Q. Isn’t the point to sell cars? If Pontiac has a real hot seller like the Solstice, why are they making it in such limited numbers? It doesn’t make sense for a company that is constantly losing market share. Solstice is a beauty.
M.Z., Wheaton
A. The two sins the auto industry has long been guilty of are overpricing and overproduction. With a sticker that starts at less than $20,000 and tops out at just under $25,000, this is not a case of overpricing–yet.
Historically, a new car that’s an initial sensation convinces the automaker that such demand will last forever. But before long the appeal eases, sometimes supplanted by a newer looker.
The result is having to cut output and put heavy incentives on the car to move it. Word quickly spreads there is a disaster sale.
Q. I read your column (Business, Oct. 5) regarding “Erika” selling her No. 428 Solstice at auction, and I have to admit I was a little upset. You see, I, too, was one of those lucky people to get one of the first 1,000 Solstice, a journey that began three years ago when my husband first read about it and called the dealer to tell him he wanted one. As it turns out, I turned 50 this year, so my husband told everyone he got me the car for my birthday, though trust me, he wanted it for himself. And, believe it or not, we happened to get No. 50. How cool is that? But the point of this letter is, please tell “Erika” that she shouldn’t have gotten one of the first 1,000. It should have gone to someone who would have appreciated it.
T.E., Chicago
A. Thanks so much for writing and belated happy birthday. By the way, the Saturn version of the Solstice called Sky comes out early next year. Your husband have a birthday coming up?
Q. I was thrilled to read that General Motors and Ford sales did exceedingly poorly in September because big SUV sales were down sharply. The Japanese automakers did exceedingly well. When will Ford and GM realize this world will be a better place to live without giant SUVs robbing the rest of us of that precious commodity gasoline.
G.R., Chicago
A. Hate to spoil your rant, but here goes. It’s true that September sales of the big Chevrolet Suburban were down 57 percent, the GMC Envoy, 58 percent; and Ford Explorer, 58 percent, and Expedition, 61 percent. But so were sales of the big Toyota Sequoia, down 47 percent and Land Cruiser, 52 percent; Honda Pilot, 26 percent; and Nissan Armada, 21 percent.
Most folks forget the Japanese sell big sport-utility vehicles, too. The Japanese were hell-bent on getting into big SUVs because their buyers switched to domestic brands when they wanted or needed a big SUV and they had none to offer.
The domestics have a higher concentration of SUVs because they have been in that market longer than the Japanese, and so the domestics feel more pain when sales tumble.
Some folks insist the industry has foisted SUVS on to consumers, but we have yet to pass a showroom and seen a consumer bound and gagged or feet nailed to the floor until he or she buys a SUV–regardless of that SUV’s country of origin.
In other words, the purchase was a matter of choice and the decline in September SUV sales shows that choice still controls the market. Consumers still buy what they want when they want it and don’t when they don’t. It’s up to the automakers to have products to meet that demand.
By the way, big SUV sales tumbled in September, but SUV sales rose sharply in June and July, when automakers were offering employee pricing, which means they may be big and they may burn a lot of gas, but a lot of people will buy them–if the price is right–and gas isn’t $3 a gallon.
Q. B.Q. of Berwyn (Transportation, Oct. 2) isn’t the only one offended by the Lee Iacocca and Snoop Dogg ads. I’m not a big Chrysler fan to start with, but you can bet I’ll never entertain purchasing one due to this ad.
G.K., Geneva
Q. Both Iacocca and Snoop Dogg should retire.
B.H., Crest Hill
A. Don’t like Lee and Snoop? What do you think of the new “king of the hill” TV ad for the new Mitsubishi Raider pickup, the one in which the Raider scares its rival so much it leaves its antifreeze on the top of the hill?
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Send questions about cars and trucks to Jim Mateja, Chicago Tribune, 616 Atrium Drive, Vernon Hills, IL 60061-1523, or send e-mail, including name and hometown, to jmateja@tribune.com.
