Volkswagen Group South Africa maintains its leadership position in the new passenger car market
Volkswagen Group South Africa has maintained its leadership position in the new passenger car market for the sixth consecutive month. In June 2012, Volkswagen Group South Africa reported total sales of 7 754 units and market share of 21.6%.
During June 2012, a total of 35 918 new passenger cars were sold in South Africa, an increase of 3.2% when compared to the reported sales in May 2012 and a growth of 14% when compared to same period in 2011.
In the first half of 2012, new passenger car sales improved by 11.8% against the same period in 2011. Whilst in the second quarter of 2012, the sales went up by 15.5% compared to the second quarter of 2011.
“The new passenger car market once again performed very well but in line with expectation. New car sales in June were supported by sales to rental car companies, a seasonal phenomenon between June and October each year. That aside the reported selling rate of new cars per day in June was 1450 units, an increase of 7.3% when compared to May 2012,” said Mike Glendinning, Director: Sales and Marketing, Volkswagen Group South Africa.
“Volkswagen Group South Africa ended the first half of 2012 in a top position in the new passenger car market. In June, Polo Vivo was again the best-selling Brand with 2 633 units and Polo was the second best-seller with 2 326 units. Both brands maintained their leadership positions in the A0 segment in spite of the introduction of new models in the most competitive segment in the country,” said Glendinning.
The Audi Brand reported its best June sales to date of 1 351 units. A4 Sedan/Avant sold 426 units.
Volkswagen Commercial Vehicles sold 769 units and 517 of these units were Amarok single and double cab models.
“Looking ahead, the challenges facing the economy have resulted in growing speculation that the Reserve Bank may reduce interest rates later in the year. This has been further encouraged by the inflation rate of 5.7% in May which has fallen back into the target range, an unexpected development that will also support the real disposable income of households,” added Glendinning.
“Demand for new passenger cars during 2012 remains on track for single digit growth over 2011. The demand is being supported and encouraged by a continued decline in real new car prices, low interest rates, improving demand for credit and, possibly by a buy-ahead of probable price increases on the back of a sharply weaker exchange rate in recent months,” concluded Glendinning.