The SA Vehicle Industry Thread

[FiestaST]

South Africa's new vehicle sales finally swinging


After 14 months of a downward spiral the South African new-vehicle market has finally made an upward swing, with January’s sales figures showing a 3.7 percent gain year on year.

Though the growth is modest, and comes off an extremely low base, the positive figures are a welcome sight for a traumatised market which has endured a weakening rand and harsh inflation for over a year. The marginal growth came mostly from rental and government sales, which saw 32.5% and 26.6% increases respectively. Sales at dealer level, where the bulk of vehicles are shifted, was down 3.6 percent compared to January 2016.

“Growth in the industry is always positive,” says Wesbank’s Rudolf Mahoney. “However the January result should not be seen as indicative of a trend for this year. Consumer budgets remain under pressure, as seen in the dealer channel sales, and we should not rely on continued double-digit growth in the rental channel.”

The passenger vehicle market represented 36 794 of a total reported 50 333 sales in January, showing a healthy 4.7 percent rise compared to January 2016. Light commercials improved by 1.6 percent with 11 977 sales, while medium (493) and heavy (1069) commercials reflected 3.0 percent and 1.3 percent declines respectively.

Wesbank, the country’s biggest vehicle financier, added that applications for new vehicles were down 1 percent year on year, indicating that consumers are holding on to their cars for longer due to affordability concerns. The used car market continues to grow with finance applications growing by 7.3 percent in January. Used car finance applications outweighed new ones by 2.5 to one.

* In the wake of the recent fire scandal sales of new Ford Kugas have dropped from an average of 172 per month over the last four months of 2016, to just 74 in January. The affected 1.6-litre version is no longer on the market but the controversy appears to have tainted the range. The drop in sales may also be because there is a facelifted Kuga version to be launched soon.

THE NUMBERS: January 2017

Sales Channels

Dealerships: 70.3 percent

Rental industry: 23.8 percent

Corporate clients: 3.1 percent

Government sales: 2.8 percent

Top companies

1. Toyota – 12 252

2. Volkswagen – 8454

3. Ford – 6634

4. Motus (AMH) – 4695

5. Nissan – 4295

6. Mercedes-Benz – 2427

7. GM/Isuzu – 3005

8. BMW – 1759

9. Renault – 1618

10. Mazda – 1151

http://www.iol.co.za/motoring/industry-news/south-africas-new-vehicle-sales-finally-swinging-7586256

 

[FiestaST]

SA’s 12 worst-selling cars (under R500k) of Jan 2017


The monthly Naamsa stats generally make for rather interesting reading. But, naturally, we tend to focus on the best-performing vehicles in terms of sales.

Indeed, we’ve already reported the 10 best-selling passenger cars of January 2017, as well as listing the 10 best-selling bakkies in our market for the same period.

But now we’ve decided to take a look at the worst-selling passenger car models on our shores. Of course, we must bear in mind that certain importers – such as Hyundai and Kia – do not submit individual model sales figures, instead only disclosing aggregate sales stats. Mercedes-Benz, too, has taken a similar stance in recent times.

Also, take note that – in order to make this list more relevant – we’ve excluded vehicles ranges that start at more than R500 000. Otherwise, this table would be dominated by luxury manufacturers such as Bentley, Ferrari and Maserati, whose high-priced vehicles traditionally sell in tiny numbers.

So, what happened in January 2017?

Well, just one example of each of the Ssangyong Korando, Suzuki SX4, Tata Indica and Volvo V60 were sold across the country, along with two examples of each of the Infiniti Q50, Peugeot 308 and Toyota Prius.

Ford sold only four Tourneo Connect units and Tata just four Vista models, while the Ford Fusion, Mahindra Xylo and Toyota 86 each managed just five.

Take note that we’ve excluded discontinued models – such as the Chevrolet Sonic and Mini Paceman – from this list, since their low sales come from run-out stock.

