Chevrolet, Buick, GMC, and Cadillac dealers in the United States delivered 240,450 new vehicles in May 2016, an 18 percent decrease compared to May 2015. Sales of all four brands decreased year-over-year. The General attributes the drop largely to the planned reduction in sales to rental fleets and two fewer selling days in May 2016 compared to May 2015.
The automaker sold 190,613 vehicles to retail (or individual) customers, a decrease of 13.4 percent year-over-year. The drop in retail sales is attributed to two fewer selling days and very tight supplies of new launch products. GM says that its retail sales were in line with industry performance, based on industry estimates.
“The demand has been so strong for our new launch products, there’s no question we could’ve sold more, however, production was impacted at Fairfax, Lordstown and Spring Hill by the Japanese earthquakes,” said Kurt McNeil, GM vice president of Sales Operations. “Current dealer inventories for launch products are about half of what we’d like for launch products, but availability is improving, which sets us up well for the second-half of the year.”
The performance of the Chevrolet Silverado and GMC Sierra in the marketplace are direct examples of GM’s focus on retail sales. Year-to-date, Silverado and Sierra retail sales are up 1 percent and 6 percent, respectively, while having the lowest incentive spend and the best-managed inventories in the fiercely-competitive, full-size pickup segment. In May, Silverado and Sierra had their highest ATP ever on record.
The General sees 2016 becoming a healthy sales year thanks to positive economic indicators.
“We expect key economic indicators like historically low interest rates, rising wages, stable fuel prices and strong employment to continue for the foreseeable future,” said Mustafa Mohatarem, GM’s chief economist. “These positive economic factors point toward continued strong auto sales as the industry works its way toward another record year of sales.”
May 2016 notes (vs. May 2016, except as noted):
General Motors sales overview:
- Sales types:
- Overall sales volume decreased 18 percent to 240,450 units
- Retail sales decreased 13.4 percent to 190,613 units, accounting for 79.2 percent of total sales
- Fleet sales decreased 4.1 percent to 49,837 units, or 20.7 percent of total sales, which is in line with the company’s full-year guidance of 20 percent
- May represented the largest single monthly decline of 2015-2016 in sales to daily rental fleets
- GM’s focus on higher margin retail and commercial sales is enabled by strategic reductions in deliveries to daily rental fleets, which will continue through 2016
- Commercial sales grew 1 percent
- State and local government sales were up 15 percent in May
- Overall sales volume decreased 18 percent to 240,450 units
- Average Transaction Prices (ATPs) based on J.D. Power PIN estimates:
- ATPs, which reflect transaction prices after incentives, were $35,722 in May, nearly $4,600 above the industry average
- GM’s incentive spending as a percentage of ATPs was 9.8 percent in May, well below domestic and many Asian competitors and below the industry average of 10.6 percent
- New and future GM product includes:
- 2017 Chevrolet Sonic subcompact hatchback and sedan
- 2016 Chevrolet Cruze compact sedan
- 2016 Chevrolet Volt compact plug-in extended-range electric vehicle
- 2016 Chevrolet Camaro sports car
- 2016 Chevrolet Malibu midsize sedan
- 2017 Chevrolet Camaro ZL1 and 2017 Chevrolet Camaro 1LE package
- 2017 Chevrolet Trax subcompact crossover
- 2016 Buick Cascada compact convertible
- 2016 Buick Envision compact crossover
- 2017 Buick LaCrosse full-size luxury sedan
- 2017 GMC Acadia midsize crossover
- 2016 Cadillac CT6 full-size prestige luxury sedan
- 2017 Cadillac XT5 crossover
- May month-end inventory was 670,517 units for a 67 days supply, a 10,885 unit and 4 day decrease from the 681,402 units and 71 days supply at the end of April 2016
- GM estimates that the seasonally adjusted annual selling rate (SAAR) for light vehicles in May was 17 million units. On a calendar-year-to-date basis, GM estimates the light vehicle SAAR was 17.2 million units.
