Vfacts February 2011

[1TUFFUTE]

the bits and peices ive read around the trap leads me to believe ford is doing a very good job in australia to stay in the black, deliever euro qaulity cars(some coming soon) and also on topic...do the right thing for the falcon>

[olds]

It doesn't matter if Ford only sell 100 falcons a month as long as they sell at a profit as has been stated in this forum many times . Although the smaller the sales are the greater the profit they have to make on each unit. It will get to the point where if they only sell 90 a month they better only be making them for $2 each.

[vztrt]

Toyota banks on another million market

Confidence is high at Toyota for a product-led near-record year in 2011

11 March 2011

By BYRON MATHIOUDAKIS

TOYOTA is confident Australia’s new-vehicle market will hit the million-unit mark again in 2011 despite a slower-than-expected start to the year, thanks to a strong economy, low interest rates and a host of fresh models across the board.

Hit by natural disasters in four states during January and February, new vehicle registrations slid by 1.7 per cent, while Toyota volume fell by 6.2 per cent year-on-year, from 16,814 to 14,604 sales.

However, the world’s biggest car-maker, which has also been number one in Australia in eight of the last 10 years, still leads this year’s industry overall with a 19 per cent share – a dip of one per cent over the same time in 2010.

“At the moment we are still forecasting a market in excess of a million. We still see it being about the same as last year,” said Toyota Australia’s senior executive of sales and marketing, Dave Buttner, at this week’s FJ Cruiser launch.

“There are no real downward signs – the economy is still strong, interest rates are still low, the reserve bank didn’t raise interest rates, consumer confidence is still pretty high, and there is a plethora of new model activity from all manufacturers this year, and that always means it is a buoyant time for the market as people like to see shiny new metal in the showroom and that certainly helps sales.”

Mr Buttner dismissed the some economic indicators such as slower retail spending figures.

“Retail sales may be down fractionally but people are still buying cars – the market is too strong,” he said. “You have to look at the seasonably adjusted data over time and after two months we’re still on track for a million.”

Toyota believes that even the effects of natural disasters in flood/cyclone-ravaged Queensland and fire-affected Western Australia are not enough to stem the flow of showroom traffic.

“We had meetings with dealers in Far North Queensland who were severely affected by floods,” Mr Buttner said.

“And every one of them are talking confidently again. They didn’t have any service customers for quite some time, because people couldn’t get to their dealerships. But now they’re booked out, they’re already building engines and doing services again, and enquires have started coming back into the showrooms.

“Even they’re surprised by the level of enquires that have started to come back again. And what’s more they’ve delivered target volume – and that’s unbelievable.”

Mr Buttner added that the high number of insurance-covered irreparably damaged vehicles alone is helping to feed demand in disaster-struck areas.

“The last number I saw from the Insurance Council of Australia (indicated that) there are over 10,000 vehicles that are written off and would need replacement,” he said.

Mr Buttner is also confident the soaring cost of oil globally and its effect on fuel prices in Australia will not shake sales of SUVs – a traditional Toyota market stronghold.

“Go back a couple of years (when oil prices reached) $220 a barrel and (petroleum prices hit) $1.45 (per litre) and frankly there was not a significant change in the sales of those types of vehicles.

“So a person is usually buying that type of vehicle for a specific purpose and – although I don’t want to say what the tipping point is in terms of fuel prices – generally sales remain pretty steady, even when fuel prices have gone through the roof.”

Toyota will release a raft of core new models this year, including a facelifted HiLux (mid-year), completely redesigned Yaris light car (September) and a next-generation Camry around the same time, followed in early 2012 by its six-cylinder sedan sibling, the redesigned Aurion.

A model change for the Corolla and RAV4, as well as an as-yet unconfirmed sub-Yaris light car, are then expected to keep Toyota’s sales momentum moving during next year.

