fordtech1 Posted February 5, 2018 Share Posted February 5, 2018 https://www.leftlanenews.com/nissan-toyota-increase-fleet-sales-but-at-what-cost-99813.html Quote Link to comment Share on other sites More sharing options...
Fgts Posted February 5, 2018 Share Posted February 5, 2018 Glad someone brought this up, that's why the Camry had a blockbuster month but IMO i like to see more domestic sales in that area. Quote Link to comment Share on other sites More sharing options...
rmc523 Posted February 5, 2018 Share Posted February 5, 2018 (edited) Where's rperez to harp on the fleet sales? Or is it ok for them? Edited February 5, 2018 by rmc523 3 Quote Link to comment Share on other sites More sharing options...
Kev-Mo Posted February 5, 2018 Share Posted February 5, 2018 Good to know - We will see how the battle between Ford and Toyota plays out in the months to come. I saw a Ford ad right after the game yesterday "...that's how you become America's best selling brand..." Apparently, that is important to Ford. Quote Link to comment Share on other sites More sharing options...
rperez817 Posted February 5, 2018 Share Posted February 5, 2018 Where's rperez to harp on the fleet sales? Or is it ok for them? I'm here sir. No, excessive fleet sales (more than 10%) are never OK for any carmaker that cares about optimizing profitability and brand image. Including Toyota and Nissan. Nissan is clearly fleet dumping, with their January fleet sales exceeding one third of all sales. That's a higher proportion than even Ford! Toyota's fleet sales in January came to about 14.5%. That's much higher than Toyota's normal fleet percentage of 8 to 10%. If Toyota fails to reduce fleet sales later this year and bring the proportion down to about 10% as mentioned in the Bloomberg article, there's potential trouble ahead for them too. Moderators will probably delete this post. That's their right. If you see this post content before the moderators delete it, the truth is that excessive fleet sales hurt carmakers' image and profitability. ANY and ALL carmakers. Nissan's fleet dumping caused operating profit to go down over 13% in the first half of 2017 compared to the same period 2016 even though revenue went up by 8%. https://newsroom.nissan-global.com/releases/171108-01-e?lang=en-US Quote Link to comment Share on other sites More sharing options...
akirby Posted February 5, 2018 Share Posted February 5, 2018 I'm here sir. No, excessive fleet sales (more than 10%) are never OK for any carmaker that cares about optimizing profitability and brand image. Including Toyota and Nissan. Nissan is clearly fleet dumping, with their January fleet sales exceeding one third of all sales. That's a higher proportion than even Ford! Toyota's fleet sales in January came to about 14.5%. That's much higher than Toyota's normal fleet percentage of 8 to 10%. If Toyota fails to reduce fleet sales later this year and bring the proportion down to about 10% as mentioned in the Bloomberg article, there's potential trouble ahead for them too. Moderators will probably delete this post. That's their right. If you see this post content before the moderators delete it, the truth is that excessive fleet sales hurt carmakers' image and profitability. ANY and ALL carmakers. Nissan's fleet dumping caused operating profit to go down over 13% in the first half of 2017 compared to the same period 2016 even though revenue went up by 8%. https://newsroom.nissan-global.com/releases/171108-01-e?lang=en-US Congratulations for properly identifying fleet dumping for a change. However, your statement that all fleet sales are bad is still 100% wrong. Fleet dumping to rental car fleets drives down used car values, drives up lease costs and typically results in little if any additional profit. Some rental fleet sales can be profitable. E.g. Ford at one point was only selling well equipped vehicles to rental fleets, not stripped down models and they were not giving them away in the process. Additionally - and this is the point you don't seem to grasp - commercial fleet sales are very profitable and don't have any of the negative stigma that comes with fleet dumping. Commercial fleets keep their cars a long time and don't dump them with high mileage onto the used vehicle marketplace. That includes trucks and vans. Without Ford's commercial and government fleet business they would be much worse off financially. You need to learn to separate bad fleet sales from good fleet sales. They are not all bad nor does every mfr need to reduce their fleet percentages. It depends on the types of sales and relative profit. 2 Quote Link to comment Share on other sites More sharing options...
bzcat Posted February 7, 2018 Share Posted February 7, 2018 (edited) I'm here sir. No, excessive fleet sales (more than 10%) are never OK for any carmaker that cares about optimizing profitability and brand image. Including Toyota and Nissan. Nissan is clearly fleet dumping, with their January fleet sales exceeding one third of all sales. That's a higher proportion than even Ford! Toyota's fleet sales in January came to about 14.5%. That's much higher than Toyota's normal fleet percentage of 8 to 10%. If Toyota fails to reduce fleet sales later this year and bring the proportion down to about 10% as mentioned in the Bloomberg article, there's potential trouble ahead for them too. Moderators will probably delete this post. That's their right. If you see this post content before the moderators delete it, the truth is that excessive fleet sales hurt carmakers' image and profitability. ANY and ALL carmakers. Nissan's fleet dumping caused operating profit to go down over 13% in the first half of 2017 compared to the same period 2016 even though revenue went up by 8%. https://newsroom.nissan-global.com/releases/171108-01-e?lang=en-US Ford's rental sale was 9% this month and 11% for all of 2017. It was basically the same as Toyota in 2017 - they both sold about 10% of total volume to rental companies. You don't understand why Ford has 30% fleet sale (roughly 20% to commercial and govt and 10% rental) and you refuse to learn why it is a good thing when people have repeatedly told you. You are like a broken robot just repeating the same uninformed opinion every month. The 20% or so of Ford's sales are vehicles like E-series, PIS and PIU, Transit, Transit Connect, F-series, stripped chassis etc. Those vehicles have very high fleet % as you'd expect but they are high profit margin sales. Toyota doesn't have those kind of products so they don't have commercial or govt fleet sale. Your point of reference is backwards... the commercial and govt fleet business is a core strength and competitive advantage that Ford has over its competitors, not some sort of liability to be rid of. Exiting vans (which is 90+% fleet sale) and cutting back F-series (which is probably close to 40% fleet sales) will not improve Ford's brand image one bit but it will have real negative effects on profit. Edited February 7, 2018 by bzcat 1 Quote Link to comment Share on other sites More sharing options...
2b2 Posted February 7, 2018 Share Posted February 7, 2018 testing... rperez817, Posted 05 February 2018 - 02:33 PM No, excessive fleet sales (more than 10%) are never OK for any carmaker that cares about optimizing profitability and brand image. Including Toyota and Nissan. Nissan is clearly fleet dumping, with their January fleet sales exceeding one third of all sales. That's a higher proportion than even Ford! Toyota's fleet sales in January came to about 14.5%. That's much higher than Toyota's normal fleet percentage of 8 to 10%. If Toyota fails to reduce fleet sales later this year and bring the proportion down to about 10% as mentioned in the Bloomberg article, there's potential trouble ahead for them too. Moderators will probably delete this post. That's their right. If you see this post content before the moderators delete it, the truth is that excessive fleet sales hurt carmakers' image and profitability. ANY and ALL carmakers. Nissan's fleet dumping caused operating profit to go down over 13% in the first half of 2017 compared to the same period 2016 even though revenue went up by 8%. https://newsroom.nissan-global.com/releases/171108-01-e?lang=en-US Quote Link to comment Share on other sites More sharing options...
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