Autoblog http://www.autoblog.com Autoblog http://www.blogsmithmedia.com/www.autoblog.com/media/feedlogo.gif Autoblog http://www.autoblog.com en-us Copyright 2009 Weblogs, Inc. The contents of this feed are available for non-commercial use only. Blogsmith http://www.blogsmith.com/<![CDATA[REPORT: Dollar Thrifty to cut percentage of Chrysler products from as much as 76% to 30%]]>http://www.autoblog.com/2009/10/14/report-dollar-thrifty-to-cut-percentage-of-chrysler-products-fr/http://www.autoblog.com/2009/10/14/report-dollar-thrifty-to-cut-percentage-of-chrysler-products-fr/http://www.autoblog.com/2009/10/14/report-dollar-thrifty-to-cut-percentage-of-chrysler-products-fr/#commentsFiled under: ,



Dollar Thrifty Automotive Group, known in the retail world as Dollar Rent A Car and Thrifty Car Rental, will be buying about 40,000 fewer Chryslers than it did last year. Previously, the company was contractually bound to ensure that 75% of its fleet was composed of Chrysler vehicles. After the bankruptcy kerfuffle, the contract has been revised to compel Dollar Thrifty to purchase a new minimum number of vehicles, and the company is using the freedom to increase its model mix.

Instead of being so Pentastar-heavy, from now on, Reuters says that Dollar Thrifty's fleet figures to be 30% Chrysler, 34% Ford, 20% General Motors, 6% Nissan, and 10% left over for Hyundai and Kia. The model mix transition should also help Dollar Thrifty stabilize the income from fleet sales; the company took a beating when the residuals market took a dump, especially due to the fact that it was trying to flog so many products from a company thought to have a dubious future.

All three domestics have talked about getting away from low-margin fleet buyers for some time now. Still, the 40,000 hit to Chrysler's sales still probably isn't the best of news - Chrysler didn't want to get this far away from fleets.

[Source: Reuters]

REPORT: Dollar Thrifty to cut percentage of Chrysler products from as much as 76% to 30% originally appeared on Autoblog on Wed, 14 Oct 2009 08:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>car rentalCarRentalchryslerdollar rent a carDollar ThriftyDollar Thrifty AutomotiveDollarRentACarDollarThriftyDollarThriftyAutomotivefleetfleet salesFleetSalesfordgmrentalsthrifty car rentalThriftyCarRentalWed, 14 Oct 2009 08:58:00 EST<![CDATA[REPORT: GM will no longer allow fleet buyers to skip out on side curtain airbags]]>http://www.autoblog.com/2009/09/08/report-gm-will-no-longer-allow-fleet-buyers-to-skip-out-on-side/http://www.autoblog.com/2009/09/08/report-gm-will-no-longer-allow-fleet-buyers-to-skip-out-on-side/http://www.autoblog.com/2009/09/08/report-gm-will-no-longer-allow-fleet-buyers-to-skip-out-on-side/#commentsFiled under: , ,



Little known fact: fleet customers could receive a $145 discount by opting not to have side airbags in certain vehicles from General Motors. That doesn't sound like a lot of money, but when, for example, Enterprise Rent-A-Car purchased 66,000 Chevy Impalas sans curtains, the company saved nearly $10 million. It's not like omitting side curtain airbags is illegal, either, as the safety equipment isn't mandatory. Further, similar vehicles from other OEMS don't have side airbags as standard equipment.

Safety advocates and many customers had a problem with the practice, though, as the vehicles would enter the used car market without the safety tech and some less scrupulous dealers were advertising the ex-rental vehicles as having the air bags intact.

GM had offered the discounts on 2006-2009 model vehicles, but The General has decided to stop the practice beginning with the 2010 model year. General Motors has also taken steps to ensure that customers know they're not getting side curtain airbags on older vehicles coming off fleet duty. The Detroit, MI based-automaker has modified its GM Certified website so that when dealers print out the window sticker on affected models, the correct information is displayed. GM has also notified companies like AutoTrader and Cars.com that the airbags weren't standard on some fleet vehicles. Dealers with certified used vehicles were also notified via phone to place the correct sticker windows on affected vehicles. GM estimates that over 200,000 vehicles were sold to fleets without side curtain airbags.

