The Australian new car market has bucked retail trends with
official sales figures for the calendar year 2012 showing that
sales were up by 10.3% to 1.112 million units eclipsing the
previous 2007 pre GFC sales record (1.05 million units). As in the
past couple of years SUVs remain the fastest growing segment of the
market with sales up 25.3% over the previous year.
Sales of locally made Holdens fell by 7.2% and Fords by 12.7%,
with Toyota sales of locally manufactured vehicles increasing by
29.3%, largely driven by Camry sales.
Imported brands Mazda and Hyundai are now selling more vehicles
than Ford for the first time and have relegated Ford to 5th
position. Economic commentators often refer to a
"patchwork" economy; in the new vehicle market we can
definitely see this at work.
Top Ten Brands
Toyota – 218,176 (up 20.1%)
Holden – 114,665 (down 9.1%)
Mazda – 103,886 (up 17.6%)
Hyundai – 91,536 (up 5.2%)
Ford – 90,408 (down 0.9%)
Nissan – 79,747 (up 17.4%)
Mitsubishi – 58,868 (down 3.7%)
Volkswagen – 54,835 (up 22.6%)
Subaru – 40,189 (up 18.2%)
Honda – 35,812 (up 18.9%)
Top Ten Vehicles
Mazda 3 – 44,128
Toyota HiLux – 40,646
Toyota Corolla – 38,799
Holden Commodore – 30,532
Holden Cruze – 29,161
Hyundai i30 – 28,348
Toyota Camry – 27,230
Nissan Navara – 26,045
Toyota Yaris – 18,808
Ford Focus – 18,586
Holden – down 9.1%
Mitsubishi – down 3.7%
Ford – down 0.9%
FCAI Chief Executive Tony Weber was quoted as saying that:
"filling back orders which had built up after the natural
disasters in Japan and Thailand, and highly competitive finance
deals from the manufacturers helped spur record breaking sales at a
time when other retail and manufacturing industries are
floundering"- further evidence of our "patchwork
At Moore Stephens Automotive we cannot but help think about the
old retail automotive adage: "volume is vanity, profit is
As quoted in Drive in December 2012, one senior
industry figure noted that franchisors "encouraging dealers to
register cars as demonstrators in order to reach official sales
targets and collect factory bonuses could be inflating the market
by as many as 250,000 cars".
Despite the record figures "there is a feeling that the
market is being supported by factory incentives and bonuses, rather
than demand by customers" (Sydney Morning Herald
In the Australian Financial Review we are being reminded to
"mind the growth gap", with Australian GDP growth slowing
and domestic income stalling as commodity prices fall and mining
capex plateaus...and government spending tightens...the
economy's hopes will rest on housing and non-mining business.
Indeed, maybe in 2013 we should be minding the "growth
gap", that is, will housing and non-mining bridge the
difference in expected growth rates.
The RBA's official central growth for GDP is "a little
below 2.75% over 2013 before picking up to just under 3% over
At Moore Stephens Automotive we expect 2013 vehicle sales to
soften to about 1.05 million units, noting that the new vehicle
retail markets will continue to be underpinned by aggressive
franchisor campaigns including finance incentives, relatively low
interest rates, the fact that car affordability is at its best
levels in decades and expected strong employment but also minding
the "growth gap".
An actuarial review of the Invensys Australia Superannuation Fund showed it to be in surplus to the tune of $189.2 million. In mid 2003, the Invensys Group proposed to the trustee that the surplus be repatriated to the principal employer in the group.
Lenders in New South Wales breathed a sigh of relief earlier this month when the Supreme Court ruled in Bank of Western Australia Ltd v. Primanzon  NSWSC 862 that two part-time commercial property investors could not claim relief under the Contracts Review Act 1980 (NSW) because the loans advanced to them were entered into in the course of a trade, business or profession carried on by them.
A key aspect of an innovation culture is keeping it active at all levels of management, from teams to board meetings.
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