New vehicle buyers distracted during October

4 November 2011

New vehicle buyers distracted during October

Motor Trade Association (MTA) says the overall new vehicle market during October was down, seemingly the victim of buyer distraction with the Rugby World Cup and impending general election leaving its mark.

Commenting, MTA spokesperson Ian Stronach, Marketing and Communications General Manager said “With so much going on during the month, it’s clear that some potential buyers had their minds on things other than vehicle replacement. While there was some flow-through in terms of the rental fleet replenishment, this was offset by buyer distraction. We don’t appear to have been the only sector to have been by-passed during this period, and with the election looming, there is some concern that this too may be a reason for buyers to hold off. Election periods are generally not times of high activity for large capital expenditure, so most dealers will be glad when things return to a more normal environment.”

Figures just released by the NZ Transport Agency (NZTA) show that in October 2011, 7,026 new vehicles were sold compared to 7,628 in September 2011, a reduction of 602 units (8 percent).

Compared to October 2010, overall sales were also down, by 271 units (4 percent). For the year to date however, they remain ahead of 2010 by 3,703 units (6 percent).

New car sales of 5,428 units were down by 256 units (5 percent) compared to September 2011, and by 438 units (7 percent) compared to October 2010. For the year to date, new car sales are still ahead of 2010 by 1,437 units (3 percent).

New commercial vehicle sales of 1,598 units were down 346 units (18 percent) compared to September 2011, but 167 units (12 percent) ahead compared to October 2010. For the year to date, new commercial sales are still ahead of 2010 by 2,266 units (15 percent).

Replenishing rental fleets assisted Toyota in dominating new car sales with 1,333 units (25 percent share). This was more than double the sales of second placed Hyundai 657 units (12 percent share), despite October potentially being Hyundai’s best month yet for new car sales. In third spot was Holden with sales of 597 units (11 percent share).

In a market this month dominated by small cars, Toyota Corolla led the way in terms of individual passenger car models with sales of 528 units. In second spot was Hyundai i30 with 309 units, just ahead of Toyota Yaris in third spot with 305 units.

Top commercial model was again Toyota Hilux with sales of 286 units, ahead of Ford’s new Ranger model with 204 units and Toyota’s Hiace with 165 units. With many of the market’s utility vehicles being sourced from Thailand, this sector may well be affected in coming months by the recent production slowdowns caused by the extensive flooding across much of that country.

Stockpiling of used import cars ahead of the change in import regulations set down for the start of next year appeared to be continuing, with the high number of units being landed, not flowing through into recorded sales. Sales of 6,267 units were down 99 units (2 percent) compared to September 2011, and 691 units (10 percent) compared to October 2010. For the year to date, used import car sales are behind 2010 by 6,650 units (9 percent).

Despite the ongoing high level of retail promotional activity, on road motorcycle sales were unable to maintain their recent lift in performance. Sales of 479 units were down 112 units (19 percent) over September 2011 and 15 units (3 percent compared to October 2010). Overall motorcycle sales are still behind last year’s levels, down 59 units (1 percent), for the year to date.

ENDS

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