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Go Back   Hummer Forums by Elcova > Hummer H2 Discussion Forums > General H2 Discussion

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  #1  
Old 01-28-2005, 12:56 AM
LasVegas LasVegas is offline
 
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They just don't get it. There's still a segment of the population (us) that want to own & drive something rugged, unusual & satisfying for our needs. See last paragraph. Therefore, it's a limited market so after the initial entry to the market it's bound to slow some. Guess we just stand out among the rest.

<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Large SUVs lose luster
Sales drop a concern for makers

Brett Clanton
Detroit News
Jan. 26, 2005 12:00 AM

DETROIT - Sales of hugely profitable full-size sport utility vehicles such as the Chevy Tahoe and Ford Expedition are slowing down after zooming out of showrooms for years.

The cooling of America's love affair with the largest SUVs is a troubling sign for Detroit automakers, which count on the vehicles to prop up their bottom lines.

The typical full-size SUV now takes more than three months to sell - up from a little more than a month in 2002 - despite carrying more than $4,000 in rebates.

"Their time seems to be over," BMW Chief Financial Officer Stefan Krause said. "You don't see huge SUVs here as you would have seen two years ago."

While some analysts and research suggest that U.S. consumers are starting to have their fill of large SUVs, automakers are far from ready to abandon a product segment that still produces nearly 1 million vehicles a year.

"We see that as a segment that probably still has some opportunity in it," said Joe Veltri, director of truck marketing and product planning for DaimlerChrysler AG's Dodge brand, whose 2004 Dodge Durango was one of the few big SUVs to post higher sales last year. But recent sales trends are raising concerns. Sales of large SUVs - a category that includes GMC Yukon, Hummer H2, Ford Expedition and Toyota Sequoia - were down 6 percent last year, with many models posting double-digit declines, according to Autodata Corp.

High gas prices may have deterred some consumers from considering the gas-guzzling rigs, whose fuel economy often rates below 15 mpg on the highway.

But it may also have to do with changing customer preferences, said Stephen Girsky, a leading industry analyst with Morgan Stanley.

"I used to drive a (Lincoln) Navigator. Now I drive a (Cadillac) SRX. Was it a fuel thing? No. I like to be able to park a lot easier. I like the ride better. I like the quieter inside. It's a consumer-taste issue as much as anything."

Consumer-loyalty data from J.D. Power suggest that more big SUV drivers are opting for smaller SUVs. In late 2002, about 56 percent of large SUV owners were replacing their vehicles with another large SUV. But by late 2004, the rate had fallen to 50 percent.

While buyer preferences are always changing, a shift away from SUVs could be devastating for Detroit's automakers.

"It's their biggest fear," Girsky said.

Declining demand led automakers in December to offer an average rebate of $4,179 per large SUV, the highest of all vehicle categories, according to Edmunds.com.

But a lot of the decline can be explained by the lack of new models to choose from in the large SUV category, said Joseph Barker, an analyst with CSM Worldwide, an industry forecaster in Farmington Hills. New products attract buyers, he said, and the large SUV segment has been fairly quiet in recent years. "Some of the traditional players, they're in need of a refresh right now."

But it may not be enough to win back customers who have abandoned large SUVs for smaller SUVs and wagonlike crossover vehicles.

Last year, small SUV sales were up 18.5 percent and crossover sales were up 13 percent, representing the two fastest-growing categories of the U.S. auto industry.

"The market isn't going in the direction of ever-bigger SUVs," Krause said.

Try telling that to Peter Linnemann, an engineer with Detroit Diesel, who would love to supersize his Dodge Durango for a Hummer H2. Ogling the truck at the Detroit Auto Show during an industry preview, Linnemann, 50, said he knows the H2 chugs gas, but loves the adventurous look and brutish size of the $50,000 beast. <HR></BLOCKQUOTE>
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Old 01-28-2005, 12:56 AM
LasVegas LasVegas is offline
 
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They just don't get it. There's still a segment of the population (us) that want to own & drive something rugged, unusual & satisfying for our needs. See last paragraph. Therefore, it's a limited market so after the initial entry to the market it's bound to slow some. Guess we just stand out among the rest.

<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Large SUVs lose luster
Sales drop a concern for makers

Brett Clanton
Detroit News
Jan. 26, 2005 12:00 AM

DETROIT - Sales of hugely profitable full-size sport utility vehicles such as the Chevy Tahoe and Ford Expedition are slowing down after zooming out of showrooms for years.

The cooling of America's love affair with the largest SUVs is a troubling sign for Detroit automakers, which count on the vehicles to prop up their bottom lines.

The typical full-size SUV now takes more than three months to sell - up from a little more than a month in 2002 - despite carrying more than $4,000 in rebates.

"Their time seems to be over," BMW Chief Financial Officer Stefan Krause said. "You don't see huge SUVs here as you would have seen two years ago."

While some analysts and research suggest that U.S. consumers are starting to have their fill of large SUVs, automakers are far from ready to abandon a product segment that still produces nearly 1 million vehicles a year.

"We see that as a segment that probably still has some opportunity in it," said Joe Veltri, director of truck marketing and product planning for DaimlerChrysler AG's Dodge brand, whose 2004 Dodge Durango was one of the few big SUVs to post higher sales last year. But recent sales trends are raising concerns. Sales of large SUVs - a category that includes GMC Yukon, Hummer H2, Ford Expedition and Toyota Sequoia - were down 6 percent last year, with many models posting double-digit declines, according to Autodata Corp.

High gas prices may have deterred some consumers from considering the gas-guzzling rigs, whose fuel economy often rates below 15 mpg on the highway.

