Ford sold almost 20,000 more Mustangs in July.
American sports cars are declining in sales. However, the Chevy Camaro has seen its sales drop faster than other models. This led to the automaker lowering the starting price of the car to $25,995, including delivery. The price of the 2019 1LT and 2LT trims was also reduced. The company hopes that the model will be able to regain its position as the top-selling vehicle over the Dodge Challenger or Ford Mustang. This Camaro has been a major seller since 2015.
Al Oppenheiser (chief engineer for the Camaro) said that the Mustang was “frankly eating our lunch” when speaking with Automotive News. “The low transaction prices of a four-cylinder…that’s where most of the sales are, and that’s why our pricing strategy needed to be improved. We will go head-to-head — and win.
According to the publication Camaro sales have fallen 28 percent this year so far, with only 29,551 units sold through July. Ford sold 48,362 Mustangs in the same time period. The Mustang was dominated by Camaro sales from 2010 to 2014. The Camaro sales have been unable to match Mustangs since 2015 when Ford introduced a new Mustang. Ford sold 122 349 Mustangs in 2015, nearly 40k more than 2014, compared to just 77.502 Camaros that same year.
While the Mustang GT and Camaro SS models are both stars, they’re not the most popular trim. People want the same style but without the additional cost of a V8: insurance, retail price, gas, and maintenance. This is where the Mustang excels – it offers sporty performance at a reasonable price, in the sub-$30,000 area.
“What’s happening with the sport car segment is that there’s more volume in low-to-mid market,” Steve Majoros (Chrysler’s marketing director for cars & crossovers), told Automotive News. We do a fantastic job with our loaded SS’s and it’s great for us. But the truth is that there are a lot of people who want a beautiful sports car in the $30,000 range and that’s exactly what we’re going deliver.
The Camaro isn’t just a problem with its price. It could also be due to poor outward visibility or polarizing styling. A lower price might not immediately boost sales as the automaker hopes.
Karl Brauer, executive editor of Autotrader, and Kelley Blue Book said that “it doesn’t hurt having a lot of value to the money.” “I wonder if this is all that’s the problem.”
Capitalism is proving that competition is good for consumers. A Camaro with higher performance and a lower price seems like a win.