South Africa’s 12 worst-selling passenger cars (under R500k) of January 2017:

Ssangyong Korando – 1
Suzuki SX4 – 1
Tata Indica – 1
Volvo V60 – 1
Infiniti Q50 – 2
Peugeot 308 – 2
Toyota Prius – 2
Ford Tourneo Connect – 4
Tata Vista – 4
Ford Fusion – 5
Mahindra Xylo – 5
Toyota 86 – 5

http://www.carmag.co.za/news_post/sas-12-worst-selling-cars-under-r500k-of-jan-2017/

 

[FlashSA]

South Africa’s 12 worst-selling passenger cars (under R500k) of January 2017:

Ssangyong Korando – 1
Suzuki SX4 – 1
Tata Indica – 1
Volvo V60 – 1
Infiniti Q50 – 2
Peugeot 308 – 2
Toyota Prius – 2
Ford Tourneo Connect – 4
Tata Vista – 4
Ford Fusion – 5
Mahindra Xylo – 5
Toyota 86 – 5

http://www.carmag.co.za/news_post/sas-12-worst-selling-cars-under-r500k-of-jan-2017/

Fusion is very underrated because buyers will rather buy a German sedan.....

Peugeot really needs to discontinue the 308. It has been a flop since launch. If this carries on, I see Peugeot having to pull out of the country. They simply cannot survive on the low numbers of 208's they move.

 

[FiestaST]

Fusion is very underrated because buyers will rather buy a German sedan.....

Peugeot really needs to discontinue the 308. It has been a flop since launch. If this carries on, I see Peugeot having to pull out of the country. They simply cannot survive on the low numbers of 208's they move.

Aggree with your FF sentiments there but not with your Pug 308 opinion.

Historically Pug C-segment cars have never sold well in SA; that does not mean it's an inferior product. Far from it. The current Pug 308 is close to the class leaders in many respects.

And Pug has no plans to pull out of SA. We do not want that to occur anyway.

Updated 2008 & all-new 3008 are out within the next 2 months.

 

[FiestaST]

Here is a blast from the past.

SA's 50 best selling cars in 1966:

 

[FlashSA]

Aggree with your FF sentiments there but not with your Pug 308 opinion.

Historically Pug C-segment cars have never sold well in SA; that does not mean it's an inferior product. Far from it. The current Pug 308 is close to the class leaders in many respects.

And Pug has no plans to pull out of SA. We do not want that to occur anyway.

Updated 2008 & all-new 3008 are out within the next 2 months.

During the time when Peugeot was offering their 5year maintenance plan, I owned 3x 3008's and 1x 208. The 3008's were brilliant, the 208 had suspension noise intrusion into the cab (207 we owned before this had a completely quiet suspension).

Now, Rand Dollar has not been kind. Peugeot have had to cut their Maintenance Plans to thin service plans to try and limit price increases on the cars. This was a game changer to me. New 3008 is going to come in at mid R400k's - there are A LOT of crossovers in that price bracket - you can get a Fortuner or Everest for low to mid R400k's, not to mention Cashcow, Rav 4, Tiguan etc etc.

I don't want Peugeot to leave. I am sad Citroen have pulled the plug. I enjoyed my time with French Flair, but the numbers are not in their favour. Time will tell, but I just don't see new 3008 selling as well as when I owned mine. Steep pricing and no halo maintence plan makes the car less attractive. And then let's not even start on resale value....

 

[FiestaST]

Interesting...

SA sales: Hyundai & Kia vs segment rivals

We all see a fair number of Hyundais and Kias on the roads, but when it comes to vehicle sales numbers, there is a shroud of mystery as their distributor, now called Motus, doesn’t report monthly individual sales numbers for the two South Korean brands.

Thankfully the brands’ s figures are released retrospectively, so if we’re willing to live with the delayed gratification, it is possible to determine how popular these cars are in relation to their rivals. Local manufacturer Mercedes-Benz is equally guilty of this, but we’ll get to that another day.