[DanielXR8]

Originally Posted by olds

It doesn't matter if Ford only sell 100 falcons a month as long as they sell at a profit as has been stated in this forum many times . Although the smaller the sales are the greater the profit they have to make on each unit. It will get to the point where if they only sell 90 a month they better only be making them for $2 each.

The reduced sales also mean less money for R&D, which is how Falcon and Territory end up being years behind in technology and the market is left high and dry for basics like a new LPG for Falcon and a diesel Territory four years to late.

I get the "make less, make it smarter" mantra many on here go on about, but Ford in my opinion tipped past that point a few years ago. With no export market to boost volume and a large car market dieing, they are in caretaker mode. Do the bare minimum needed to keep interest until Ford US make up their minds what to do.

Holden, whether they were successful or not, did try and give the Commodore a brighter future by actively looking for opportunities to keep it being made here. Exports and recently the Cruze are part of that effort. You can debate whether they are succeeding, but they have tried. Ford cut cost, cut costs again, froze or cancelled R&D, delayed, stopped and restarted projects, fobbed off warranty recalls, wound down marketing and got caught with their pants down, with no cars in the configurations companies want to buy right now.

Thats not being smarter then Holden.

Dan

[Resurrection]

Originally Posted by vztrt

Toyota banks on another million market

Not if car part suppliers are affected by the recent events in Japan.

[JPFS1]

Originally Posted by olds

It doesn't matter if Ford only sell 100 falcons a month as long as they sell at a profit as has been stated in this forum many times . Although the smaller the sales are the greater the profit they have to make on each unit. It will get to the point where if they only sell 90 a month they better only be making them for $2 each.

It certainly does matter.... I know you are using an extreme example, but revenues in big business are as important if not more important than profits.

[jpd80]

I sometimes wonder about a few things:

1) Local manufacturing, is FoA viable at really low production levels?

2) Is Ford using Mondeo Vs Falcon to decide which way to hop post 2015?

[Fordman1]

Originally Posted by jpd80

I sometimes wonder about a few things:

1) Local manufacturing, is FoA viable at really low production levels? No

2) Is Ford using Mondeo Vs Falcon to decide which way to hop post 2015? Decision made IMO

[jpd80]

Originally Posted by Barraxr8

1) Local manufacturing, is FoA viable at really low production levels? No

2) Is Ford using Mondeo Vs Falcon to decide which way to hop post 2015? Decision made IMO

I know they are proposing two vehicles for the next product cycle, Mays was down
here reviewing progress on both ahead of final submission around August-September.


All that's fine and dandy but in the here and now, Falcon might not survive until 2015,
not if people decide they want something other than a large sedan.

Some on here do trivialise the Mondeo but if marketed right with diesel and Ecoboost,
it could be Falcon's biggest internal competitor, it feels like the gloves have come off
and Ford are asking the market / getting the market used to choosing between the two...

[Gobes32]

Originally Posted by jpd80

Some on here do trivialise the Mondeo but if marketed right with diesel and Ecoboost,
it could be Falcon's biggest internal competitor, it feels like the gloves have come off
and Ford are asking the market / getting the market used to choosing between the two...

The Mondeo almost makes the Falcon redundant, people here will scream and cry murder but the fact is, all these reasons people come up with for keeping Falcon going, are slowly becoming irrelevant. If Mondeo and Taurus were to be combined into the one vehicle, imagine the size of the development budget...........

[Polyal]

Originally Posted by Gobes32

The Mondeo almost makes the Falcon redundant, people here will scream and cry murder but the fact is, all these reasons people come up with for keeping Falcon going, are slowly becoming irrelevant. If Mondeo and Taurus were to be combined into the one vehicle, imagine the size of the development budget...........

Which is why I would be happy for FoA to make the Falcon just a premium and sports RWD sedan. That keeps FPV aswell...but it will HAVE to be based off a GRWD.

Lets look at some possible truths...