Chevrolet sales decreased 18.58 percent to 169,331 units:
- Chevy crossover sales:
- Chevy Trax sales decreased 10.6 percent to 5,102 units
- Chevy Equinox sales decreased 27.85 percent to 21,252 units
- Chevy Traverse sales decreased 29.64 percent to 7,230 units
- Chevy Truck sales:
- Chevy Colorado sales increased 3.55 percent to 9,196 units, its best retail May and year-to-date sales performance since 2005.
- Chevy Silverado sales decreased 12.73 percent to 45,035 units. The full-size truck had its highest ATP ever on record for any month.
- Chevy Tahoe sales increased 4.37 percent to 7,230 units
- Chevy Suburban sales decreased 8.64 percent to 3,997 units
- Chevy City Express sales decrased 77.46 percent to 174 units
- Chevy Express sales increased 9.91 percent to 6,588 units
- Chevy Car sales:
- Chevy Spark sales increased 29.21 percent to 3,495 units
- Chevy Sonic sales decreased 67.13 percent to 2,980 units
- Chevy Cruze sales decreased 29.81 percent to 16,671 units. The all-new 2016 Cruze is off to a strong start. According to J.D. Power PIN data, Cruze’s May retail share was up 2 percentage points to approximately 9 percent and Cruze’s ATP was up substantially from last year. In May, the all-new Cruze accounted for 85 percent of the Cruze retail sales compared to 53 percent in April.
- Chevy Volt sales increased 17.49 percent to 1,901 units
- Chevy Malibu sales increased 12.77 percent to 24,202 units. The all-new 2016 Malibu is gaining share in a very competitive segment, with retail share doubling to more than 10 percent year-to-date. In May, Malibu’s average transaction price (ATP) was up significantly compared to the previous-generation model.
- Chevy Impala sales decreased 54.35 percent 5,252 units
- Chevy SS Sedan sales decreased 20.56 percent to 228 units
- Chevy Caprice sales decreased 21.77 percent to 97 units
- Chevy Camaro sales decreased 40.25 percent to 5,827 units
- Chevy Corvette sales decreased 23.93 percent to 2,673 units
Cadillac sales decreased 16.03 percent to 12,099 units:
- Cadillac ATS sales decreased 30.73 percent to 1,630 units
- Cadillac CT6 sales totaled 697 units in its second full month of sales
- Cadillac CTS sales decreased 39.62 percent to 1,082 units
- Cadillac ELR sales decreased 61.21 percent to 45 units
- Cadillac Escalade sales increased 14.78 percent to 1,856 units and Cadillac Escalade ESV sales increased 4.12 percent to 1,087 units
- Cadillac SRX sales decreased 69.29 percent to 1,774 units as its replacement — the 2017 Cadillac XT5 — began arriving to dealers in great quantities
- Cadillac XT5 sales totaled 2,719 units
- Cadillac XTS sales decreased 29.26 percent to 1,209 units
Buick sales decreased 22.12 percent to 15,625 units:
- Buick Cascada sales totaled 829 units during its third full month on the market
- Buick Enclave sales decreased 43.18 percent to 3,200 units
- Buick Encore sales increased 20.78 percent to 6,522 units, marking 29 consecutive months of retail sales growth
- Buick Envision sales totaled 89 units as the first models began arriving at dealers
- Buick LaCrosse sales decreased 32.90 percent to 1,687 units. The all-new, 2017 Buick LaCrosse will launch later this year.
