ByS

April 2013

Canadian SalesFirst Half 2013

by

Strada IQJuly 2013

RobustFirst Half

The strongest first half in recent history 2 % ahead of

the previous year.

Truly a robust sales performance after a slow and

perhaps scary start to the year for some.

Fascinating when manufacturers and dealers throttle up to sell vehicles

and move iron.

AwesomeSecond Quarter

Strong second quarter ahead of the previous year.

Lets take a look:

April: + 8 %May: +5 %

June: + 1 %

Did you expect anything else after a soft first quarter that

raised a few alarm bells.

Trucks

The big story is trucks, especially pick ups.

Pick ups are a Detroit 3 specialty.

Canadians have an ongoing and enduring love affair with

pick ups.

F Series YTD + 17.4%Ram YTD + 18.6%Sierra YTD + 6.3%

Silverado YTD + 7%

Keep in mind that sales are up 2%...pick ups have performed dramatically

better.

Ahead

Who was ahead at the conclusion of the first half?

The Detroit 3 with strong pick up performance remained

slightly ahead.Chrysler: + 7%

Ford: + 4%GM: + 4%

Acura: + 28%Audi: + 3%

Honda: + 4%Infiniti: + 8%

Jaguar: + 71%Land Rover: + 11%

Porsche: + 24%VW: + 8%

Behind

Who was behind the 8 ball at the first half.

Lets take a look:Kia: - 8%

Mazda: - 4%Mercedes: - 2%

Nissan: -7 %Toyota: -1%Volvo: - 26%

Kia and Mercedes are surprises, Mazda and Nissan

not so much.

Toyota is improving.

Some Numbers First Half 2013

COMPACT

Hyundai Elantra…28,863 Honda Civic……..28,553 Toyota Corolla…...21,969 Mazda 3……...….19,347

Civic will keep the title, with the Elantra keeping them highly motivated. Yes...the new

Corolla has an effect for Toyota.

All Figures from Automotive News

MID SIZE SEDANS

Jetta……………….15,237 Ford Fusion… …..11,304 Toyota Camry……..9,203 Honda Accord.........9,022 Hyundai Sonata..…8,262 Chrysler 200…..…..7,202 Nissan Altima…..….5,313 Chevy Malibu…..…4,313

The Jetta remains ahead, reinforcing that price is a huge factor. Then its trading paint with the Sonata getting muscled by the Camry.

Some Numbers – 1 First Half 2013

CUV/SUV

Ford Escape……….21,481 Toyota RAV4……….16,660 Honda CR-V……….16,577 Chrysler Journey…..14,100 Hyundai Santa Fe…13,711 Chevy Equinox….....10,069

The Escape remains in front, with the RAV4 and CR-V trading paint.

Again the Equinox brings up the rear.

PICK UPS

Ford F Series….…… 61,677 Ram…………….………41,907 GMC Sierra……….. …23,507 Chevy Silverado………19,270

Huge performance! Truly a wow moment.

Interesting when the new GM pick ups get launched.

The love affair with pick ups is strengthening so far this year.

Some Numbers – 2First Half 2013

ENTRY LUXURY

BMW 3 Series………5,981 M-B C Class……..…4,610 Audi A4………......…3,050 Cadillac ATS…………1,427 Infiniti G……….......…1,224 Acura TL…………..…1,000 Buick LaCrosse………..688 Lexus IS…….……….…683 Cadillac CTS……….….436

Look at the ATS being disruptive, and displacing the G…impressive.

We agree the CTS lost sales to the ATS.

The 3 Series is way ahead.

LUXURY CUV/SUV

Lexus RX…………………3,703 BMW X3…………….……3,604 Audi Q5……………………3,561 M-B GLK………….….……3,224 Acura RDX……………..….3,041 Acura MDX…….….…....…2,926 M-B M Class…………...….2,085 BMW X1……………...……1,859 Infiniti JX35…………......…1,631 Buick Enclave………...…..1,611 Lincoln MKX………..……..1,602 Cadillac SRX…… ....…..…1,561 BMW X5…………………..1,474

Constant shuffling depending on who has an incentive program.

Some Numbers – 3First Half 2013

PONY CARS

Mustang…………….3,209 Camaro……………..1,575 Challenger………….1,028

George Follmer (Mustang) leads by a wide margin, and Mark Donahue in the Camaro,

passed Sam Posey for second,

DID YOU KNOW?

SLS AMG……..…....….31 Lamborghini…..………..22 Maserati………..……….80 Ferrari………….….…..106 Panamera…..…….…..158 GT-R…………..……..…73 R8…………….……..….59 Bentley………..….…….62 Volt…………..………..471 Leaf…………..……….248

MerBimAuIn the First Half of 2013

We coined the term “MerBimAu” for the Mercedes-Benz/BMW/Audi juggernaut.The first half is an excellent opportunity to see how the “juggernaut” is fairing in the

Canadian market that is up by 2% compared to 2012.

Mercedes-Benz: - 4.5%Deducting sales of Sprinter vans, and smart, a little surprising to see M-B down 4.5%,

especially that C Class sales seems to have shifted to the new B Class. 2013=15,221 vs 2012=15,944

BMW: +- 0%Deducting sales of Mini, BMW is slightly behind the market, although still emphasizing

the 3 Series, both in car and CUV version. Yes…they are ahead of M-B.2013=15,345 vs 2012=15,339

Audi: +3%They are ahead, primarily on the strength of the A and Q5, and seem to still have a few

fresh levers they can pull.2013=10,358 vs 2012=10,054

Our ThoughtsFirst Half 2013

We expected a strong 2nd quarter to generate a strong first half, its precisely what developed.

We remain surprised by the subdued performance from GM, now solidly in 3rd place. The Korean juggernaut is encountering stronger headwinds from the Japanese. Honda and Toyota raised their game during the 2nd quarter, to conclude the 1st half

ahead of 2012. CPO sales although increasing, are impacted by aggressive programs on new

vehicles. The finance terms are inexorably getting longer. The deals are closed on a monthly payment basis. Pick ups…what can you say…HUGE. MerBimAu is heading into some “nouveau riche” market turbulence. New products, design that captivates are a compelling advantage. The market remains hyper competitive which is excellent for the customer.

Thank You