Last post on Dec 11, 2013 at 11:40 AM
You are in the Volvo S60
What is this discussion about?
Volvo S60, Volvo S60 R, Sedan
#1772 of 3082 Re: Where is the Volvo Image Headed? [s6025t]
Aug 11, 2004 (12:01 pm)
Since my name was mentioned...
First of all - Volvo is doing pretty good. According to their official corporate site:
"The USA recorded its best ever six months with year-to-date sales of 69,158 units. This represents a 2.1 per cent increase over the pace of the 2003 record year. The XC90 continues to be the best selling European SUV (sales up 20 per cent). The new S40 has also strongly contributed to the sales result."
Second, I believe it is positive to bring younger people to Volvo. Volvo does need to change it's image to remain competitive. The rest of the automotive world has caught up with the safety gadgets, so it's not enough to be safe to be sold.
I have gotten to the Volvo because of the drastic changes in style from S70 to S80. And now, when my 20 years old daughter seriously consider S40 as her first "real" (new) car, I think of it as of very positive development for Volvo.
I consider myself a loyal Volvo client.
My image of Volvo has changed to the positive direction with the introduction of XC90 and new S40. Volvo can serve my family much better now. We have already gotten an SUV, that we always wanted - from Volvo, of course. And if and when we need a smaller car for the youngster - we can go to the same dealer again.
The new S40 has gotten too close to S60, so inevitable it steals some sale from S60.
S60 did steal a lot of sale from S80 3-4 years ago, when it was introduced.
#1773 of 3082 Re: Where is the Volvo Image Headed? [qbrozen]
Aug 11, 2004 (12:24 pm)
Qbrozen. Yes, compared June 03 S60 sales dropped 36%. To answer your questions- S40 sales are up about 450 units for June whereas S60 units are down about 1250. S80 units are down 100.
Now here's is the kicker. Yes, Volvo sales YTD are up 2%. However, since the Zoom Zoom and MTV style ads have been running Volvo sales are down about 3% in June. Obviously, just a short glimpse of advertising effects, and maybe not related.
Right direction? If your were a Ford exec would you be happy to be loosing 1350 unit sales on your higher end sedans for a 450 unit increase on your low end? Zoom zoom?
#1774 of 3082 Re: Where is the Volvo Image Headed? [s6025t]
Aug 11, 2004 (12:32 pm)
they're probably pretty happy about the XC90, however, since its doing pretty well and because SUVs typically carry much more profit for the manufacturer (not sure if this is the case for the volvo, just tends to be the case for most SUVs from what I've read).
#1775 of 3082 Re: Where is the Volvo Image Headed? [s6025t]
Aug 11, 2004 (12:59 pm)
Volvo is so notorious of not advertising on TV, that I have serious doubts that the older generation (like myself) noticed a change in the image because of the MTV advertisement. I have not seen any of the Volvo commercials, until my kids videotaped them to share with me. I think that a vast majority of the 40+ readers will agree with me.
Gasoline prices, negative (unfavorable) ratings in some publication had bigger effect on sales IMHO.
S40 is very close to S60 in price and it's sales is less aggressively subsidized by Volvo. So a unit profit could be even higher for S40 as for S60 or S80 with incredible sales incentives for the latest.
#1776 of 3082 Re: Where is the Volvo Image Headed? [qbrozen]
Aug 11, 2004 (1:07 pm)
Yes, the XC90 'had' been a smashing success. However, since the Zoom Zoom MTV images have been airing the XC90 has fallen in the dumper. YTD sales increase had been averaging 500-600 more units sold per month over 03 YTD. Roughly a 20% increase. Then we start Zoom Zooming and Snoop Dogie imaging.....June 04 sales fall off to just a 75 unit increase over same sales last year. Roughly a 2% increase. Perhaps just all coincidence.
#1777 of 3082 Re: Where is the Volvo Image Headed? [qbrozen]
Aug 11, 2004 (1:19 pm)
Qbrozen, Take a look at Ford Motor sales report. It is very revealing. I'll be glad to e-mail you the link if you are interested.
#1778 of 3082 Re: Where is the Volvo Image Headed? [s6025t]
Aug 11, 2004 (2:05 pm)
Why don't we wait for the additional sales statistics, before we draw such a depressing conclusion?
Ford is not alone, losing sales in the month of June. And I do not think that all other has ran the Zoom-Zoom advertisement...
#1779 of 3082 Re: Where is the Volvo Image Headed? [lev_berkovich]
Aug 12, 2004 (10:20 pm)
Lev, Of course I agree with you. This is simply a blip on the radar screen, but I thought it might be entertaining to discuss. Though, if you consider BMW sales of it's SUVs (they call them SAVs) compared to Volvo's.... BMW reported a whopping 118% gain in sales for June versus Volvo's 2% gain for the XC90. I guess the Ford marketing experts can't use "fuel prices" as an excuse this time around. (grin).
#1780 of 3082 Re: Where is the Volvo Image Headed? [lev_berkovich]
Aug 12, 2004 (10:55 pm)
Lev, I think Volvo is pulling a "Kerry" when it claims to have the best selling European SUV. BMW sold twice as many in the US during June.
#1781 of 3082 Best place to buy a '04 S60T
Aug 13, 2004 (5:31 am)
I am a serious buyer for a new S60T. This will be my first Volvo. I've read about numerous discounts of +$7k or 20%. There is only one dealer within 250 miles of me and they aren't to motivated to deal. Can someone recommend a particular dealer who may be willing to work a deal like this. I understand this will involve shipping or me flying to pick-up the car but I'm willing to do this.