The SA Vehicle Industry Thread

Interesting to compare with SA:

Top 10 best-selling cars in Britain

The latest list of Britain's best-selling cars hints at changing trends as well as showing the continuing popularity of some stalwarts, but what cars are at the top?

Established brands and models dominate the top 10 list of best-selling cars in the UK and the hatchback rules supreme. However, the latest sales figures show that some newer additions to Britain’s roads are growing in popularity, perhaps foreshadowing a change in preferences among buyers.

The latest figures cover the year to the end of February and show that superminis and hatchbacks are the most popular. The Ford Fiesta continues to fly out of dealerships, with the Vauxhall Corsa is chasing hard but some way behind in overall sales. The Focus is still attracting plenty of fans; even more than the Volkswagen Golf, which is now fifth overall despite VW’s recent tribulations.

Nissan’s Qashqai and Juke shows the continuing popularity of small SUV, meanwhile, the Audi A3 has been knocked out of the top 10 by the Mini.

The Vauxhall Astra continues to sell well and is chasing the Focus, while the Volkswagen Polo shows that there are plenty of buyers willing to pay extra for a more classy supermini.

1: Ford Fiesta – 25,428 registrations

The Fiesta has been a British favourite for decades and that shows no signs of changing, even though the latest incarnation is now eight years old. Its sales figures are well ahead of its closest rivals', even though it’s not the cheapest choice in the segment. Its sales performance is well deserved, though. The Ford supermini as hugely impressive, our four-star review proves that. We particularly like its ride and handling, interior quality and smooth engine range.

2: Ford Focus – 17,119 registrations

The Focus has delivered an outstanding drive since it replaced the Escort with aplomb in 1998, offering impressive road manners at a volume price. It has been so good, in fact, that we were slightly disappointed by the diluted dynamics of the latest version. However, as our review notes, it’s still a very appealing, complete car. It looks good, has a strong, economical engine range and offers a lot of quality for its price.

3: Vauxhall Corsa – 21,305 registrations

The Corsa is another established doyen in the UK and Vauxhall’s perennial rival to the Fiesta. The latest generation arrived in 2014 and offers something for most people, from the 74bhp 1.4-litre petrol option to the 202bhp snorting VXR version. It’s competitively priced, drives and rides well and is designed and specced to please the car's large fan base. It’s hard to see it dropping far down this list anytime soon.

4: Volkswagen Golf – 19,223 registrations

The Golf is another classic name in motoring that attracts legions of diehard fans to keep it riding high in the charts, even with Volkswagen’s recent scandal. Emissions concerns aside, the seventh-generation Golf is a consummate all-rounder. In our 4.5-star review, we called it the best hatchback in the world, and we’ll stand by that assessment.

5: Nissan Qashqai – 19,071 registrations

Is it really a decade since Nissan’s now ubiquitous crossover first arrived? Its blend of hatchback size and SUV pretensions have proved a huge draw for customers and it’s now the best-selling small SUV in the country, leaving a trail of imitators in its wake. The second-generation model, released in 2014, keeps dynamic, economic and interior standards high, garnering a 4.5-star review from our road test team. No wonder it’s holding firm in the sales charts.

6: Vauxhall Astra - 17,915 registrations

The Astra is something of an also-ran to the Ford Focus, but the latest generation, launched in 2015, is a thoroughly decent car in its own right. Well equipped with sharp handling and economical engines, it earns a strong four-star review from us, although we had reservations about its ride and styling. Overall, though, it deserves to be considered as one of the best compact hatches you can buy.

7: Mercedes-Benz C-Class - 15,461 registrations

It’s unusual for a premium car to find itself in the top 10, but it’s testament to the C-Class’s appeal, particularly among fleet customers, that it’s shifting so many units for Mercedes. Looking like a miniature S-Class doesn’t hurt the latest version, which was launched in 2014. It’s an excellent offering that garnered a four-star review from our test team, who fell for its high-quality interior and alluring looks. Good residual values do it no harm, either.

8: Volkswagen Polo - 15,453 registrations

Volkswagen’s supermini offers a touch more class and sophistication than the Fiesta and Corsa, albeit at a higher price. It’s more mature and conservative in its demeanour, but many of the British car-buying public embrace such traits, which is why the Polo is a top 10 stalwart and scores four stars in our review. Now in its fifth generation, it could easily be mistaken for a smaller Golf, which is no bad thing.