[Source: Detroit News]

REPORT: GM will no longer allow fleet buyers to skip out on side curtain airbags originally appeared on Autoblog on Tue, 08 Sep 2009 09:30:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>2009 chevy cobalt2009 chevy impala2009ChevyCobalt2009ChevyImpalachevy cobaltchevy impalaChevyCobaltChevyImpalaenterprise rent-a-carEnterpriseRent-a-carfleetgmside curtain airbagsSideCurtainAirbagsTue, 08 Sep 2009 09:30:00 EST<![CDATA[Hyundai and Kia seen using fleets to boost sales numbers]]>http://www.autoblog.com/2009/04/13/hyundai-and-kia-use-fleet-sales-to-boost-numbers/http://www.autoblog.com/2009/04/13/hyundai-and-kia-use-fleet-sales-to-boost-numbers/http://www.autoblog.com/2009/04/13/hyundai-and-kia-use-fleet-sales-to-boost-numbers/#commentsFiled under: , , , ,



While most automakers are reporting double-digit drops in sales each month, Hyundai and Kia continue to swim against the current and maintain (or even increase) units sold. According to Automotive News, a significant part of their success is attributable to fleet sales - large numbers of cars going directly into rental and corporate fleets. During the first quarter of 2009 alone, more than 33 percent of Hyundai's first quarter sales of 95,854 units were fleet related. Rental car sales represented nearly 35 percent of Kia's sales during the same period.

There is nothing inherently wrong with fleet sales, but many in the industry see them as a historically-abused method to inflate numbers, an inaccurate reflection of actual showroom traffic, and a potential liability for residual values. "We accept the criticism that our fleet is up," Hyundai Motor America's sales boss Dave Zuchowski said when he addressed the issue. "But our retail share also is up and outperformed the industry."

Utilized heavily by the Detroit Three in the past, fleet sales are a double-edged sword. Automakers get a strong boost in sales when the vehicles are delivered, but then pay heavy consequences with an oversaturated segment when the cars are dumped back into the used car market. It will be interesting to see how the Korean sister brands will address this repercussion in the near future.

[Source: Automotive News - subs. req'd]

Hyundai and Kia seen using fleets to boost sales numbers originally appeared on Autoblog on Mon, 13 Apr 2009 16:30:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>Dave ZuchowskiDaveZuchowskifleetfleet salefleet salesFleetSaleFleetSalesHyundaiHyundai salesHyundaiSalesKiarental carsrental fleetsrental saleRentalCarsRentalFleetsRentalSaleMon, 13 Apr 2009 16:30:00 EST<![CDATA[Rental fleet sales down last year, 2009 will be worse]]>http://www.autoblog.com/2009/01/10/rental-fleet-sales-down-last-year-2009-will-be-worse/http://www.autoblog.com/2009/01/10/rental-fleet-sales-down-last-year-2009-will-be-worse/http://www.autoblog.com/2009/01/10/rental-fleet-sales-down-last-year-2009-will-be-worse/#commentsFiled under: , , , ,



Last summer, it was the Detroit Three that were restraining themselves from dumping cars into the gaping maw of fleet sales just to boost the bottom line. Turns out they had some help with that discipline: Due to last year's events, rental car fleets shrunk by 400,000 units from 2007 to 2008. As we begin 2009, rental car companies have declared they will be trimming their fleet orders and curbing the number of vehicles they keep on hand even further.

Rental car companies have been thrown under a number of buses as of late. They can't borrow money to finance purchases; the recession has hammered the travel industry; wholesale used vehicle prices are falling (making rental car fleets less valuable); and besides that, car dealers can't get the money to buy the retired rental cars anyway, which subtracts yet another revenue stream.

Rental companies have been good for something like 15% of sales from General Motors, Ford, and Chrysler. But not this year: Enterprise, which also buys for National and Alamo, will buy half the number of cars it did last year, and they'll keep those cars a couple of months longer. Hertz, Dollar, and Thrifty also said they will buy fewer cars and work them longer. The automakers have doubled incentives to encourage sales, but there are simply no teeth left in the rental business with which to bite.

Thus, don't be surprised to find a few more stains on the seats and a few more miles on the clock the next time you find yourself at the wheel of a rental car.

[Source: Automotive News, Sub Req.]

Rental fleet sales down last year, 2009 will be worse originally appeared on Autoblog on Sat, 10 Jan 2009 14:00:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>chryslerDollar RentDollarRententerpriseenterprise rent-a-carEnterpriseRent-a-carfleetfleet salesFleetSalesfordgmHertzrental carrental car companiesrental carsRentalCarRentalCarCompaniesRentalCarsThriftySat, 10 Jan 2009 14:00:00 EST<![CDATA[Imports taking up the slack in fleet sales]]>http://www.autoblog.com/2007/07/23/imports-taking-up-the-slack-in-fleet-sales/http://www.autoblog.com/2007/07/23/imports-taking-up-the-slack-in-fleet-sales/http://www.autoblog.com/2007/07/23/imports-taking-up-the-slack-in-fleet-sales/#commentsFiled under:



