|
2004 Automotive Market Preview
|
| New vehicles, trends and shopping tips |
|
| Updated |
Jun 10, 2004 22:27:54 |
| Rating |
 16 ( -2 -12.5% ) | | Author | Brian Chee |
|
|
Description:
When it comes to finding a great deal on a new car, it’s all about competition. Not between shopper and dealer, but rather, between automakers: the more they fight it out for market share with specific types of vehicles, the better the deal shoppers can get – on vehicles that are, as a consequence, improved in quality and equipment offerings.
Take passenger vehicles. Long the domain of imports such as the Honda Accord and the Toyota Camry, in 2004 Ford and General Motors will launch a serious effort to take some of that business away from the imports, by offering equivalent vehicles at lower, or competitive, prices. Same goes for trucks, as Nissan and Toyota fight for a foothold in this traditional domestic haven.
Shoppers who keep these trends in mind while researching stand a better chance of getting a good deal on a better car:
Passenger Vehicles
The coming onslaught of new domestic passenger sedans is a great thing for shoppers, as the surplus of available vehicles could very well drive prices down via rebates and incentive deals. This may also result in higher quality vehicles. Based on Autobytel’s analysis of online shopping, there seems to be increased acceptance of alternative sedans – those not among the traditional top sellers – such as the Saturn Ion, Mazda6 and Chevrolet Malibu. This may indicate that the quality gap between top and mid-selling sedans is closing; as a result shoppers will see increased competition across the board.
Shopping tip: If you’re considering a sedan, it may be a good idea to purchase soon, as rebates are plentiful. If you’re not picky about driving the latest model, consider a sedan that is scheduled for a complete makeover, because the older versions might be selling at a discount. If you decide to wait, research the new models scheduled to come out – there may be something on its way that fits your needs.
Sport Utility
New sport utility vehicles include the Nissan Pathfinder Armada and the Chevrolet Equinox. Autobytel’s online shopping analysis indicates a boost in popularity for smaller-size SUVs – perhaps an indication that shoppers are turning away from large utility vehicles. Still, vehicles such as the Chevrolet Tahoe and Ford Explorer continue to lead in online popularity. While introductions of this type of vehicle will settle down a little in 2004 and 2005, the market is still adjusting to the recent addition of several import SUVs.
Shopping tip: With a more mature import presence, competition is high and prices should remain competitive. Quality has improved significantly over the past two years, so you may be able to get more utility for your dollar. Fuel efficiency-minded shoppers will see the debut of several hybid SUVs in the next two years, including the Lexus RX and the Saturn Vue. Consider alternate automakers, such as Isuzu and Hyundai, before deciding on a SUV.
Trucks
New or redesigned trucks for 2004 include the Nissan Titan, Ford F-150 and a larger Toyota Tundra. New pickup trucks include the Chevrolet Colorado, replacing the S-10.
With import automakers making a serious push to gain a foothold in the truck market, competition should be keen and new models plentiful. This doesn’t mean, however, that prices will decrease. Based on online popularity, trucks are hot items, though the new competition will generate better value. The results of this are already apparent, with the redesigned Ford F-150 and the new Nissan Titan. And while first-year sales goals for the Nissan Titan are modest – the truck won’t come close to challenging the Big Three of F-150, Silverado and Ram – automakers will be paying close attention to Titan sales and consumer reaction. A positive reaction, such as what Nissan received with the 350z, may result in changes and improvements to other trucks.
Shopping tip: If you’re not in a hurry, wait to see what happens when the Nissan Titan is fully available at dealers. If this truck is a smash hit, competitors may get more aggressive on price via rebates. That’s a gamble, of course, so if you find a good deal now on a truck you like, don’t wait. Either way, now is a good time to truck shop, because quality is improving and will continue to do so.
Minivans
New minivans for 2004 include the Nissan Quest, Toyota Sienna and Mercury Monterey. The Ford Windstar, renamed Freestar, also received significant changes.
With generally flat sales over the past few years, minivans could very well enjoy a renaissance in 2004, based on the online reaction to new models such as the 2004 Toyota Sienna and the Nissan Quest. These two vehicles usher in a new type of minivan – with added convenience, features, performance and styling – that has struck a positive chord with online shoppers.
Shopping tip: While the Quest and the Sienna will be on everyone’s minivan short list, don’t forget other strong players such as the Odyssey (the segment leader), the Mazda MPV, or the Ford Freestar. With renewed attention by the automakers, this is a good time to shop for a minivan, as quality – in essence, value for your dollar – is sure to increase. Be sure to check current rebates before buying – you may be able get a nice rebate on a 2003 Toyota Sienna or a Ford Windstar. |
|
