Us Americans like our variety. Toothpastes, deodorants and Doritos flavors. Action figures, dog food types and Progresso soup flavors.
Companies are always adding more selections to their stock keeping unit (SKU) inventory in an effort to stay ahead of competition and the selections THEY are adding (Crest and Colgate seem to be neck and neck for market share in the cavity protection, whitening, cavity protection plus whitening, and comprehensive tooth-care categories). The fresher the product, the more likely our consumer fancy will be tickled.
Domestic automakers are also warming to the trend. Between 2002 and 2012, GM and Chrysler replaced a mere 13% of their vehicle models, with Ford replacing 14%. GM dropped 8.7% in market share, and Ford’s industry share eroded 5.1%. Chrysler, surprisingly, didn’t budge a market share muscle. The new vehicle turnover rates of the big three automakers was lowest in the industry, and helped foreign car companies gain ground in the global industry.
That’s changing. From 2013 to 2016, Ford will change 26% of its vehicle lineup, ahead of the industry average of 23%. Toyota will rehash 24%, Nissan 23%, and Chrysler will continue to be relatively stubborn and old and crotchety, choosing to replace a mere 20% of its cars. Why? Because automakers are able to generate higher revenue on newer vehicles without having to add incentives.
Also because we love anything that’s hip and new, precisely because it’s hip and new.
The entire industry plans 176 new vehicle models, 19% more than those introduced between 1990 and 2012.
That’s amazing…19% more new car models introduced in four years than what was introduced over an entire 22 year period.
We’re all on speed.
If you need ANY new car, let CarWoo! help ya.