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Suzuki's US Future -- Good or Dismal

204 messages,  Last post on Mar 27, 2013 at 4:54 PM

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What is this discussion about? Suzuki, Automotive News

Messages Page 18 of 21

#170 of 204 counting down the months by nippononly

Aug 27, 2012 (5:11 pm)

until Suzuki's exit from the U.S. market won't take long, based on what Auto News is reporting today:
 
In an overall market up 14 percent, Suzuki sales through July were down 4 percent to 15,260.
 
15,000 sales in 7 months? I am amazed that Suzuki dealers even bother to keep the franchise.
 
...At Suzuki, the outlook is even gloomier. On the bright side, freshened versions of the SX4 and the Grand Vitara will arrive this fall. And a heavily camouflaged, new-generation SX4 five-door hatchback has been spotted this summer during European testing.
 
But sources familiar with American Suzuki's plans say that after this fall the company has no new or redesigned product launches scheduled before the 2015 model year.
 
Derailed by yen
The company's U.S. plans were derailed by a strong yen and its failed partnership with Volkswagen. For instance, Suzuki explored a number of possibilities for a redesigned Grand Vitara before the partnership unraveled, including a rebadged Volkswagen Tiguan, according to a source with knowledge of the plans.
 
But that option, as well as the prospect of basing the next Grand Vitara on the Kizashi platform, has been scrapped.
 
Suzuki also tested turbocharged versions of the Kizashi, but sources say it has no firm plans to introduce one.
 
Another insider has said engineers and product planners had been working with Suzuki's Wagon R minicar sold in Japan to see if it might fit a niche in the United States. But that project has been dormant for months.
 
Indeed, the company is saying nothing to reassure its 246 U.S. dealers. Asked about future products in the pipeline, Fujimoto said in July that "there is nothing to announce at this time."
 
If there was ever a time or a car company for whom the writing was more boldly on the wall than this one, it wasn't in my lifetime. And it's a shame, because Suzuki makes very reliable and fun small cars, and it's not clear to me why they didn't flourish in the U.S. alongside the likes of Toyota and Honda, or at least Mazda and Subaru. Suzuki is a big company in Japan. The only thing I do notice is the MUCH smaller investment over time in American dealer network and advertising vs the Japanese heavy hitters.
 
With no new product in the works anywhere, and especially in the 3-year timeframe, I would suspect that Suzuki will exit the U.S. by 2015 if not well before. I'm not one to make bold predictions like that, but it just seems so clear in this case. Perhaps if I am still around the Town Hall in 3 years' time, I will check in here on whether my forecast came true....
 
http://www.autonews.com/article/20120827/OEM01/308279964/1428

#171 of 204 You have it all wrong by byebyeusa

Sep 07, 2012 (8:03 am)

I am a Suzuki dealer. For the entire 2000s no Suzuki dealer has sold more cars, on average, than me in our market (mind you, I'm not bragging. A good month for us, is a slow weekend for a Ford dealer). Working with ASMC is nothing but a fight every day. Getting cars is almost impossible, they want to give you what the have, not what you need. There is ZERO advertising in our market. The DOM only comes by to give you grief and make notations to enable ASMC to try to push you out as a dealer. Even though we are unquestionably the biggest volume dealer in our market, ASMC has been trying to push us out since late 2010, so there is nothing to this, "suzuki eliminating low volume dealer" BS.
 
Over 500 dealers down to about 200 dealers
 
100,000 plus sales to about 20,000 sales
 
4 us market regions down to 3
 
Sales Rep and separate Service Reg now one.
 
Advertising down to no advertising
 
7 car lineup down to 3 (you can't count the Nissan Frontier (Equator) in either of those numbers
 
We only hang in there because there is no value to selling the franchise and things can't get worse. Suzuki has only two possible explanations for what they are doing. One is some master plan that will seem Steve Jobslike after it is revealed or, Two they have the most incomprehensible, incompetent and ignorant business model ever launched in the US.
 
Why would a company with 40% market share in India want to mess around in a market where they have .4% market share?

#172 of 204 Suzuki Equator by lemko

Sep 07, 2012 (11:00 am)

Does Suzuki still have the Equator truck? Isn't it a derivative of the Colorado/Canyon?

#173 of 204 Re: Suzuki Equator [lemko] by nippononly

Sep 07, 2012 (7:29 pm)

Replying to: lemko (Sep 07, 2012 11:00 am)
No, it's a rebadged Frontier, but not for much longer. Nissan is updating the Frontier and the new version will not be rebadged a Suzuki.

#174 of 204 Dismal it is! by fezo

Nov 05, 2012 (6:21 pm)

Replying to: nippononly (Sep 07, 2012 7:29 pm)
American Suzuki just file for chapter 11 bankruptcy and will wind down all its car dealerships.

#175 of 204 Now there's news we can really... by iluvmysephia1

Nov 05, 2012 (6:24 pm)

bite down and chew on. Now I am glad I didn't buy a new Kizashi in 2010. I still would love to own one of them and, in fact, great deals might be had at this time, car nuts!

#176 of 204 Re: Dismal it is! [fezo] by steve_ HOST

Nov 05, 2012 (6:27 pm)

Replying to: fezo (Nov 05, 2012 6:21 pm)
Details:
 
“I don't think it's a big surprise given their lackluster sales performance of recent years. They have have low margin, low-priced cars with small volume. That's far from the ideal combination,” said Jessica Caldwell, an analyst with auto information company Edmunds.com.
 
The good news:
 
"Suzuki said it will continue to honor warranties and will provide automobile parts and service through its parts and service dealer network."
 
LA Times

#177 of 204 And... by iluvmysephia1

Nov 05, 2012 (6:34 pm)

this will be good news for those who've bought Suzuki's in the 2000's.
 
"Suzuki said it will continue to honor warranties and will provide automobile parts and service through its parts and service dealer network."

#178 of 204 Re: And... [iluvmysephia1] by fezo

Nov 05, 2012 (6:37 pm)

Replying to: iluvmysephia1 (Nov 05, 2012 6:34 pm)
Now if I could only locate a Suzuki dealership..... We had one in town but it went as part of the GM dismantling of dealerships.

#179 of 204 I find it sad... by iluvmysephia1

Nov 05, 2012 (6:42 pm)

because I do think that the Suzuki Kizashi is the best value in a mid-size available. And the best looking as well. Too bad.

Messages Page 18 of 21

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