse Toprak, TrueCar: "You cannot viably survive with fleet and rental sales over 50%...The math just doesn't work."
Erich Merkle, President, Autoconomy.com: "The fact that [Chrysler's] losing share on the pickup side, it says to me that this goes beyond the product itself...I think Chrysler in the near term will be at the mercy of the market. They'll continue to lose market share, but they've got to hope that a rising tide will lift all boats."
Jeff Schuster, J.D. Power & Associates: "It really is survival mode for the next 18 months until they see product in the showroom...They're not finished with the turnaround yet. This is not something that can happen overnight."
If the Pentastar's lineup over the next couple years ends up being as promising as it looks, perhaps Chrysler won't have to keep leaning on fleet sales like an old man with a cane.
Maybe then, finally, we'll have a chance to see some legitimate, luxurious Chrysler compacts and small, sporty Dodges. And what if they try to pull another Sebring or Compass? I can't speak for anyone else here, but if that happens, take it easy guys. No tears shed on this side of the table.
- By Phil Alex
Via: CNN