OK, this seems like a no-brainer. As GM and Ford have gradually pulled back from the low-margin fleet sales market, import fleet sales have surged. After all, somebody has to keep the rental car lots filled. It's mostly been the mainline Asian automakers that have stepped in to fill the void. Toyota, Nissan, Mazda and Kia have all increased their corporate sales of cars and trucks, but they still remain bit players overall. About 11 percent of U.S. import brand sales are to fleets so far this year. That is up from just 8% last year. In comparison, the domestics sell 31 percent of their overall production to corporate customers. Although some fleet sales can be quite lucrative, the vast majority of rental car sales are end-of-year surplus that is heavily discounted to move.

[Source: Automotive News - sub. req.]

Imports taking up the slack in fleet sales originally appeared on Autoblog on Mon, 23 Jul 2007 17:56:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>domesticsfleetfleet salesFleetSalesimportsrentalrental carsRentalCarsMon, 23 Jul 2007 17:56:00 EST<![CDATA[What actually sells: Fleet sales for first half of 2007]]>http://www.autoblog.com/2007/07/06/what-actually-sells-fleet-sales-for-first-half-of-2007/http://www.autoblog.com/2007/07/06/what-actually-sells-fleet-sales-for-first-half-of-2007/http://www.autoblog.com/2007/07/06/what-actually-sells-fleet-sales-for-first-half-of-2007/#commentsFiled under: ,



Automakers often report their sales figures in whatever way makes them look most positive, and for a long time including fleet sales has been an effective way to make a slow selling vehicle look more popular with consumers on paper. Automakers don't distinguish between fleet and retail when reporting their sales, so we've been forced to believe them recently when we've been told that fleet sales are being reduced. General Motors, Ford and the Chrysler Group have all claimed that reducing fleet sales is a component of each company's respective turnaround plan, but we've found a document that suggests they're still way behind Toyota and Honda when it comes to resisting the easy route to higher sales.

These PDF documents from fleet-central.com, which we've converted to images and included below in a handy gallery, report in detail the percentage of sales sold to fleet operators in the first half of 2007. It's broken down by both vehicle segment and specific models, which allows us to pinpoint exactly which depend more on fleet sales than others.

Let's dive right in and pick out some of the more interesting numbers that you may be curious to know.


Subcompacts: (fleet) 149,766 | (retail) 825,697 | (total) 975,463 | (% fleet) 15.4%
Chevrolet Cobalt: 29,090 | 44,141 | 73,231 | 39.7%
Ford Focus: 19,660 | 54,621 | 74,281 | 26.5%
Toyota Corolla 22,999 | 121,348 | 144,347 | 15.9%
Honda Civic: 2,817 | 128,113 | 130,930 | 2.2%

VERDICT: Not surprising: While the Focus is older than the Cobalt, it enjoys a smaller percentage of fleet sales. The Corolla has a lot of fleet sales, but its retail sales are so large that its percentage of fleet sales is relatively small. The Civic's retail sales are higher than the Corolla's, however, which means that it is actually the real best-selling subcompact.

More segments after the jump! All the numbers can be viewed in the gallery below.

UPDATE: Fleet sales for trucks, minivans and SUVs added to the gallery.

[Source: fleet-central.com via AutoSpies]

Gallery: Fleet Sales - first half 2007

Continue reading What actually sells: Fleet sales for first half of 2007

What actually sells: Fleet sales for first half of 2007 originally appeared on Autoblog on Fri, 06 Jul 2007 14:02:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>by the numbersByTheNumbersexpire-images:2008-7-5featuredfleetfleet salesFleetSalesrentalrentalsFri, 06 Jul 2007 14:02:00 EST<![CDATA[Nearly half of Chrysler's products go to fleets, Pontiac isn't doing much better]]>http://www.autoblog.com/2007/04/23/nearly-half-of-chryslers-products-go-to-fleets-pontiac-isnt-d/http://www.autoblog.com/2007/04/23/nearly-half-of-chryslers-products-go-to-fleets-pontiac-isnt-d/http://www.autoblog.com/2007/04/23/nearly-half-of-chryslers-products-go-to-fleets-pontiac-isnt-d/#commentsFiled under: , ,



What did Chrysler do with its highly publicized production glut? Unloaded them onto fleets. Between September and February, 48.5-percent of Chrysler's sales were sold in quantities of ten or more. Even more troubling to dealers and consumers, close to 80-percent were bought up by rental car companies, versus GM and Ford whose rental sales are closer to half of their total fleet sales.

