NZ sales: Strong sales soldier on

NEW Zealand vehicle sales remain well above 2013 predictions, with July combined passenger and commercial sales climbing 12.4 per cent to 9401, after 19 consecutive months of growth.

The 2632 commercial sales marked a rise of 25.5 per cent above the same month in 2012 and the highest number since 1984, while the 6769 passenger registrations represented a rise of five per cent, according to Motor Industry CEO David Crawford.

The strong results, said Mr Crawford, were largely down to the strong New Zealand dollar and low inflation.

Industry experts suggest the market has still to reach post-recession equilibrium, with last year seeing full recovery to a 100,000 benchmark, and the subsequent increase since then filling the shortfall as both private and fleet buyers slowly return to pre-recession purchase cycles.

Individual brands see month-on-month fluctuations largely caused by supply, with some suggesting a struggling European economy is freeing deliveries down-under that are selling thanks to increased consumer confidence.

Meanwhile the shift from conventional cars to SUVs continues, with commercials underpinned by the Christchurch rebuild – the closed ‘red zone’ round the former CBD has opened – and strong housing growth in Auckland, with no influence as yet recorded from the capital’s July earthquakes that caused some damage to Wellington’s central city infrastructure.

Ford’s Ranger topped July model tables by just four cars from Toyota Corolla (376), with Toyota Hilux a further two behind (374). Nissan Navara (304) and Holden Captiva rounded out the top five in a commercial-heavy table – SUVs made up 28 per cent of July sales, with utes on 20 per cent.

Toyota continued its sales tables reign, up a relatively modest 4.5 per cent to 1703 for the month. Holden jostled into second, rising 19.3 per cent to 1088 from Ford, up 4.7 per cent to 1051.

Holden general marketing manager Marnie Samphier said: “Colorado was in its early stages of launch this time last year and we didn’t have the full model line-up”.

In addition, aid Ms Samphier, Captiva 5 and the new VF Commodore performed well.

“The private market appears to have fully recovered and consumers are opening their purse strings and spending where they haven’t been before.

“New Commodore has had a huge impact. A new model always brings some latent demand.”

Ms Samphier told GoAuto that the challenge now is “sustain that in a market with a declining large-car segment.”.

Meantime, the company predicts continued strong sales for Holden through the second half of the year, given Malibu launches this month.

Mazda sits fourth on 682, up 37.6 per cent. Managing director Andrew Clearwater said Mazda6 doubled last year’s volume with 103 sales, “but the big news” was CX-5 with 225 sales from the 229 landed.

“We’ve carried no spare stock since we launched so we don’t know what true demand is,” said Mr Clearwater, who expressed optimism for the continued strong health of the NZ market as a whole.

“Unless there’s global meltdown, and while there’s underlying confidence in the New Zealand economy, our market should hold up pretty strongly over the next few years,” he said.

Being unable to field a ute handicaps Hyundai in New Zealand, with sales up 1.1 per cent to 619 for fifth place, followed by Nissan, up 28.2 per cent with 604.

Nissan NZ managing director John Manley said the market has been “all over the place”.

“We’ve been through a couple of years where most franchises have had supply constraints,” he said.

“(But) there’s a lot of activity. When things are down, then available you tend to be more aggressive. There’s a lot of new model activity, and that means run-out activity which generates consumer interest.”

Mr Manley says the motor vehicle industry has always been an accurate barometer of the domestic economy and now it’s ahead. “People don’t buy cars unless they have confidence,” he said.

July’s economic climate was buoyed by a lift in dairy giant Fonterra’s forecasts, but in the first days of August the company was hit by a botulism scare associated with export milk products that impacted Monday share markets, with the effect on the wider economy yet to be seen.

Meantime, Mitsubishi sales rose 22.9 per cent to 509, Suzuki fell 4.8 per cent to 416 and Volkswagen had an excellent month, up 65 per cent to 401.

Kia rounds out the top 10 with 241 while Honda sales fell 44.5 per cent to 231, just out of the top-10 table for July.

Table Heading

Rank	Make	Sales	% Share
1	Toyota	1703	18.1
2	Holden	1088	11.6
3	Ford	1051	11.2
4	Mazda	682	7.3
5	Hyundai	619	6.6
6	Nissan	604	6.4
7	Mitsubishi	509	5.4
8	Suzuki	416	4.4
9	Volkswagen	401	4.3
10	Kia	241	2.6