"Wobbles the Mind" (wobblesthemind)
02/03/2018 at 08:12 • Filed to: Market Segments | 1 | 8 |
I’m working on a market analysis in order to bring you all some new speculations. For those that don’t know, I consider myself an automotive branding and market enthusiast. Sometimes I post these preliminary glances before hitting you all with bigger posts on why come this happenin’ and other things that make you groan, just to show you that there is method behind the madness.
Nothing refined here since this is how I get started. However, I thought there were some interesting segment shifts that most journalists (and a few automakers) have not noticed.
2018 Hyundai Kona
Super-Subcompacts
* Same length as subcompact hatchbacks
Ford Ecosport (161") - $19,995
Kia Soul (163") - $16,200
Hyundai Kona (164") - $20,450
*This segment will expand in 2020 including a Jeep below the Renegade. This is also the segment I believe Toyota mistakenly quoted as AWD not being important, just style and efficiency. Unfortunately for them, the C-HR is one segment too high.
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2018 Nissan Kicks
Subcompacts
*Similar length to subcompact sedans
Jeep Renegade (167") - $18,445
Fiat 500X (167") - $19,995
Mazda CX-3 (168") - $20,110
Chevrolet Trax (168") - $21,000
*Buick Encore (168") - $22,990
Nissan Kicks (169") - $19,000
Honda HR-V (169") - $19,670
Toyota C-HR (171") - $22,500
Mitsubishi Outlander Sport (172") - $20,395
Nissan Rogue Sport (172") - $21,640
Kia Niro (172") - $23,340
*Buick included due to non-premium pricing (should be a GMC).
*Mini is a premium brand. Ref: Mini Countryman (170") - $26,600
* Jeep Wrangler 2-Door uses premium pricing. Ref: Sport (167") - $26,995
I want you all to think about how many of these nameplates didn’t exist 4 years ago. The reason why resale is currently poor for subcompact utilities is that most of the population is unfamiliar with these names and aren’t searching for them, yet. That said, expect every one of these vehicles to grow to over 173" in length because, “The most popular request of current owners is that they wish the car was a little bit bigger.”
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2018 Mitsubishi Eclipse Cross (aka the Eclipxe)
Compact
* Similar length to compact hatchbacks
Jeep Compass (173") - $20,995
Mitsubishi Eclipse Cross (173") - $24,290
Volkswagen Tiguan Limited (173") - $21,995
Subaru Crosstrek (176") - $21,795
Hyundai Tucson (176") - $22,550
Kia Sportage (176") - $23,600
Ford Escape (178") - $23,850
Mazda CX-5 (179") - $24,150
Notice that the actual “Compact” segment has been vacated.
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2018 GMC Terrain
Midsize
* Similar length to compact sedans
Honda CR-V (181") - $24,150
Subaru Forester (182") - $22,795
Jeep Cherokee (182") - $24,395
GMC Terrain (182") - $24,995
Chevrolet Equinox (183") - $23,580
Toyota RAV4 (184") - $24,510
Mitsubishi Outlander (185") - $23,945
Volkswagen Tiguan (185") - $24,595
Nissan Rogue (185") - $24,800
Hyundai Santa Fe Sport (185") - $24,950
The sales numbers of this segment are currently overinflated because shoppers are not familiar with the new, smaller nameplates. They are going for what they know (RAV4, CR-V) but will eventually spread out to other segments by 2020.
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2018 Subaru Outback
Midsize-Plus
* Similar length to midsize sedans / midsize wagons
Kia Sorento (187") - $25,900
Ford Edge (188") - $29,220
Jeep Wrangler Unlimited (188") - $30,495
Jeep Grand Cherokee (189") - $30,695
Subaru Outback (190") - $25,895
Toyota 4Runner (190") - $34,610
Nissan Murano (192") - $30,800
This is going to be a pretty cool segment because the market concentration is between $30,000 to $55,000 and upwards. That allows mainstream brands to offer high horsepower, or great materials, impressive designs, crazy tech, or true off-roaders. I can almost guarantee a Murano Nismo, Outback STi, and Ford Bronco will all appear within the next 4 years.
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2018 Dodge Journey
Fullsize
* Similar length to fullsize sedans
Dodge Journey (192") - $22,795
Hyundai Santa Fe (193") - $30,850
Toyota Highlander (193") - $31,030
GMC Acadia (194") - $29,000
Honda Pilot (195") - $30,900
*Toyota Land Cruiser is a premium vehicle. Ref: TLC (195") - $84,315
This segment is probably going to die. Everything will bump up a segment to over 195" in length in order to handle three-rows and cargo space better. But if you ever wondered why the Dodge Journey is still moving then compare the entry price and size to the segments below. The true cheapest new car in the US.