- Buick Regal sales decreased 32.9 percent to 1,228 units
- Buick Verano sales decreased 36.23 percent to 2,070 units
GMC sales decreased 14.34 percent to 43,395 units:
- GMC’s May ATPs were up more than $3,000, or 7 percent, from last year thanks to the penetration of the Sierra Denali
- Denali penetration was 26 percent in May
- GMC Acadia sales decreased 38.97 percent to 6,407 units
- GMC Canyon sales increased 15.86 percent to 3,361 units and had its best May retail sales performance ever
- GMC Savana sales decreased 11.19 percent to 2,341 units
- GMC Sierra sales decreased 7.03 percent to 17,642 units
- GMC Terrain sales decreased 22.34 percent to 7,513 units
- GMC Yukon sales increased 8.45 percent to 3,747 units
- GMC Yukon XL sales decreased 5.25 percent to 2,384 units
Sales Results - May 2016 - USA - Chevrolet
| MODEL | MAY 2016 / MAY 2015 | MAY 2016 | MAY 2015 | YTD 2016 / YTD 2015 | YTD 2016 | YTD 2015 |
|---|---|---|---|---|---|---|
| CAMARO | -40.25% | 5,827 | 9,753 | -6.23% | 31,865 | 33,982 |
| CAPRICE | -21.77% | 97 | 124 | -53.42% | 300 | 644 |
| CITY EXPRESS | -77.46% | 174 | 772 | +41.92% | 4,557 | 3,211 |
| COLORADO | +3.55% | 9,196 | 8,881 | +20.45% | 42,178 | 35,017 |
| CORVETTE | -23.93% | 2,673 | 3,514 | -21.39% | 12,185 | 15,500 |
| CRUZE | -29.81% | 16,671 | 23,752 | -35.36% | 68,065 | 105,291 |
| EQUINOX | -27.85% | 21,252 | 29,456 | -17.90% | 101,738 | 123,925 |
| EXPRESS | +9.91% | 6,588 | 5,994 | +24.71% | 26,762 | 21,459 |
| IMPALA | -54.35% | 5,252 | 11,506 | -11.30% | 44,055 | 49,665 |
| MALIBU | +12.77% | 24,202 | 21,461 | +28.16% | 104,187 | 81,292 |
| SILVERADO | -12.73% | 45,035 | 51,602 | -0.13% | 223,990 | 224,274 |
| SONIC | -67.13% | 2,980 | 9,067 | -28.79% | 20,709 | 29,082 |
| SPARK | +29.21% | 3,495 | 2,705 | -24.56% | 11,732 | 15,552 |
| SS | -20.56% | 228 | 287 | +15.17% | 1,359 | 1,180 |
| SUBURBAN | -8.64% | 3,997 | 4,375 | -7.09% | 18,945 | 20,390 |
| TAHOE | +4.37% | 7,430 | 7,119 | -1.59% | 35,330 | 35,899 |
| TRAVERSE | -29.64% | 7,230 | 10,275 | -12.09% | 46,335 | 52,709 |
| TRAX | -10.60% | 5,102 | 5,707 | +23.85% | 23,339 | 18,844 |
| VOLT | +17.49% | 1,901 | 1,618 | +79.01% | 7,871 | 4,397 |
| CHEVROLET TOTAL | -18.58% | 169,331 | 207,970 | -5.37% | 825,503 | 872,363 |
Sales Results - May 2016 - USA - Cadillac
| MODEL | MAY 2016 / MAY 2015 | MAY 2016 | MAY 2015 | YTD 2016 / YTD 2015 | YTD 2016 | YTD 2015 |
|---|---|---|---|---|---|---|
| ATS | -30.73% | 1,630 | 2,353 | -23.43% | 7,884 | 10,296 |
| CT6 | * | 697 | * | * | 1,017 | * |
| CTS | -39.62% | 1,082 | 1,792 | -21.63% | 6,390 | 8,154 |
| ELR | -61.21% | 45 | 116 | -24.29% | 402 | 531 |
| ESCALADE | +14.78% | 1,856 | 1,617 | +3.54% | 8,685 | 8,388 |
| ESCALADE ESV | +4.12% | 1,087 | 1,044 | -0.68% | 5,372 | 5,409 |
| SRX | -69.29% | 1,774 | 5,777 | -28.08% | 17,592 | 24,461 |
| XT5 | * | 2,719 | * | * | 3,023 | * |
| XTS | -29.26% | 1,209 | 1,709 | -15.18% | 8,603 | 10,143 |
| CADILLAC TOTAL | -16.03% | 12,099 | 14,408 | -12.49% | 58,968 | 67,384 |
Sales Results - May 2016 - USA - Buick
| MODEL | MAY 2016 / MAY 2015 | MAY 2016 | MAY 2015 | YTD 2016 / YTD 2015 | YTD 2016 | YTD 2015 |
|---|---|---|---|---|---|---|
| CASCADA | * | 829 | * | * | 3,316 | * |
