Time to scoop all those XC90s
Time to scoop all those XC90s
They’ll sell em, even if they have to give up the holdback to get them out. I’ve noticed a glut of X3’s myself at my local dealers personally despite my market being very SUV receptive.
Definitely not the end, only the beginning. Buyers coming from a sedan that get a good deal on an SUV because of the oversupply will be more likely to get another in 3 years continuing the cycle. SUV sales are on the rise as it is, concurrent with a slowdown in sedans and the market in general. Manufacturers will find a happy medium and until gas prices spike, the trend will continue.
Can’t read it because I refuse to subscribe. But, unless they show that sedan sales have concurrently INCREASED, then it has nothing to do with them being SUVs. New vehicle sales are down in general, and, as usual, manufacturers just keep the lines running with no regard for the end-user sales.
That’s good for us!
Interesting line “For instance, the average price paid for a midsize SUV in May was $37,790, nearly $12,000 higher than a midsize sedan, according to sales data from Kelley Blue Book.”. All automakers, but particularly US3, will be in a boatload of trouble if they can’t keep selling SUVs at an illogical price premium (article mentions costs to build comparable sedan and SUV are pretty similar). I don’t think sedan sales are going to come back soon but SUV prices likely will start to shed the price premium they have carried for past ten years.
As an aside, DC area had record rainfall today. 3.3 inches in an hour at National Airport. Tens of thousands of flooded out cars. Should give regional sales a real boost in next couple months.
I love it when my automotive desires are counter-cyclical. So happy with our new sedan.
OPM’s fault for not closing gov’t or delaying start. Saw plenty of SUVs stuck in standing water on the local news.
Are you aware of good XC90 lease deals?
I’ve always thought the only thing that would slow the rise of SUV sales would be a large spike in gas prices. However, we’re at a stage where hybrid SUV’s like the RAV4 easily attain 40mpg and with plug-in’s from the fancier European brands either here or coming soon, I don’t see gas prices making a dent on the appetite for SUV’s anytime soon.
I think it’s just more of a case of a smaller consumer market. People who wanted a new SUV - already went out and bought one. It’s exactly the same as the smartphone market. Everyone already has an iphone that works fine, why upgrade to a $1,000 new one? -
I didn’t want to subscribe as well to read the full article. But isn’t it saying just too many built? Outpaced demand? Most homes are probably good with one suv/cuv and either a sedan or hatchback? Supply/demand will align like always.
That’s what I thought, as well, from the title. I also think auto sales in general have been slowing for months, so I assume manufacturers will adjust inventory as needed and that this isn’t a sign of waning consumer demand in SUVs.
SUVs ain’t going anywhere anytime soon, esp since the disparity in fuel economy is shrinking, as @Batmitestar notes. I also agree w/ @EC99 that the price premium btw SUV vs. sedan will also shrink since I just don’t think the market will support it.
But I’m also not an analyst or have a financial background, so YMMV…
Not to mention they’ve virtually knocked all American sedans to the graveyard, so there are many fewer sedan choices.
I was shopping for a MDX until seeing this SUV ranking, and checked around I’m definitely sold on KIA Telluride or Hyundai Pallisade. The 3rd row space and everything is just right.
Guess come to lease than buy, a big mindset change is I don’t care if the car is reliable anymore. The length of warrant really doesn’t bother me as in the case of buying a car.
Too early to get a good deal on Palisade though. I will wait until mid next year.
Don’t base your decision on some article ranking cars. They’re nothing more than an opinion piece. Everyone has one, so you’ll likely see the car you’re interested in ranked completely different in one article vs another.
Drive it and make the decision for yourself.
Fusion aside (which is still clinging on somehow) - are there really fewer sedans though? I think the market could quite easily kill off more mediocre sedans (Q70, Malibu, Impala, 300C, ILX, GX RLX, etc) and no-one would much care.
I think one of the silver linings from sedanpocalypse is that sedans have had to get better. The latest crop of compact sports sedans are better than ever - the M340i, G70, C43 etc, hell even the Accord and Camry are pretty damn good to drive now and Hyundai have finally seen sense to give the Sonata a proper overhaul. Fewer, but better quality sedans, isn’t a bad thing imo.
Impala is gone. No more Volt. Goodbye Lacrosse. Those are just 3 off the top. Camaro isn’t going to be redone.
I did specify American sedans though. The Asian brands appear to be staying put for now.