9: Mini - 12,973 registrations

The Mini has shot into eighth place after over 10,000 were registered in March. Who can blame buyers either? Charming looks, sharp handling and BMW quality are just three of its strong points, but now there's also a five-door variant for added practicality.

10: Nissan Juke - 12,935 registrations

With the Qashqai being such a roaring success, it's no surprise that Nissan's other crossover - the British-built Juke - has also been a sales hit for the Japanese manufacturer. Buyers like its concept-car looks, and it's good value, too.

http://www.autocar.co.uk/car-news/industry/top-10-best-selling-cars-britain
 
Can you imagine Fiesta and Focus outselling Polo and Golf in ZA?
 
FiestaST said:
Meanwhile in the UK...
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With Government grants and incentives to buy new tech and greener cars it is a easier decision by the UK buyer to justify the purchase of a new car.

If SA Government give you a R50k grant for your old rusted petrol guzzler, wont you look at new car prices differently?
Also, start to tax cars older than 10 years excessively if it is used on a daily basis. If not used, register it as a classic and submit km readings annually to control it.
 
#Zumaconsequences for SA motorists

While the dust has far from settled from the political fall-out of President Zuma’s catastrophic decision to sack his competent finance minister and replace him with an individual, shall we say, more in tune with the president’s extra-mural requirements, and the following credit downgrade, means the costs to you the motorist can be clearly laid out.

The National Association of Automobiles Manufacturers of SA (Naamsa) expanded on its concerns, saying under the circumstances it would stop offering predictions of new car sales.

“The performance of the South African automotive industry is closely correlated with the overall performance of the country's economy. In this context, the key performance factors driving the industry include Gross Domestic Product growth, the direction of interest rates and the exchange rate. In light of the political events, Naamsa will suspend, for the time being, projections for domestic vehicle sales,” it said.

Further, it warned that in the event of a downgrade, which has now occurred, “the South African economy will experience an immediate sharp recession with negative growth rates which – based on the experience of other countries – are likely to persist at least for two to three years. Sovereign credit downgrades will precipitate significant capital outflows, cause severe exchange rate depreciation, higher inflation and interest rates and result in severe pressure on government finances”.

Here's how the downgrade could affect the SA automotive industry:

• A collapsing currency will make all cars more expensive to buy, even cars built in SA, which are made with many imported components.
• Parts and servicing will become more expensive
• New-car inflation will drive more buyers to the used-car market, which will then itself experience price inflation.
• Currency collapse will increase the cost of petrol and diesel, which is imported, significantly
• Hiked fuel prices will hit the cost of distribution of pretty much everything, meaning food-price inflation will spike again, making even a loaf of bread more expensive, an especially harmful blow for the poor, as grants do not rise in step with inflation.
• Rampant inflation will force the reserve bank to increase interest rates, making all debt more expensive to service. Unless you have a fixed rate, your car repayment costs will increase, along with any bod, credit card and store card debt you might be carrying.
• Rampant inflation will reduce the affordability of everything.
• The sovereign credit downgrade means the government’s R2.2-trillion debt is more expensive to service. This means the government will have to consider reigning in costs (services to the poor), and will have to consider raising taxes - and fuel duties are usually an easy target.
• This will reduce growth or even cause recession, which will hinder job-creation, meaning the perpetuation of current inequalities. Middle-class salaries support an enormous number of people in SA and the pressure on the middle class will severely hit the poor.
• The possibility of a recession is very real, meaning business and consumer confidence will collapse, making people put off buying decisions for big-ticket items such as houses and cars – another blow to the motor industry.

http://www.wheels24.co.za/News/zumaconsequences-for-sa-motorists-20170410
 
SA Vehicle Price Index: The effect of nation's Junk Status on cars

The South African motoring industry’s first quarter of 2017 was characterised by a slight strengthening in the performance of the Rand.

Yet the positive benefits of a sturdier currency were short-lived, according to the TransUnion's SA Vehicle Pricing Index (VPI). It's expected that the industry will fall short of WesBank’s 2017 prediction at the “Car of the Year Event” of a 1.7% (557 000) increase in total sales.

The VPI report examines the link between the year-on-year increase in vehicle pricing for new and used vehicles, drawing data from a basket of passenger vehicles incorporated from the top 15 volume manufacturers. Data is collected from across the industry and used to create the VPI.

Increase in car prices

The VPI report revealed an increase in pricing for new vehicles to 8.8% up from 6.6% in Q1 2016, while used vehicles prices have risen from 2.2% in Q1 2016 to 3.7% in Q1 2017.

