Generally speaking, customers who buy a crossover do not move back to cars, Chevrolet has found.
This point was made by Steve Majoros, Chevy’s VP of Marketing, after a question from GM Authority executive editor, Alex Luft.
“Typically what you see from a market dynamic standpoint is that people are comfortable moving from a car to a crossover,” Majoros said. “Very rarely do you see someone move from a crossover back into a car.”
The decision justifies Chevy’s decision to offer more crossovers and fewer sedans. However, this could be partly explained by the fact that those purchasing a crossover have little opportunity to return to a sedan, since most Chevy sedans such as the Cruze, Volt, Impala and – most recently – the Sonic have all been discontinued, leaving the Chevy Malibu as the only remaining sedan the brand still offers in the U.S. and Canada.
But viewing the situation from that standpoint could be a confusion of cause and effect. If crossover customers habitually moved back to sedans, Chevrolet would probably decide that was still worth building them. In fact, the 2021 Chevy Trailblazer small crossover is so popular that demand is exceeding supply by four to one. It is no longer thinkable that the same levels of demand could apply to a sedan.
Majoros also emphasized that some buyers who are only now becoming able to buy a new car might have purchased a crossover previously if they had been able to afford one: “You also have a whole generation of people that are now coming of age to buying new cars, maybe they were in used cars before and have never really owned or have been in a new vehicle or a ‘real car’ as [those on the call] have grown up with.”
“We candidly would have not been able to have the kind of market share numbers that I talked about if we did not have an effective strategy to hold on to these very valuable owners and keep them in the Chevy family,” he added.
The market share numbers Majoros is referring to is the 20 percent share of the subcompact crossover space controlled by the Trax and Trailblazer in December 2020. The figure make Chevy the best-selling purveyor of small CUVs in the United States.