| ENCLAVE | -43.18% | 3,200 | 5,632 | -9.73% | 20,657 | 22,884 |
| ENCORE | +20.78% | 6,522 | 5,400 | +21.21% | 30,330 | 25,023 |
| ENVISION | * | 89 | * | * | 89 | * |
| LACROSSE | -57.33% | 1,687 | 3,954 | -29.67% | 12,475 | 17,738 |
| REGAL | -32.90% | 1,228 | 1,830 | +2.70% | 8,071 | 7,859 |
| VERANO | -36.23% | 2,070 | 3,246 | -16.92% | 12,694 | 15,279 |
| BUICK TOTAL | -22.12% | 15,625 | 20,062 | -1.30% | 87,632 | 88,783 |
Sales Results - May 2016 - USA - GMC
| MODEL | MAY 2016 / MAY 2015 | MAY 2016 | MAY 2015 | YTD 2016 / YTD 2015 | YTD 2016 | YTD 2015 |
|---|---|---|---|---|---|---|
| ACADIA | -38.97% | 6,407 | 10,498 | -19.31% | 31,982 | 39,634 |
| CANYON | +15.86% | 3,361 | 2,901 | +11.85% | 13,964 | 12,485 |
| SAVANA | -11.19% | 2,341 | 2,636 | -13.07% | 9,877 | 11,362 |
| SIERRA | -7.03% | 17,642 | 18,977 | +8.60% | 89,304 | 82,232 |
| TERRAIN | -22.34% | 7,513 | 9,674 | -15.98% | 38,815 | 46,199 |
| YUKON | +8.45% | 3,747 | 3,455 | +9.08% | 16,056 | 14,719 |
| YUKON XL | -5.25% | 2,384 | 2,516 | +5.19% | 11,604 | 11,031 |
| GMC TOTAL | -14.34% | 43,395 | 50,657 | -2.78% | 211,602 | 217,662 |
Sales Results - May 2016 - USA - GM Totals
| BRAND | MAY 2016 / MAY 2015 | MAY 2016 | MAY 2015 | YTD 2016 / YTD 2015 | YTD 2016 | YTD 2015 |
|---|---|---|---|---|---|---|
| CHEVROLET TOTAL | -18.58% | 169,331 | 207,970 | -5.37% | 825,503 | 872,363 |
| CADILLAC TOTAL | -16.03% | 12,099 | 14,408 | -12.49% | 58,968 | 67,384 |
| BUICK TOTAL | -22.12% | 15,625 | 20,062 | -1.30% | 87,632 | 88,783 |
| GMC TOTAL | -14.34% | 43,395 | 50,657 | -2.78% | 211,602 | 217,662 |
| GM USA TOTAL | -17.96% | 240,450 | 293,097 | -5.01% | 1,183,705 | 1,246,192 |
About The Numbers
- There were 24 selling days in May 2016 and 26 selling days in May 2015
- Cadillac totals include discontinued Cadillac Escalade EXT and Chevrolet totals include discontinued Captiva Sport
Comments
Not good — not good at all, except for a few bright spots (e.g., Volt; Colorado/Canyon; Encore; Malibu). ATS and CTS somehow get more embarrassing.
Why did the Lambdas crater? I figured the Acadia would be lower, due to its switch to a new platform, but the Traverse and Enclave are key vehicles. Did the pricing change?
Also the Camaro — what the heck is that?
Rob it is not all great but it is not all doom and gloom either,
GM has stopped a large percentage of their fleet sales. You know the ones that really prove little profit. Even with these numbers I expect a good profit for the quarter. GM is now working smarter not harder. Flooding the market with cars just for the sake of volume is not a means to a profit.
GM has little incentives right now and people wait.
The market as a whole is slow as GM is far from the only decline.
GM has many new models that are not at full production or availability yet. Also they have several models being closed out too.
The Camaro did not go into production till around December, Most dealers are lucky to have a couple on the lot and few are giving deals on them. People are waiting till supplies rise and there is more to choose from and dealers get more competitive on price. Only the got to have it people are buying and they are willing to pay the higher price than if they wait till August.