Mainly comprised of Chrysler minivans and the ubiquitous Sebring, DCX's fleet sales accounted for 34.3-percent of total sales, closer in line with FoMoCo at 32.8-percent and the General at 26.6-percent.

But the trouble isn't just at Chrysler. During that same period, Pontiac fleet sales just skimmed the halfway mark at 44.9-percent. A tough blow, as General Motors has been doing it damnedest to limit fleet sales throughout its line up. Thankfully, it's dropping - down to 31-percent for February - but Pontiac's retail registrations aren't what they used to be this time last year.

With the introduction of the new Sebring convertible and the new Malibu, both DaimlerChrysler and General Motors are looking to limit future bulk sales. Whether either automaker's bottom line can handle it remains to be seen, but in order to keep resale values from skimming the bottom of the retail ocean, neither has a choice.

[Source: Automotive News - Sub. Req. - Chrysler article, Pontiac article]

Nearly half of Chrysler's products go to fleets, Pontiac isn't doing much better originally appeared on Autoblog on Mon, 23 Apr 2007 07:06:00 EST. Please see our terms for use of feeds.

Permalink | Email this | Comments]]>chrylserdaimlerchryslerfleetpontiacrentalMon, 23 Apr 2007 07:06:00 EST<![CDATA[Lutz claims GM will cut fleet sales by 100k in 2007]]>http://www.autoblog.com/2007/01/10/lutz-claims-gm-will-cut-fleet-sales-by-100k-in-2007/http://www.autoblog.com/2007/01/10/lutz-claims-gm-will-cut-fleet-sales-by-100k-in-2007/http://www.autoblog.com/2007/01/10/lutz-claims-gm-will-cut-fleet-sales-by-100k-in-2007/#commentsFiled under: , ,

Dang, it looks like everyone will have to dream up a new way to insult the four-door Cobalt. GM's Bob Lutz has announced that sales to fleet companies will be curtailed to the tune of 100,000 vehicles this year. The reduction is part of an ongoing effort to boost the resale value of General Motors cars. Reducing sales to fleet customers opens the door for some other automaker to deal with the stigma and doesn't ding the bottom line as much as it would seem.

Low-margin sales to fleet customers are less helpful to automakers than retail sales, and the perception that comes along with being a fleet powerhouse dings the perception further.

Lutz doesn't sound overly concerned with short-term hits in the bottom line, preferring to take the uncommon long view and even admitting that there will be bloodletting before GM is fully realizing its potential. He's been refreshingly candid about making the product good enough that it requires no excuses or incentives to sell, and changing the sales mentality at GM from one of panic to true competition for the foreign makers that have cleaned the domestic industry's clock. Product is no longer the hurdle for GM to clear, there's lots of great stuff for 2007, and we look forward to the day when people strike up excited conversations about domestic product with us.

[Source: Automotive News sub. req'd]

Lutz claims GM will cut fleet sales by 100k in 2007 originally appeared on Autoblog on Wed, 10 Jan 2007 07:52:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>fleetgmgm fleet salesgm plansgm profitgm salesGmFleetSalesGmPlansGmProfitGmSalesincentivesplansprofitsalesWed, 10 Jan 2007 07:52:00 EST<![CDATA[RIP: Ford Focus Wagon]]>http://www.autoblog.com/2006/10/03/rip-ford-focus-wagon/http://www.autoblog.com/2006/10/03/rip-ford-focus-wagon/http://www.autoblog.com/2006/10/03/rip-ford-focus-wagon/#commentsFiled under: , ,



While you may be able to successfully argue that station wagons have made a comeback thanks to such hipster sleds as the Dodge Magnum and SUV-inspired Outbacks from Subaru, the love hasn't spread to the Ford Focus Wagon, which has always been the black sheep of the Focus lineup holding down around 8% of the small car's sales. Thus, Ford announced on its fleet website that it will be discontinuing the Focus Wagon in December. While Ford is actually increasing Focus production as a whole to meet the U.S. market's newfound demand for small cars, it's decided to spend its resources on the high volume Focus sedan, 3-door and 5-door hatchback models. Though the Focus lineup will now be down to three models by the end of the year, soon enough the heavily revised 2008 Focus will appear and a two-door coupe will join the ranks in place of the discontinued wagon.

