How Mitsubishi Motors Will Continue to Grow Sales - Automobile
San Francisco, California -- As Mitsubishi Motors North America announced its 15th consecutive month of increased sales yesterday, company executive vice president Don Swearingen emphasized that one key to that growth is a dramatic reduction in... Cutting down on rental-car sales will help Mitsubishi grow sales even further, he said, by keeping the residual values of used Mitsubishis higher. When Mitsubishi was selling more of its new vehicles to rental-car fleets, residual values of those cars collapsed. At one point in the mid-2000s, for instance, about half of all Mitsubishi Galants produced for the U. S. market were dumped on fleets because new-car sales were so slow. By selling more of its cars to traditional customers, Swearingen hopes Mitsubishi can keep values of used models higher, allowing the company to offer lower lease rates and thus grow sales. “Where our dealers are truly having great success with this vehicle is showing it to used-car customers,” Swearingen said, as they might prefer to buy a new car with a full warranty than a two- or three-year-old model without a warranty. Source: www.automobilemag.com