The long and short of it this is not anything to panic about. Keep in mind these are also percentages and at GM volumes percentages are not that many units when you remove the variables involved here.
GM is also trying to put a spin on the Economy but the auto market is set for a slow down and it will hit at some point in the future. Is this the start or just a hiccup? Either way GM has put their investment into future product already as others straggle and they have improved efficiency to make it so they are prepared for tougher times.
Most financial annalist has placed Ford and GM both in good stead to deal with economic troubles ahead vs others.
I didn’t say GM is in financial trouble. But GM and its fans should be concerned with its performance.
– The fleet sale part is fine, but “retail sales decreased 13.4 percent” — that’s not fine.
– Perhaps you are right on Camaro, but that seems unlikely. It has been in production for six months. Why would it, just this past month, hit a problem with inventory? More likely is a lack of excitement due to GM being very conservative by not changing the design that much.
– Cadillac is a tire fire and won’t be fixed for multiple years. The market has spoken on the ATS and CTS, the Escalade bump from the past year is over, the CT6 is a fine car that’s not going to bring in serious numbers due to the market for luxury sedans being soft, and the multiple CUVs are still a ways away. Plus, there still is no true halo to get people excited about the brand.
GM *should* do better once replacements for Equinox, Terrain, etc come in. But I think they’ll scuffle along until then.
You need to take the whole package and not cherry pick.
Yes I am right on Camaro as it goes this way about every new intro. We saw it on the last one the same way.
Cadillac is in transition and will under perform but you also need consider that they are still making more money than most other models per unit only eclipsed by the trucks.
Also they are in the same mode with the XT5 and CT6 where not many are at dealers and it will take about a year for them to catch up and on.
As for Halo stop that now. Halo cars are good for attention but what makes money and reputations is just good solid product people want to buy and actually buy. You first need the great product in the show room then you draw attention to it with a Halo. You draw attention to the product now that they plan to replace then what is the point? Putting a Halo out first is like putting the cart before the horse.
You get 3 quarters or more of lower profits and then you can get concerned. Sales are only the wheels but profits are the engine that drives the company.
Remember GM did go bankrupt making millions of cars.
The present models have done very well and but right now with the new model close many people are sitting it out till it arrives. Till then it will still sell decent.
The new Malibu is selling fast and they can not keep up as few are on dealer lots.
I never said you claimed they were in financial trouble but I also see no reason to panic as they are moving so many cars from old models to new models now and in the near future.
Also the lack of incentives has a greater transaction rate so they are also making as much profit on less cars.
“You need to take the whole package and not cherry pick.”
Fine — I’ll focus on the whole package, again: retail sales (i.e., having nothing to do with fleets) are down double-digits. That is not good.
Not to mention Mustang has taken on a hearty lead over Camaro.
Styling may play a role, but nonetheless Camaro sales are sad.
Chevrolet and GMC crashed and the higher transaction price vs industry rise is a bit misleading considering a vast majority of brands lack large trucks and luxury-priced Cadillac.
These are vile numbers that no one should be apologizing for.
Rob,
On your retail sales question: 2 selling days less in this case = 2/26 = -7.7% volume automatically, perhaps a little more since the days missing were a weekend and not weekdays (weekends sell more cars). So let’s call it -8 to -9%.
The remainder is due to a) stop sale on Lambda’s due to mislabeling, and b) production shutdown for 2 weeks due to supply issues for parts around the Japanese earthquake in April. Temporary factors, kind of a perfect storm in May. June-December will be much better.
Thank you for adding much more of the whole picture.
Rob if this is still going on in September then we can be concerned but right now one month is not a major issue.
the market for luxury sedan is soft? markets are soft for sedans period bc of cheap gas. luxury sedans are actually doing good in my opinion. The ATS is due for an upgrade thats it. Also bc the Verano is getting discontinued there are huge promotions on the verano right now and for that reason people who go to a GM dealer looking for a luxury see a big difference b/w Verano and ATS. I drive an ATS Luxury 2.0 AWD right now and its a fabulous machine. Wish I had the 3.6L. Like i said gas is cheap now and i dont drive that much in a yr so if i was buying one today id get the 3.6L or the CTS/CT6 for more room in the back.
