American automakers gaining a better reputation when it comes to compact cars

Article by Christian A., on March 19, 2012

American automakers are gaining a better reputation when it comes to compact cars. Toyota and Honda had cornered this segment and it didn’t seem like other models had a chance. But the figures don’t lie. This year, sales of General Motors Co.'s Chevy Cruze compact are higher by 10%. Meanwhile, Ford Motor Co.'s Focus compact sales have increased by 90%. Researcher LMC Automotive said that in 2011, the share of GM, Ford and Chrysler Group LLC in the compact and subcompact market in the U.S. increased to 26% (its highest in four years) from 20% in 2010.

U.S.-based automakers have lost a generation of consumers to Japanese companies as they focused on the very profitable SUVs but they’re now planning their comeback on small cars. The small cars by the U.S. companies have been made more stylish and now come with very advanced technology features like the voice-activated stereos, which had been used just on bigger, costlier models.

At the Geneva Motor Show, Ford CEO Alan Mulally told reporters that what customers are looking now are compact cars with the best quality and the most excellent fuel efficiency, safety and design. Detroit automakers know that SUVs and pickups have higher profit margins but they have realized that a successful automaker has small cars as a foundation. That’s because compacts are usually what a buyer picks as a first car and this makes it the first step in building loyalty.

The Focus is a compact car which is being manufactured in Europe. Moreover, the next-generation Ford Focus is purchasable in over 120 markets worldwide and with 80 percent parts commonality. Created by the iconic American multinational automaker Ford Motor Company, this hero model utilized the new global C-segment platform. This impressive platform will underpin at least ten vehicles around the world and will account for at least two million units of the projected annual income by 2012.

During the Paris unveiling, Derrick Kuzak, Ford’s global production Chief, stated that the presentation of the three core Ford Focus body styles is a historic milestone in the company’s global C-car strategy. Furthermore, he expressed that just in a few months’ time, Focus production will start simultaneously in two assembly plants, in Saarlouis, Germany and in Wayne, Michigan. This move realizes the company’s vision of delivering at least ten new derivatives from the same platform worldwide.

Devastatingly, representatives of the corporation stated that for the time being, the new generation Focus is a European-only matter as there are no plans to offer the vehicle in North America. Additionally, Ford also confirmed that the three-model generation will not be expanded with additional three-door version due to little-space in the line-up. Ford also reiterated that the three-model Focus will still provide the ideal blend of Ford’s signature sporty and high-octane aesthetic mixed with everyday practicality.

As for buyers wanting a similar dynamic appearance, but with added space, the latest C-car line-up recommends the new C-MAX, thus, ensuring that the company can provide any needs the consumers have.

Topics: united states

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