New Research Shows The Most Profitable Vehicles In The United States

All manufacturers want their vehicles to sell in large quantities. And make a big deal of it when they succeed, especially when up the sales charts in their respective segments. However, the high sales figures do not necessarily translate into big profits, especially with the discounts that have become common practice for attracting customers at dealerships.

A recent study by Max Warburton at Bernstein Research, market trends and analysis firm, reveals which models sold in the United States are the most profitable for automakers.

Despite allegations of just about everything, the greenhouse effect is a costly rescue plan of a couple of years ago, research shows that light trucks Detroit three major heads the list of most profitable vehicles in the United States

Number one goes to the Ford F-Series with GM Chevrolet Silverado and GMC Sierra trucks come in second and Chrysler to complete RAM the first three.

However, the research includes data from 1990, so that the current economic and environmental factors are neglected in comparison to what is really happening today. Yet, in this period, the first three trucks combined yielded $ 108 billion before taxes.

According to Warburton, because cars are so profitable is a combination of high prices, large volumes and long stay on the market. Moreover, unlike cars, trucks, using technology cheaper and easier, thus increasing the profit margin, and even if they are updated often use the carry help to replace parts of the models.

Trucks are not the only great victory for the list of vehicles: Mercedes-Benz S-Class in fourth place, followed by BMW 5 - and 3-series and E series

Large SUVs like the Lexus RX and the Jeep Grand Cherokee, are back in the U.S. market best-sellers, like the Honda Accord and Toyota Camry are also on the list, mainly because of large quantities.

Porsche 911 on the other hand, takes place somewhere between the Accord and Camry, is perhaps not as common, but it has virtually its segment, and certainly commands a much higher price.

Story Sources: Bernstein Research via New York Times

 

Bernstein Research's list of the most profitable vehicles in the USA since 1990:

1. Ford F-Series
2. General Motors pickups
3. Chrysler Ram
4. Mercedes S-Class
5. BMW 5 Series
6. BMW 3 Series
7. Mercedes E-Class
8. Lexus RX
9. Jeep Grand Cherokee
10. Honda Accord
11. Porsche 911
12. Toyota Camry

 

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GM Idles Pickup Production Once Again to Reduce Inventory

General Motors announced that it will temporarily halt production at its Fort Wayne plant in Indiana for the week starting November 7, in order to reduce its inventory of pickup trucks models.

This is not the first time that GM has stopped production at the plant where the Chevrolet Silverado and GMC Sierra are manufactured. Even though pickup sales in the US have increased from January until August by 9% to 1.1 million units, compared to the same period last year, GM seems to have badly misjudged demand for its models, resulting in an inventory of 122-days.

And this despite the fact that both Silverado and Sierra sales have so far increased this year, by 7% and 18% respectively compared to 2010.

GM executives seem to have overestimated demand, increasing the two pickups inventory far more than the 80-days standard for the industry.

So far, the Detroit automaker's efforts have yielded a small inventory decrease, to 115 days.

Story source: Autonews [Sub. Req.]

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Finally Official: Pontiac is dead

Pontiac has been dead for some time now, at least from a manufacturing point of view. The Vibe was the last vehicle to roll of a Pontiac assembly line, marking the end of new car production for the brand in August of 2009. However, the former automaker has been stuttering and mumbling to itself while lying in its death bed. After all, new cars still needed homes and buyers eventually ponied up dough for the keys to the ghostly souls of a marque that once built the king of muscle cars: the GTO. Now, though, the very last new Pontiacs have been sold and the brand is completely, officially, no-doubt-about-it dead.

In an act of lunacy mercy, retired police officer Ed Dieffenbach drove over 1,100 miles to trade in his Chevrolet Silverado on one of the last Pontiac Solstice Coupes left in the country. Driving from Miami to northern Florida, Mr. Dieffenbach helped put an end to the brand’s suffering while also putting a somewhat stylish two-door in his driveway. We’re sure he’ll have years of fun with the Solstice, as long as he doesn’t need to use the cup holder… or stow the roof… or look back.

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