For now let’s take a look at how Hyundais and Kias sold in 2016, according to data made available by Lightstone Auto. As you’ll see below, the most popular South Korean car in South Africa last year was the Hyundai Grand i10, selling an average of 548.4 units a month, followed by the Tucson, which actually led its segment at 516.6 units despite only having been launched in March. Its Kia Sportage cousin, which was only renewed at the end of the year, should see better numbers in 2017.

http://www.iol.co.za/motoring/special-features/sa-sales-hyundai--kia-vs-segment-rivals-7665541

 

[NarrowBandFtw]

Tucson, which actually led its segment at 516.6 units despite only having been launched in March

That's just bizarre, the Tucson's price is in the territory of much better rivals, do people just not bother to look at superior cars for the same price?

 

[FlashSA]

That's just bizarre, the Tucson's price is in the territory of much better rivals, do people just not bother to look at superior cars for the same price?

Keep in mind that the current rental company fleets are thick with Tucson's so the sales numbers may be skewed

 

[TheChamp]

That's just bizarre, the Tucson's price is in the territory of much better rivals, do people just not bother to look at superior cars for the same price?

A Mazda CX5 springs to mind, at R369400 for the entry level model compared to R379900 for the Tucson with more features, more power than the Tucson.

 

[Fox1]

A Mazda CX5 springs to mind, at R369400 for the entry level model compared to R379900 for the Tucson with more features, more power than the Tucson.

Hyundai offers better trade-ins I've heard and they sweeten their deals with cash back etc.

 

[FiestaST]

So we can all agreed Sunday SA is coining it locally.

As good faith they should offer the optional R15k infotainment system as standard on every Tucson model.

The crappy 2002-era infotainment system is one of the few cons with the current Tuscon.

 

[TheChamp]

So we can all agreed Sunday SA is coining it locally.

As good faith they should offer the optional R15k infotainment system as standard on every Tucson model.

The crappy 2002-era infotainment system is one of the few cons with the current Tuscon.

Yes, it's Hyundai like Sunday.

 

[FiestaST]

This feedback alone indicates to me a huge chunk of these individual models are sold to fleet buyers & car hire firms./

SA’s 5 best-selling model derivatives of Jan 2017

Every month, we examine the Naamsa industry sales statistics to pick out the 10 best-selling passenger vehicles and 10 best-selling bakkies in South Africa, before turning our attention to the worst-sellers.

But those lists cover only entire model ranges. What about sales figures for derivatives within ranges? It’d shed some light on exactly what people are buying and make for interesting reading, wouldn’t it?

Well, with a little help from the folks over at Lightstone Auto, we’ve managed to lay our paws on more in-depth sales figures. Bear in mind, however, that certain importers – such as Hyundai, Kia and Mercedes-Benz – do not submit individual model sales figures.

So, which derivatives proved the most popular with South African buyers in January 2017?

Well, interestingly (since Toyota SA reports a combined figure of Corolla, Auris and Corolla Quest sales to Naamsa), Lightstone Auto says the best-selling derivative of the month was the base Corolla Quest 1,6, which is priced from R208 500.

The R172 600 Toyota Etios 1,5 Xs hatchback snatched second place on the list (and intriguingly easily beat the entry-level Xi model), while the Ford Fiesta 1,4 Ambiente (R226 400) snaffled third place, despite the fact that the 1,0-litre turbo-triple version is ever-so-slightly cheaper.

Meanwhile, the cheapest Volkswagen Polo hatchback (the 1,2 TSI Trendline) at R225 200 claimed fourth place, ahead of the 1,4 Trendline version of the Polo Vivo (R181 900). All five on this list likely benefited from strong sales in the rental industry in January.

For those with an interest in the light commercial segment, Lightstone Auto lists the Ford Ranger 2,2 TDCi XL double-cab as the best-selling bakkie derivative of the month, with 497 units.

