Rising sales numbers in October – an overall increase of 6.1% – have brought a renewed sense of confidence among automakers that the pace of the US auto industry recovery would remain strong for the remainder of the year.
Executives think sales in the upcoming wintry months would remain positive, as buyers swarmed to purchase more pickup trucks, SUVs and luxury vehicles – all of them bringing home high earnings margins for the producers. Subaru, Chrysler Group, Audi, Nissan, Mercedes-Benz, BMW, Toyota, Acura, Honda, Hyundai, Volkswagen, Kia and GM all saw their sales tally going up last month.
Bill Fay, Toyota division group vice president and general manager says the positive sales outlook extends beyond 2014 into 2015; Ludwig Willisch, president and CEO, BMW of North America, says the 11% increase shows momentum is still with the auto industry and Subaru – with a 25% increase last month – is on its way to its best year ever.
Eric Lyman, vice president of industry insights for TrueCar thinks October’s pace was even better than expected – as buyers usually skip the month and wait for the better offers that pop before the year’s end. He adds that carmakers are in one of the best positions ever, with a continued success from their truck and SUV models, higher transaction prices and lower use of incentives.