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2018 Volkswagen Atlas
Fullsize-Plus
* Similar length to minivans
Volkswagen Atlas (198") - $30,750
Ford Explorer (198") - $31,990
Nissan Pathfinder (199") - $31,040
Mazda CX-9 (199") - $32,150
Dodge Durango (201") - $29,995
Chevrolet Traverse (204") - $29,930
I’m hoping that either these are getting asymmetrical sliding doors on just the passenger side or couple of the minivans will get lifts and be added to this segment. Either way would be sweet. This segment is becoming pretty cool.
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2018 Toyota Sequoia
Truck
* Similar length to midsize trucks (extended cab, short box)
Chevrolet Tahoe (204") - $47,500
GMC Yukon (204") - $49,100
Toyota Sequoia (205") - $48,300
Nissan Armada (209") - $46,090
Ford Expedition (210") - $51,695
I could see a few diesels coming. I think that’s really it for surprises.
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2018 Ford Expedition
Truck-Plus
*Similar length to midsize trucks (crew cab, long box)
Ford Expedition Max (222") - $54,385
Chevrolet Suburban (224") - $50,200
GMC Yukon XL (224") - $51,800
After this you pretty much get into van and small RV territory. But there is room at around 230" in length where an Excursion could be resurrected as a limited production vehicle. Yes, I’m being serious. Including the tow hook it would be the same length as the widely popular F-150 Crew Cab Short Box.
I’ll knock out the premium and luxury brands next (Buick-Acura-Mini up to currently Bentley).
Captain of the Enterprise
> Wobbles the Mind
02/03/2018 at 08:23 | 0 |
What is the name of the model of the green Hyundai in the first picture?
Wobbles the Mind
> Captain of the Enterprise
02/03/2018 at 08:34 | 1 |
Hyundai Kona. Pricing was just released a day or two ago.
Ash78, voting early and often
> Wobbles the Mind
02/03/2018 at 09:01 | 1 |
Wow, very thorough. And nice use of a simple metric for classification!
I just don’t see how the market can sustain this. If you look at the pre-crossover boom, there was a lot more size variety in cars. Everything now seems crammed together with a lot of options. On the other hand, I’m impressed that the efficiency of modern manufacturing can handle all of this and still be (generally) profitable.
I still maintain that companies only try to compete in every segment because management refuses to look down at a report and see “0% market share” on anything. Plenty of these vehicles could straddle segments just fine (with trimlines and options) but then you couldn’t easily measure and compare.
My prediction: the smaller segments will have their model count halved within 5-7 years. Those are the “cute urban lofts” of cars. People buy them and as soon as they have a kid or have to start moving stuff around, they jump up (just like with housing). The good thing is, like you said, the larger segments have some really strong choices.
Or retirees continue buying tiny crossovers and keep the segments going...with our aging population, anything is possible.
FTTOHG Has Moved to https://opposite-lock.com
> Ash78, voting early and often
02/03/2018 at 09:30 | 1 |
Pricing may sustain the smaller segments as well. Wages haven’t been going up as fast as car prices. Right now there are a lot of people buying the midsize and larger SUV’s on 6+ year loans to afford the payment. At some point that may not be sustainable and people who are used to high-riding vehicles will move into smaller more affordable crossovers rather than back to midsize sedans.
Svend
> Wobbles the Mind
02/03/2018 at 09:33 | 1 |
Add in the
Audi Q2
Q3
Kia Stonic
Peugeot 2008
Peugeot 3008
Renault Kadjar
Renault Koleos
SEAT Arona
SEAT Ateca
Skoda Karoq
Skoda Kodiaq
Vauxhall Crossland X
Vauxhall Grandland X
VW T-Roc
VW Tiguan SWB
FTTOHG Has Moved to https://opposite-lock.com
> Wobbles the Mind
02/03/2018 at 09:37 | 0 |
TIL the Kia Soul is a “utility”.
Also, looking at these classes gives some insight into the rapid sales rise of Subaru over the last 5-10 years. Their base prices are at the low end of every segment they compete in. Even more so when you throw in AWD standard that is a $1-2k option on a lot of vehicles they compete with. Sure they have some bits of “cheapness” to them, but they get enough of the basics right to get over it. When we bought our Outback new in 2013 it was the value that really sealed the deal. After dealer discounts we got a mid-level “2.5i Premium” with the CVT for $24,500 After going one trim up from base and adding AWD to other competitors we were looking at $27k+ for vehicles that didn’t really have any killer feature that the Outback didn’t.
Ash78, voting early and often
> FTTOHG Has Moved to https://opposite-lock.com
02/03/2018 at 09:43 | 1 |
Fair point. On a “dollar per usefulness” metric, though, the larger vehicles win. That could be passenger capacity, cubic footage, etc. I think it all depends on whether people break their trade-in cycle and just keep the cars longer. If they don’t, price will win.
Captain of the Enterprise
> Wobbles the Mind
02/03/2018 at 19:00 | 0 |
Thanks! I like that it’s different but would rather have a cactus