[Source: Ford Fleet via LLN]

Related Posts:

RIP: Ford Focus Wagon originally appeared on Autoblog on Tue, 03 Oct 2006 10:25:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>cancelleddiscontinuedfleetfocusstation wagonStationWagonwagonTue, 03 Oct 2006 10:25:00 EST<![CDATA[PSA: Top 10 rental car secrets]]>http://www.autoblog.com/2006/06/14/psa-top-10-rental-car-secrets/http://www.autoblog.com/2006/06/14/psa-top-10-rental-car-secrets/http://www.autoblog.com/2006/06/14/psa-top-10-rental-car-secrets/#commentsFiled under:

The folks over at SmartMoney.com have compiled a common-sense list of the "Top 10 Things Your Retntal Company Won't Tell You."  In point of fact, we'd reckon that most of the pointers are forehead-smackingly obvious, but that doesn't mean that it isn't worth a quick refresher, or a good opportunity to relay your own tips to fellow Autoblog readers in comments.

1. "We're a tax magnet."
2. "We track your every move."
3. "Our prices are etched in sand."
4. "You probably don't need our insurance."
5. "Your reservation doesn't mean bupkis."
6. "Special orders are our bread and butter."
7. "The little guys charge less."
8. "We're cutting corners anywhere we can."
9. "Think gas prices are high at the pump? Look what we charge."
10. "We offer some terrific deals - on Thursdays when the moon is full."

[Source: SmartMoney.com; New York State Insurance Department]

PSA: Top 10 rental car secrets originally appeared on Autoblog on Wed, 14 Jun 2006 13:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>Aviscar rentCarRentDollar RentDollarRentEnterprisefleetHertzRent-A-WreckrentalRental carRentalCarWed, 14 Jun 2006 13:03:00 EST<![CDATA[Volkswagen snags three Fleet World Honours]]>http://www.autoblog.com/2006/05/20/volkswagen-snags-three-fleet-world-honours/http://www.autoblog.com/2006/05/20/volkswagen-snags-three-fleet-world-honours/http://www.autoblog.com/2006/05/20/volkswagen-snags-three-fleet-world-honours/#commentsFiled under: , ,

Fleet World magazine recently awarded automaker Volkswagen three of its Fleet World Honours for 2006: Fleet Manufacturer of the Year, Technology, and Best Diesel Range. The judges had selected VW for Fleet Manufacturer because of its model range and high level of service even with increasing industry costs. The automaker's work in diesel engines and the Direct Shift Gearbox (DSG) secured its Honour in Technology while its breath and depth of diesel technology earned the third award.

Fleet World bestows the Honours on automotive and service companies who have reached the highest level of excellence according to the judges. A listing of this year's panel can be found at the link.


[Source: Easier.com]

Volkswagen snags three Fleet World Honours originally appeared on Autoblog on Sat, 20 May 2006 06:03:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>DSGFleetFleet WorldFleetWorldHonoursVWSat, 20 May 2006 06:03:00 EST<![CDATA[Sonata incentives pile up as Hyundai tries to meet sales goals]]>http://www.autoblog.com/2006/03/29/sonata-incentives-pile-up-as-hyundai-tries-to-meet-sales-goals/http://www.autoblog.com/2006/03/29/sonata-incentives-pile-up-as-hyundai-tries-to-meet-sales-goals/http://www.autoblog.com/2006/03/29/sonata-incentives-pile-up-as-hyundai-tries-to-meet-sales-goals/#commentsFiled under: , , ,

Moving 150,000 units of any vehicle is no easy task, and it looks as if Hyundai is learning this the hard way with its recently introduced Sonata. The incentives continue to climb - currently they're averaging just over $2,000 per vehicle  - and fleets currently represent 30% of the Sonata's sales. The car is sitting on lots longer, with the "turn" time climbing from 41 days to 74 days. Transaction prices have also slid, dropping by over $900 in the last six months. We're not sure that this is what Jerry Flint had in mind with his warning last week about the Korean automakers, but certainly it's not a great situation for a brand-new model.

Hyundai has stated that the increased fleet sales are a good way to get "butts in the seats", and the increased turn time is being attributed to a production increase that ensures sufficient dealer inventory before the manufacturer's Alabama plant starts Santa Fe production this summer.

More than anything else, this goes to show the difficulty of cracking into the highly-competitive midsize sedan market. Nearly every competitor is throwing its best effort into this class, and indeed the segment as a whole is seeing increased incentives and longer turn times. The upside is that consumers have plenty of great midsize sedans from which to choose.

[Source: Automotive News]

Sonata incentives pile up as Hyundai tries to meet sales goals originally appeared on Autoblog on Wed, 29 Mar 2006 09:58:00 EST. Please see our terms for use of feeds.

Read | Permalink | Email this | Comments]]>fleethyundaihyundai sonataHyundaiSonataincentivesmidsize sedanMidsizeSedanrebatessalessonataWed, 29 Mar 2006 09:58:00 EST