The results are as bad as it appears. Yes there are 2 less selling days this year compared to last year and yes GM is reducing it’s dependency on fleet sales but would still not account for the better than 50000 unit drop in overall volume.
The Camaro issue is more troubling. I have said before that potential customers are not responding to it as well as they did the last generation.
It has been over 6 months since introduction and more than enough time for adequate inventory levels. The Camaro volume is not just a little lower it is radically lower and getting wiped up by the Mustang.
Clearly superior performance is not enough.
Agree. The Camaro while superior in many ways to the last gen. is off to a slower start than anyone could have predicted.
It’s also rather comical to read the excuses many make as to why only 5827 units went over the curb? Low inventory, bad weather, etc….Maybe people just aren’t that impressed with it?
The other players in the segment were also down for the month, but both surpassed the Camaro in sales volume. Mustang 10327, Challenger 6677.
The last gen did the same thing for the early months. As well as the present Mustang took months to catch the old Camaro.
Go back and do your home work.
OK, went back and did the “homework”. The sales data tells whole the story.
The 2015 Mustang came on to the market in Oct. 2014, by the very next month(Nov. 2014)it was outselling the Camaro (8728 v 4385). Mustang has outsold the old Camaro or New Camaro or both combined every month since. The troubling thing for GM is the gap is getting wider! The last 3 months, when most would assume the new Camaro would take back some share, the Mustang is averaging over 5000 sales per month more! Some are “fleet”, but not that many.
Also, when the new 2010 Camaro debuted in 2009, it quickly was a hit. The second full month of availability (June 2009) the sales total was……….9320. Sales never dipped below 6687 for 1 month the remainder of 2009.
No stock? Low availability? One very large dealer in my area has 90 2016 Camaro’s “on the ground” with another handful “in transit”.
Well done post.
That is my point also that it is not just about availability as Scott3 suggests.
Something about the new Camaro is causing it to be a sales flop compared with the prior Gen. model let alone against it’s main rival the Mustang.
I think they did not evolve the styling enough nor did they address it’s main criticism which is outward visibility.
I think I would of bought the Enclave if Buick did do the 15-20% off again. It’s been like the same car at the dealer inventory for months.
I am not to worried about the sales numbers for May . Maybe the weather had a part in the decrease . In my neck of the woods it literally rained almost every day , and who wants to buy a new car when it is constantly raining . And last year GM had a VERY strong year . So, one month doesn’t or shouldn’t look like GM is in trouble .
The crossover sales tanked due to the stop- sale with the mpg labels. There was also a delay in the new Cruze deliveries due to changing a washer on the battery cable. I know because I just bought one and had to wait a day for the washer to be delivered.
Great point about the Lambdas. That makes sense.
It’s going to be hard to tell the difference between Buick, GMC, Cadillac and Chevrolet, since they all come in red.
But seriously, you can’t chalk up a -13% performance to fleet sales, when the big sellers (Silverado, Sierra) aren’t part of any rental fleet I’ve seen.
But the good news: Malibu, Colorado, Canyon, Escalade and Encore. Still, pretty slim pickins after that – I suspect the Envision will sell out pretty quickly. After that, it’s pretty lean …
Sadly Silversdo/Sierra combination getting clock cleaned by F-150! F-150 sales up over last year and the GM twins down double digits. This is where major profits are and where attention needs focused.
Prime reason why Fords margins are higher than GM.
GM still isn’t cutting edge….Cadillac should be having a Halo car by now…but it looks like Cadillac wont be getting a Halo car till 2029 which is a long time from now…jeez…. if that’s the case…Cadillac will be dead by than…Cadillac is still struggling in the low-end and the brand doesn’t even have a SIX FIGURED flagship yet and the whole current lineup is a big embarrassment….Cadillac needs to ditch its dated and boring Art & Science theme and create a Halo vehicle sooner than 2029….can’t wait that long for Cadillac to be great.