Buzz About Sacramento: The Future of Car Sales

Recently, a study was carried out on the sales of cars through the next five years. According to the industry report, sale of cars throughout the nation is expected to decline. This study is in regard to the much needed grip on the recession hit industry. On the closing day of 2009, Asia Pacific car dealers expect to have sold 10.3 million new cars throughout the nation. This is way too much lower than the 16.1 million cars sold two years ago. This is estimated to be the lowest number in the history of the company’s 21 years in car sales in the country.

This dramatic decline in the automobile industry will need several years to recover. The Asia Pacific report reads that car sales will touch the lowest peak of 11.4 million in 2010. However, the sales are expected to reach a modest number of 15.4 million in 2015.

The California New Car Dealers Association has stated that the car sales in California alone are expected to fall by 35% to 775,075 cars in the first nine months of the coming year. This decline will be seen in spite of the federal government’s cash-for-clunkers program, to finance new car buyers. On comparison to the automobile sales in the same nine month period of last year, the state had seen sales of 1.19 million vehicles.

California auto dealers, especially in the Sacramento region are now in a tough market situation, unlike the other states. The decline of car sales by 35% is higher than the country wide figure by 8 percentage points. This slow sales rate has brought about the closure of 20 car dealers in the Sacramento region during the last two years. This is proved to be the country’s second worst market statistics.

However, auto dealers remain optimistic about the improving economy as customers are holding large ticket purchases focusing on long term financial strategies. With the improvement in economy, people will concentrate on residential investments and personal savings before they invest on cars. As today’s cars are more robust, their purchase can be put off to the future.

This gloomy situation of slow car sales will continue to test the industry. Automobile giants like General Motors, Oldsmobile, Saturn and Chrysler will continue to compete in a packed market. Companies are coming up with better attractive models for shoppers in 2015 in order to keep their business rolling.

For additional resources and information please visit the following sites.

Resource Links:

http://www.gmacrealestate.com

Bill Fields All Star Coaching Program: http://www.AllStarCoaching.net
GreatWest GMAC Search all MLS Listings: http://www.LocalHomeLink.com
GreatWest GMAC Consumer Buyer/Seller Blog: http://www.GreatWestBlog.com

T. Sami Siddiqui (Broker/ Owner) Buzz About Sacramento Blog: http://www.samisiddiquiblog.com
Brodie Stephens (Executive Vice President) One Stop Blog: http://www.brodiestephensblog.com
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