But it may also have to do with changing customer preferences, said Stephen Girsky, a leading industry analyst with Morgan Stanley.

"I used to drive a (Lincoln) Navigator. Now I drive a (Cadillac) SRX. Was it a fuel thing? No. I like to be able to park a lot easier. I like the ride better. I like the quieter inside. It's a consumer-taste issue as much as anything."

Consumer-loyalty data from J.D. Power suggest that more big SUV drivers are opting for smaller SUVs. In late 2002, about 56 percent of large SUV owners were replacing their vehicles with another large SUV. But by late 2004, the rate had fallen to 50 percent.

While buyer preferences are always changing, a shift away from SUVs could be devastating for Detroit's automakers.

"It's their biggest fear," Girsky said.

Declining demand led automakers in December to offer an average rebate of $4,179 per large SUV, the highest of all vehicle categories, according to Edmunds.com.

But a lot of the decline can be explained by the lack of new models to choose from in the large SUV category, said Joseph Barker, an analyst with CSM Worldwide, an industry forecaster in Farmington Hills. New products attract buyers, he said, and the large SUV segment has been fairly quiet in recent years. "Some of the traditional players, they're in need of a refresh right now."

But it may not be enough to win back customers who have abandoned large SUVs for smaller SUVs and wagonlike crossover vehicles.

Last year, small SUV sales were up 18.5 percent and crossover sales were up 13 percent, representing the two fastest-growing categories of the U.S. auto industry.

"The market isn't going in the direction of ever-bigger SUVs," Krause said.

Try telling that to Peter Linnemann, an engineer with Detroit Diesel, who would love to supersize his Dodge Durango for a Hummer H2. Ogling the truck at the Detroit Auto Show during an industry preview, Linnemann, 50, said he knows the H2 chugs gas, but loves the adventurous look and brutish size of the $50,000 beast. <HR></BLOCKQUOTE>
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  #3  
Old 01-28-2005, 02:22 AM
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<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR> Try telling that to Peter Linnemann, an engineer with Detroit Diesel, who would love to supersize his Dodge Durango for a Hummer H2. Ogling the truck at the Detroit Auto Show during an industry preview, Linnemann, 50, said he knows the H2 chugs gas, but loves the adventurous look and brutish size of the $50,000 beast. <HR></BLOCKQUOTE>Peter knows his stuff.
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  #4  
Old 01-28-2005, 11:37 AM
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There will ALWAYS be a segment of the population who likes the bigger trucks. But they're talking trends here, which is true. The H2 was definitely a novelty item when it came out and everyone thought it was cool. Now the newness has worn off, and those who bought it for the looks only are trading it in on more practical vehicles - until the next big thing comes out. The diehards who love the truck will keep the line going, along with those who are saving up money to afford one in the future.

Stacy
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  #5  
Old 01-28-2005, 01:07 PM
hummerjosh hummerjosh is offline
 
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LIKE NOTHING ELSE....

well, except maybe the tahoe platform it is built on. But we have bigger wheels, right?
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  #6  
Old 01-28-2005, 01:11 PM
Spike Spike is offline
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originally posted by Hummerdouche,
<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>well, except maybe the tahoe platform it is built on. But we have bigger wheels, right? <HR></BLOCKQUOTE>
I'm gettin a wiff of troll......anyone else? I 'll bet that Hummerdouche and hardluckH2 are one in the same.
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  #7  
Old 01-28-2005, 01:15 PM
hummerjosh hummerjosh is offline
 
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  #8  
Old 01-28-2005, 01:17 PM
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DennisAJC DennisAJC is offline
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Up here, I still see only 1-2 a week if any. Still rare and center of attraction on any given red light.


Spike your sense of smell is excellent!
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  #9  
Old 01-28-2005, 01:18 PM
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Tahoe frame? Well, it's interesting that some trolls at least have some knowledge of the vehicle they are slammin'. This ****tard obviously doesn't.
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  #10  
Old 01-28-2005, 01:19 PM
hummerjosh hummerjosh is offline
 
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<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by DennisAJC:
Up here, I still see only 1-2 a week if any. Still rare and center of attraction on any given red light.
<HR></BLOCKQUOTE>

I know I smile and wave at every H2 at a red light. And if its an H1, I'll get out and drool.
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  #11  
Old 01-28-2005, 03:06 PM
hummerjosh hummerjosh is offline
 
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<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by Texas Red:
Tahoe frame? Well, it's interesting that some trolls at least have some knowledge of the vehicle they are slammin'. This ****tard obviously doesn't. <HR></BLOCKQUOTE>

Please enlighten me, oh wise, one.

And please find where I used the word "frame."

Mouthbreather.
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  #12  
Old 01-28-2005, 03:10 PM
Josh Josh is offline
 
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Yep. Mine is quite the head turner.
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  #13  
Old 01-28-2005, 04:21 PM
LasVegas LasVegas is offline
 
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<BLOCKQUOTE class="ip-ubbcode-quote"><font size="-1">quote:</font><HR>Originally posted by hummerjosh:
_LIKE NOTHING ELSE...._

well, except maybe the tahoe platform it is built on. But we have bigger wheels, right? <HR></BLOCKQUOTE>

So what? If it's on a Radio Flyer frame it's still a Hummer and like nothing else.
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  #14  
Old 01-31-2005, 09:01 PM
Hummer H2 Babe Hummer H2 Babe is offline
 
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I don't mind if the other SUV buyers out there are slowing down or downsizing ... I wouldn't trade in my H2 for anything. Of course, I would have a mutiny on my hands with the kids if I even for the slightest second thought about getting rid of our beloved Hummer!! Like Nothing Else .....
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