A slight surge is evident in vehicle sales in this quarter and, according to National Association of Automobile Manufacturers South Africa (NAAMSA), there has been a yearly increase of 2.1% in passenger vehicles and a marginal 1.1% increase on light commercial vehicles sales. Volkswagen and Toyota have captured more than 50% of the new car market, and lead the used car market as well, although there is not much difference separating the top tier from Ford, Hyundai and Mercedes-Benz.

According to the report, the further increase in new vehicle pricing can be attributed to domestic reliance on high volumes of imported vehicles that are subject to currency volatility. Furthermore, an underperforming GDP growth rate and economic instability has led to consumers enduring increases at a rate above CPI (Consumer Price Index) for the last five quarters - a trend that will continue throughout the year.

Derick de Vries, CEO of Auto Information Solutions at TransUnion, said: “With the recent ratings downgrade to Junk Status we are expecting to see lower access to credit, a weakening currency, rising inflation and even higher interest rates. Consumers will have even less disposable income which will force individuals to hold onto their vehicles for longer instead of replacing them."

Financial registration data has shown an upswing in consumer interest for used vehicles, with an increase of 26% in new finance deals this quarter. New passenger finance deals have increased by 27% and the ratio between new and used vehicles financed has decreased from 2.50% to 2.49% from Q4 2016 to Q1 2017.

De Vries said: “This means that for every new vehicle, 2.49 used vehicles are financed. Another continuing trend is that the percentage of cars, both new and used, being financed under R200 000 remains constant from last quarter which shows that consumers are 'buying down' and looking for more value for their money.

“However, this consumer shift opens up new possibilities for the industry in terms of used vehicles and it is worth noting that 40% of all used vehicles that were financed in this quarter were less than two years old. This 40% can be further broken down into 25% of vehicles that are under a year old, while 15% are under two years. But as the demand for used vehicles increases and supply comes under pressure this is likely to push the price up on used vehicles further and a shift back to the new car market.”

Effect of Junk Status downgrade

The VPI report also featured information about the impact of the recent Junk Status ratings downgrade to vehicle sales and price inflation in the medium- and long-term. With the possibility of a recession looming, should the Rand depreciate to R16-R17 against the dollar, this will have an extremely negative effect on vehicle index for new cars. Automakers may be forced to pass on the higher pricing to consumers which will result in a contraction of vehicle sales, as more than 70% of vehicles are imported and subject to currency volatility.

Additionally, finance houses could see an increase in risk premiums and perceived greater risk in the current economic environment may lead to higher interest rates charged to consumers. Cost of capital could become more expensive and result in lenders increasing interest rates charged while less disposable income could negatively impact approval rates. Consumers also might be faced with increased short-term insurance premiums as a result of increased repair costs based on the fact that 70% of parts are imported and subject to currency volatility.

De Vries concluded.“It’s difficult not to have a negative outlook for the medium- to long-term future, given our current economic reality. This might be an opportune time for consumers to consider fixed interest rates when taking out new loans, to have security in knowing that their monthly payments won’t rise should interest rates increase.”

http://www.wheels24.co.za/News/SA_v...-nations-junk-status-not-visible-yet-20170420
 
Wake me up when they're all overstocked and begging people to take cars off the lot for less than half the ridiculous asking price.

In the meantime: burn motherfckers, burn!
 
NarrowBandFtw said:
Wake me up when they're all overstocked and begging people to take cars off the lot for less than half the ridiculous asking price.

In the meantime: burn motherfckers, burn!
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The manufacturers need to shoulder more of the blame than the dealers. A few weeks ago, while chatting to a BMW dealer salesman, I was informed that BMW SA was coming down hard on the dealership sales guys because "you're not generating enough quotes". I mean, really? You can quote as much as you want, but if you don't offer discounts and incentives in this climate, you can't expect increased sales.....
 
NarrowBandFtw said:
Wake me up when they're all overstocked and begging people to take cars off the lot for less than half the ridiculous asking price.

In the meantime: burn motherfckers, burn!
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That's funny, SA car dealerships have never ever done that. They barely mark it down 20% when the brand is pulling out the country.
 
NarrowBandFtw said:
Wake me up when they're all overstocked and begging people to take cars off the lot for less than half the ridiculous asking price.

In the meantime: burn motherfckers, burn!
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Agreed. From now on I'll buy used and private. Middlemen need to go the way of the dodo.
 
