05.09.2009 SUCCESS FOR FIAT GROUP IN AUGUST UK SALES RESULTS

FIAT 500 1.4 SPORT
ALFA MITO 1.4 TURBO
ABARTH 500 1.4 SPORT

Since its launch in the UK in January 2008, the Fiat 500 (top) has now sold more than 26,000 units in Britain, while the new Alfa MiTo (middle) has roared to more than 3,000 units since its launch in January this year. Abarth (bottom) has contributed more than 850 sales of cars since its July 2008 introduction into the UK.

Fiat Group Automobiles has turned in a very successful August in the UK with its Fiat, Alfa Romeo and Abarth brands combining together to take a 5.14 percent slice of all car sales and record its biggest market share since May 2001, according to figures released by the Society of Motor Manufacturers and Traders (SMMT).

The UK market performed better than expected in August, turning a forecast 6.0 percent decline by the SMMT into a 6.0 percent increase to 67,006 units. This largely reflects the positive impact of the government's scrappage scheme, borne out by the growth in private demand and for small, predominantly petrol, cars. Despite the growth, the August market was still over 10,500 units below the 2007 outturn and 15.0 percent off the 78,800 market averaged between 1999 and 2008.

With 3,026 units sold during August, Fiat was up 85.76 percent year-on-year to take a healthy 4.52 percent market share for the month. Fiat was able to tap into UK customer's preferential choice of cars last month as the mini and supermini segments once again showed surging growth, up 252.8 percent and 16.9 percent respectively in August. Fiat was also the third biggest year-on-year volume manufacturer winner last month following up Hyundai (+322.76 percent) and Kia (+135.49 percent).

Alfa Romeo's sales of 344 units was up 59.26 percent year-on-year and gave it a 0.51 percent share of the UK market while Abarth's 59 sales resulted in a 0.09 per cent share but are not comparable year-on-year as the Scorpion was only establishing a foothold last August after its launch the previous month and accounted for 12 units in August last year. Fiat's U.S. partner Chrysler Group had a mixed month, albeit on almost negligible sales, with Dodge the best performer out of the Group's three brands up 54.41 percent on the back of 105 units, while the Chrysler brand was up 5.60 percent after selling 132 cars. Jeep was down 36.96 percent with 58 registrations, a performance that saw it beaten by Abarth on the UK market last month.

Registrations over the first eight months of 2009 remain down 21.5 percent at 315,014 units, and it means that over the past 12 months volumes have fallen by 530,125 units. For the year-to-date the Fiat brand has sales of 30,582 cars which is down 6,000 units and 17.04 percent on the same period last year (but however slightly above the overall market's 21.54 percent decline) and this gives it a 2.66 percent share of all registrations so far this year, up slightly from 2.52 percent for the same period a year ago. Alfa Romeo has notched up 5,157 registrations so far this year which puts it up 20.83 percent year-on-year and means it joins Hyundai, Kia and Suzuki (as well as Corvette and Cadillac on the back of nominal sales) as the only brands in positive territory for the year-to-date compared to 2008.

For the first eight months of the year Alfa Romeo's market share has jumped from 0.29 to 0.45 percent year-on-year. Abarth has 761 registrations for the year-to-date which gives it a 0.07 percent slice of the market. For the year-to date the Chrysler Group has seen its sales more than halving, the Chrysler brand has 1,406 registrations for the first eight months of 2009 which puts it down 70.54 percent year-on-year, Dodge has amassed 1,338 sales and is down 50.65 percent, while the Jeep division has 1,264 units and is down 57.65 percent.

Since its launch in the UK in January 2008, the popular Fiat 500 city car has now sold more than 26,000 units in Britain, while the new Alfa MiTo has roared to more than 3,000 units since its launch in January this year. Abarth has contributed more than 850 sales of cars since its July 2008 introduction into the UK.

Further indications of the Fiat Group Automobiles' success in August are shown in private and fleet sales figures – Fiat’s are up 86 per cent and Alfa Romeo’s have risen by 59 per cent. Private demand in the UK rose by 50.5 percent in August, albeit on a weak 2008 performance. The increase is significant, with volumes boosted by the scrappage scheme. On private sales Fiat comfortably beat the market to record a rise of 174 percent, to make it third best-selling manufacturer for the month, with Alfa Romeo rising by 233 percent. For the year to date, the average private market share is down by 12.3 percent while Fiat’s share has increased by 5.4 percent and Alfa’s is up by 88 per cent.

“This is a remarkable series of results for the Fiat Group which highlights once again the growing popularity of Fiat, Alfa Romeo and Abarth vehicles in this country,” says Andrew Humberstone, managing director, Fiat Group Automobiles UK Ltd. “This is part of the overall business strategy we implemented two years ago and we are beginning to see the fruits of this in terms of brand, market share and positive residual value movements.”

August typically accounts for just 3.3 percent of annual new car registrations in the UK. September, with the plate change, accounts for an average of 17 percent of the market. The recent success of the scrappage scheme suggests volumes should rise from last year’s very weak showing. As well as the upturn in A- and B-segment categories last month the sports and dual purpose segments also recorded strong growth, up 25.8 percent and 10.1 percent respectively, in the month. “New car registrations in August increased for the second successive month, providing welcome news for the UK motor industry. The scrappage incentive scheme is having a positive impact but with consumer and business confidence still fragile, there remain significant risks ahead. It is essential that these early signs of recovery are sustained into 2010,” said Paul Everitt, SMMT chief executive. The Ford Focus was the best selling model in August, ahead of the Fiesta and Hyundai i10. Ford’s Fiesta was the best seller over the year-to-date.
 

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