Ford-Owned Premier Automotive Group Struggles in October

Strategic Insights -

A sluggish October for Ford's Premier Automotive Group led to weakening sales across its European and Asian brands, including Jaguar, Volvo, and Land Rover. While year-to-date figures show a different picture, with Jaguar and Land Rover experiencing significant sales growth, the month of October itself saw a decline in sales for all three brands. The malaise was not isolated to Ford's Premier Automotive Group, as the entire US automotive industry suffered a 1.3% drop in sales, with big player General Motors reporting a 6.9% jump in sales.

Key Takeaways:

  • Jaguar sales fell 9.2% in October, with 3,027 cars sold, but year-to-date sales are up 34.9% to 35,865.
  • Volvo sales dropped 0.7% in October, with sales data not explicitly stated, but year-to-date figures show a 6.8% increase.
  • Land Rover sales tumbled 26.9% in October, with 2,259 cars sold, and year-to-date sales are down 7.2% to 22,201.
  • Ford's US vehicle sales fell 6.4% in October, due in part to issues with faulty air bags.
  • General Motors reported a 6.9% jump in sales, with no specific sales data provided.
  • The entire US automotive industry suffered a 1.3% drop in sales in October.
  • Ford's Explorer sport utility vehicle sales tumbled 16% in October.
  • A faulty air bag module issue affected the sales of the Windstar minivan, Ford Crown Victoria, and the Mercury Grand Marquis.
  • DaimlerChrysler reported a combined 8.4% drop in sales for its US brands Chrysler, Dodge, Jeep, and Plymouth in October.

Statistics:

  • 3,027: September sales for Jaguar in the US
  • 34.9%: Year-to-date sales growth for Jaguar
  • 2,259: Land Rover sales in October
  • 7.2%: Decrease in year-to-date sales for Land Rover
  • 17 million: Annualized rate of US car sales
  • 6.4%: Decrease in Ford's US vehicle sales in October
  • 16%: Decrease in Explorer sport utility vehicle sales for Ford in October
  • £355 million: Third quarter loss for DaimlerChrysler's US unit
  • 8.4%: Decrease in sales for DaimlerChrysler's US brands in October

Sources:

  • Paul Bellew, GM's director of industry analysis, stating 'October may give us some indication that the industry has slowed down a bit.'
  • Ford's statement on scaling back production of the Explorer in preparation for the launch of the redesigned model in January.