Mondeo does everything the falcon does
New Ranger does everything the Falcon Ute does
Mondeo Wagon replaces Falcon Wagon
Territory replaces Ford Wagon (to a point)

So many options...the fact that the territory has and should do well throws a spanner in the works, because if One Ford rang true then the new Explorer should replace it. Product wise we can lose the falcon, but will the Explorer fill the gap? I am not sure, it doesn't have a good name here.

Now the interesting thing for me is Lincoln (I recall an article stating they were/thinking of coming here). IMO there is no room for them and a Falcon. Therefore this platform IMO is the only hope we have of holding onto the Falcon as I mentioned above.

Maybe, just maybe, a GRWD platform, with Lincoln in mind, could be used for the falcon wither keeping just the G6/XR/FPV's going or keeping a full Falcon line up...

Maybe a good sign was the Miami development...I mean would Prodrive really expect to make $40M back on that engine before 2015/2016?? That engine would sit nicely in a Lincoln.

Another factor might be a bit of good will from Ford NA...if FoA do develop the GRWD platform then maybe the losses made from the falcon could be swallowed easier. Yes profit is wanted, but in the grand scheme of Ford Global I dont think we would rate to highly....obviously hemorrhaging wont be accepted.

I just wish we knew a little bit more...but knowing either way might jeopardize current sales.

[Smoke Pursuit]

Urghhhh

Mondeo still needs a decent power plant, we always get the lower end of what the europe models get, if we got the high output eco boots and diesel i personally could live without Falcon... Territory on the other hand is my favourite Ford of all time, even though I dont currently own one... Explorers well Id have to drive a new one to see what it was like, but it would have been a long way forward from their last 2004 model.

[Gobes32]

What if Taurus and Mondeo became one car and Falcon and Mustang also became one and the same? Common chassis and different top hats much like Camaro and Commodore?

[Polyal]

Well yes I dont see the point with the mondeo and taurus co existing either...surely they will become one.

But yeah, Falcon/Linclon/Mustang off the same platform would make sense to me.

[vztrt]

Ute prices unloaded as run-outs ramp up

http://www.goauto.com.au/mellor/mell...25785D0016DBA6

Toyota’s HiLux loses traction as rivals discount prices ahead of new models

28 March 2011

By RON HAMMERTON

DISCOUNTS of up to $10,000 on workhorse utes are reshaping the Australian light truck market as importers of the mainly Thai-built one-tonners position themselves for a wave of new models.

Some of the most popular dual-cab diesel four-wheel-drive utes that have a theoretical price in the mid-$40,000 range, plus on-road costs, have been slashed to the mid-$30,000s – driveaway.

Ford, Holden, Mitsubishi, Mazda and Nissan are among the companies to trim prices with an axe as they either run out ageing models ahead of all-new vehicles due later this year or try to match the cut-throat prices offered by others.

Fearful of repercussions on its much prized resale values and trusting in its unrivalled reputation in the ute arena, market leader Toyota has so far resisted the temptation to go blow-for-blow with its rivals, but is advertising $3500 discounts across the range for its top-selling HiLux 4x4s.

And, while it has an updated HiLux due for release mid-year, Toyota appears to be keeping its powder dry on run-out activity, at least for now.

However, HiLux sales so far this year are suffering the consequences of rival price cuts, slipping 14 per cent, with the biggest hit taken by HiLux 4x2 models, sales of which are down 20.3 per cent.

Caution should be taken when comparing sales in the first two months of 2011 with the same period last year, as the market was distorted in early 2010 by the hangover from business tax incentives offered by the federal government to the end of 2009.

This year, the evergreen HiLux is still king of the heap by a wide margin, with 5383 sales in 2011 compared with second-placed Nissan Navara’s 4011 sales, so no panic buttons are being hit yet.

However, the alarm bells must be ringing as sales of vehicles such as the Ford Ranger soar under blunt-instrument marketing tactics that include a $37,590 driveaway price on its one-tonner of choice, the 4x4 XLT Crew Cab diesel – an effective cut of more than $9000. And that’s on 2011-plated vehicles, too.

Ford Australia says price is not the whole story to the sales spike, as it was suffering stock restrictions last year – a situation that has been remedied this year.

