02.10.2009 CHRYSLER'S U.S. SALES TUMBLE BY 42 PERCENT DURING SEPTEMBER

JEEP GRAND CHEROKEE LIMITED 2010
JEEP WRANGLER 2010

The best sales performers for the Chrysler Group during September were Jeep's Grand Cherokee (top), the only model to archive positive year-on-year sales, and the Wrangler (bottom).

Chrysler Group's September sales in the United States make for bleak reading, down 42 percent year-on-year at 62,197 units with the Chrysler brand the worst hit, down 61 percent, while Dodge (-43 percent) and Jeep (-19 percent) fared a bit better. Every current production model spread across the three brands was down year-on-year apart from Jeep's Grand Cherokee model which saw sales of 5,601 units last month, an increase of 23 percent compared with the same period a year ago.

Chrysler blames a severe lack of inventory as contributing to the fall in sales, with its inventory having been whittled down all year, partly as a result of the shutdown that occurred while it went through the Chapter 11 bankruptcy process earlier this summer. Chrysler finished September with 138,456 units in its inventory, representing a 56-day supply. Inventory is down 64 percent versus September 2008 when it totalled 381,365 units. Overall industry sales figures for September are projected to come in at an estimated 9.4 million SAAR. Chrysler's total sales for the year-to-date is 715,516 units which is down 40 percent year-on-year.

The hardest-hit models year-on-year in September included Chrysler's Aspen (-89 percent), PT Cruiser (-89 percent) and Sebring (-73 percent), Dodge's Caliber (-89 percent), and Jeep's Compass (-90 percent) and Patriot (-57 percent) while the best performers, apart from the Grand Cherokee, included Jeep's Wrangler (-2 percent) and Commander (-6 percent) and Dodge's Charger (- 8 percent).

There was better news when September's sales figures are compared to the previous month, August, which hadartificially benefitted from the "Cash for Clunkers" scheme. The Jeep Wrangler's 6,002 units last month represents a 7 percent increase compared with August while the rangler continues to be top in market share in the compact sport-utility vehicle (SUV) segment. In addition to the Wrangler’s strong showing in September, Dodge Challenger sales (1,778 units) last month increased 57 percent compared with the previous month, and the Charger saw increased sales (7,507 units) of 16 percent compared with August.

Mopar U.S. net sales were even compared with August 2009, balancing tough market conditions with the launch of several campaigns that were successfully implemented through the full commitment of the dealer network. Digital owners’ manuals were announced for all 2010 model-year vehicles, a move that will save 930 tons of paper or 20,000 trees annually. Buyers of 2010 Chrysler, Jeep and Dodge vehicles will receive a digitised owner’s manual on a DVD and a full-colour guide, eliminating the bulky paper version. Separately, at the Frankfurt Motor Show last month, Mopar showcased a “Moparized” Jeep Wrangler Unlimited and a Jeep Liberty.

“While we had some bright spots in September, it was still a challenging sales environment for the industry,” said Peter Fong, President and Chief Executive Officer–Chrysler Brand and Lead Executive for the Sales Organization, Chrysler Group LLC. “Low inventories of popular models at the start of the month hampered Chrysler, Jeep and Dodge sales, however, the company responded with increased production. The company finished the month with increased market share compared with August 2009. We believe the remainder of 2009 will continue to be a challenge for the U.S. automotive market. Credit markets have thawed slightly, but still remain tight, and consumer confidence, as we saw in September, is tenuous,” Fong added.

In October, Chrysler, Jeep and Dodge dealers continue to offer competitive lease rates on all 2010 model year vehicles. “Consumers are responding to Chrysler Group’s return to leasing, appreciating the flexibility this financing option gives them,” said Steven Beahm, Vice President–Sales Organization, Chrysler Group LLC." Featured vehicles with special lease rates through Nov. 2, 2009 are Chrysler's Town & Country, Dodge's Grand Caravan, Nitro and Journey, and Jeep's Liberty.
 

© 2009 Interfuture Media/Italiaspeed