SA’s best-selling model derivatives of January 2017:

1. Toyota Corolla Quest 1,6 – 1 617
2. Toyota Etios 1,5 Xs (hatchback) – 1 347
3. Ford Fiesta 1,4 Ambiente (hatchback) – 1 144
4. Volkswagen Polo 1,2 TSI Trendline 66 kW (hatchback) – 1 082
5. Volkswagen Polo Vivo 1,4 Trendline 63 kW (hatchback) – 984

http://www.carmag.co.za/news_post/sas-5-best-selling-model-derivatives-of-jan-2017/

 

[FiestaST]

Does Mercedes outsell its rivals in SA?


The luxury car sales game is essentially a German civil war, and it’s one that Mercedes-Benz has just started winning on the global stage, having overtaken BMW in 2016 for the first time in over 10 years.

Naamsa’s monthly figures also show that the two run a close race on local shores, but that’s normally as much as we know since Mercedes-Benz no longer reports individual sales figures for its various models from month-to-month. However, these numbers are eventually submitted retrospectively, and that brings us to the sales comparison you’ll find below, which is based on total sales for the year 2016 as supplied to us by Lightstone Auto.

As Mercedes hasn’t listed its C-Class Coupé separately from the sedan, nor its coupé-inspired GLC and GLE from its regular crossovers, we’ve added together the figures for 3-Series/4-Series, X3/X4, X4/X6 and A4/A5 to give you a more direct comparison.

As you’ll see, the two brands run each other very close in most segments, with Audi trailing behind in almost all barring the compact hatch class, where its A3 range comes second to BMW’s 1-Series.

http://www.iol.co.za/motoring/special-features/does-mercedes-outsell-its-rivals-in-sa-7683209

 

[Rouxenator]

It should, it is the best cars known to mankind.

 

[FlashSA]

It should, it is the best cars known to mankind.

Facts. There are none in this quote

 

[FiestaST]

Here’s how many cars were sold globally in 2016…


The global automotive industry showed its resilience in 2016 with 84,24 million units (light commercial vehicles and passenger cars) sold, according to data released by Jato Dynamics.

This represents a 5,6% increase on 2015.

“Despite the hurdles faced by the automotive industry last year, an increase in registrations of 5,6% shows the sector’s resilience. The growth shows that the declines in Japan, Russia and Brazil were offset by strong results in China and Europe,” said Felipe Munoz, Jato’s global analyst.

The expansion of the car purchase restrictions policy in China caused a slowdown in the market at the beginning of the year. However, demand recovered during the second half of 2016, with consistent monthly double-digit growth.

Last year proved a mixed bag for the United States, with a decline in registrations in five of the twelve months. This resulted in the overall volume of registrations in 2016 increasing by just 0,4% compared to 2015.

Japanese car sales decreased by 1,6% compared to 2015, signalling a slowdown in the retraction of the industry when compared to the sharp fall of 9,5% seen in 2015. The decline in registrations in Brazil was particularly dramatic, with 500 000 fewer units registered compared to the previous year.

The declines in these markets were offset by double-digit growth in China and what Jato describes as “Europe’s slow, consistent recovery”. European registrations totalled 17,1 million units, which is a significant increase of 7% on 2015.

India, meanwhile, showed its strength with more than 3,3 million units sold as a result of “growing prosperity and the greater availability of consumer credit”. India’s growth offset losses in other emerging markets, and established India as a solid source of revenue for car manufacturers.

And South Africa? Well, while the graphic above excludes our market, we already know that new vehicle sales fell for the third consecutive year in 2016 in SA, with 547 442 units registered in the country during the year. According to Naamsa, this represents a decrease in sales of some 11,4% when compared to 2015.

http://www.carmag.co.za/news_post/heres-how-many-cars-were-sold-globally-in-2016/

 

[chopsky]

A Mazda CX5 springs to mind, at R369400 for the entry level model compared to R379900 for the Tucson with more features, more power than the Tucson.

I'd imagine it might have something to do with Hyundai's 7 year warranty period vs Mazda's 3 year.
Buyers put a lot of weight (understandably) into the warranty.

 

[TheChamp]

I'd imagine it might have something to do with Hyundai's 7 year warranty period vs Mazda's 3 year.
Buyers put a lot of weight (understandably) into the warranty.

Good point.