FlashSA said:
The manufacturers need to shoulder more of the blame than the dealers
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I don't care which one of those burn at the higher temperatures, so long as both are burning in hell! :twisted:

Lupus said:
That's funny, SA car dealerships have never ever done that. They barely mark it down 20% when the brand is pulling out the country.
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Sure, we've been strapped over the barrel for decades now. The current global and local economic climate is shaping up to provide a brand new challenge to these bastards though. It's one thing when you've already decided to throw in the towel and probably stopped increasing stock months before, it is quite another when your floors are filled to capacity country wide and your stock just isn't moving anymore.
 
SA car buyers facing inflation triple whammy

South African motorists are facing a triple whammy as the country’s recent downgrade to junk status by two major ratings agencies is likely to result in more than just a spike in car prices. Finance and running costs, including insurance, are set to rise too.

This is according to TransUnion, which on Thursday released its Vehicle Price Index for the first quarter of 2017. The VPI report, which examines year-on-year vehicle price inflation in a similar fashion to the CPI for general consumer goods, showed that new vehicle inflation is currently running at 8.8 percent, up from 6.6 percent a year ago. In fact, car prices have hovered above CPI (Consumer Price Inflation) levels for the past five quarters.

However, the worst could still be on the horizon as the vehicle information specialist pointed out that SA’s downgrade to junk status had yet to impact motorists.

“With the possibility of a recession looming, should the rand depreciate to R16-R17 against the dollar, this will have an extremely negative effect on the vehicle index for new cars. Manufacturers may be forced to pass on the higher pricing to consumers, which will result in a contraction of vehicle sales, as more than 70% of vehicles are imported and subject to currency volatility,” TransUnion said.

Importers would no doubt bear the brunt of this, but local manufacturers would also be hard hit. Those with SA factories still import most of their vehicles, although the APDP production incentives that they receive from government might at least soften the blow to some degree. Even those few vehicles that are put together here are vulnerable to currency fluctuations due to the high percentage of imported parts and higher-than-usual wage demands during times of steep inflation.

Running costs to rise too

Furthermore, the cost of owning a vehicle is set to rise, not only through higher fuel prices but also steeper finance payments due to interest rate hikes, and even increased insurance payments.

“Consumers might be faced with increased short-term insurance premiums as a result of increased repair costs based on the fact that 70% of parts are imported and subject to currency volatility,” warned TransUnion’s Derick de Vries.

Given the supply-demand dynamics created by new vehicle prices, used car prices have also risen in recent times, albeit at a much lower rate of 3.7 percent, which is up from 2.2 percent in Q2 2016.

TransUnion’s VPI reports draw data from a basket of passenger vehicles, pulled from the 15 top selling manufacturers.

http://www.iol.co.za/motoring/industry-news/sa-car-buyers-facing-inflation-triple-whammy-8735787
 
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FiestaST said:
867790ab5ee98314c282cd0b3fa5813b.jpg
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Looking at this article the Chinese and Indians are the only ones actually bringing out cars made for our economic climate. Our roads will start to change from German/American brands to the cheaper Chinese/Indian brands.

Face it, we have a 3rd world economy with 1st world car dealerships. This is where the massive price disconnect comes in.

Jeep only launched in India in 2016 while we in SA have be buying jeeps for decades. These days they go between 500k and 700k for a wrangler which is more than 3 times most south Africans annual income.

ps. Glad to see some cheap Japanese and Korean cars as well.
 
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supersunbird said:
Do not want any of them!

I'd rather have the old Figo back. Man, Ford done goofed again, the old Figo was a great seller (easily 500pm), the new one is meh (150pm).
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I had a Ford Figo for a month, a 2012 model, it was horrible, that 1.4 motor just didn't perform it drank petrol, the interior was cheap. Also we are a third world economy we cannot keep getting in cars of R200k as "cheap" cars.
 
Lupus said:
Also we are a third world economy we cannot keep getting in cars of R200k as "cheap" cars.
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Exactly. People complain about car prices but they want 1st world cars on their 3rd world salary. South Africans are having a hard time realizing this.
 
Lupus said:
I had a Ford Figo for a month, a 2012 model, it was horrible, that 1.4 motor just didn't perform it drank petrol, the interior was cheap. Also we are a third world economy we cannot keep getting in cars of R200k as "cheap" cars.
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Hey!! :mad: Jou ma se interior is cheap!
 
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