As any television viewer can attest, Ford has ramped up advertising of Ranger and other models to stem a general sales slide by the Blue Oval brand.

In the first two months of this year, Ranger sales are up 60 per cent, with 4x4 volumes up a staggering 102 per cent thanks to the XLT offer that has clearly tickled the fancy of tradies and others who love a bargain and who do not seem fazed that an all-new model is due in about six months.

Although Holden’s next-generation Colorado is a bit further out, Holden has also pulled out the scalpel to cut about $10,000 from prices of some of its most popular model variants, with the diesel crew cab 4x4 LT-R going for $38,990 driveaway, instead of $48,690 plus on-roads.

Holden’s hand has been somewhat forced by a 21.5 per cent slump in Colorado sales in the first two months of this year – a dive that has placed the Colorado (nee Rodeo) behind the rival Ranger in the sales race for the first time.

That situation is being compounded by a 26.5 per cent fall in sales of its locally made Holden Ute, which has dipped below 1000 units a month.

Mitsubishi and Nissan also have been riding the discount wave, with Mitsubishi knocking more than $8000 off its award-winning Triton 4x4 GL-R diesel, which is now down to $36,990 driveaway, while a 4x2 petrol cab-chassis GL is on offer for $19,990 driveaway. Triton sales are consequently up 5.1 per cent.

At Nissan, its old-school D22 Navara 4x4 ST-R dual cab is whistling out of showrooms at just $30,888 driveaway, helping to drive Navara sales up 27.4 per cent this year.

Mazda, whose current BT-50 is effectively in run-out along with its sister model, the Ford Ranger, is also reaching for the discount-price weapon as a last hurrah before the arrival of the new T6-based model in the second half of the year.

A diesel-powered 4x2 DX cab-chassis – with aluminium tray and other extras thrown in – is on offer for $21,990 driveaway. So far in 2011, BT-50 sales are up some 32.6 per cent.

That rise is trumped by Isuzu’s D-Max, sales of which are up 35.3 per cent, although from a smaller base.

Izuzu’s long-awaited all-new model is waiting in the wings, along with the related Holden Colorado, although the differences will be more significant this time around. Isuzu is not saying when its version will arrive, but it could be a year away.

The new Colorado has just been unveiled in Chevrolet guise at the Bangkok motor show, but Isuzu resisted the temptation to wheel out its D-Max at the same event.

The current battle of the utes is between the long-time market leaders, but they will also be mindful that Volkswagen is about to launch into volume sales of its all-new Amarok, while at least two more Chinese brands with utes in their armoury are getting set to join existing Chinese player Great Wall at the bottom end of the Australian market.

The trick for the various brands will be to get the pricing genie back in the bottle when the replacement models roll off the ships over the next year.

[MrZ]

Originally Posted by Gobes32

I find it bizarre that Honda are struggling. Their cars are all so good.

Build quality is good, but they are now technologically inferior to most of their competition, offer fewer features, and are more expensive despite the fact their cars have no import duty as most are made in Thailand.

[Buntz]

Originally Posted by Polyal

Well yes I dont see the point with the mondeo and taurus co existing either...surely they will become one.

But yeah, Falcon/Linclon/Mustang off the same platform would make sense to me.

Doesn't necessarily make sense to Ford though... even if it makes sense.

Maybe Taurus has to be that large for Americans? I don't know. But it's going to be the interceptor for the foreseeable. So even after it's current iteration is no longer for sale to the public, it's platform will still be built, and sold to the coppers... and they won't let a singular platform go to just two vehicles. But what happens to D4? That's just an adaptation of D3 to the crossover segment. So anything that replaces D3, will most likely D4 replace too.

But then again. The Americans won't let One Ford get in the way of the F trucks or mustang, and if they have to will continue to make them off of single budgets, for single markets.

All I'm saying is, we can't expect the Brass at Dearborn to go with anything that makes sense. Just because it in fact does make sense.