The Most Average Car is Disappearing…
The most average car that anybody can buy is slowly dying as we speak. What do I mean by that? Let’s define “average”. For the purposes of this article, we will say that generally, a car that checks most of the boxes for the most people is the most “average”. That is to say that the midsize car is no longer the dominating sales leader in the automotive industry. Sure… the Toyota Camrys, Honda Accords, and Hyundai Sonatas of the world are still doing fine. The tide is turning though. So what’s happening? Why do I make this outlandish claim?
Well, it’s really not just the midsize car segment. It is car sales in general that is losing the sales battle. While Kia has shown strong sales numbers with their Optima and Forte models, other manufacturers are just not fairing as well. Part of this has to do with the fact that cars are expensive. They depreciate as well. Used cars are the way to go, and not only that, but people are holding on to the cars they already have for longer. There is another player in this game that has re-emerged stronger than ever, and it’s dragging down those car sales numbers even faster. It goes by several names: SUVs, Crossovers, and well… there are some other names that have been made up to try and inject some spice into the SUV bowl of soup. We won’t go into all the details of those.
At any rate, SUVs are quickly becoming the dominating force that are keeping the automotive industry moving forward. Several years ago, gas prices were soaring. Really between about 2005 and 2012, gas prices pushed people to again buy smaller, more efficient cars. You will recall that this happened before: the 1970’s oil crisis caused a similar reaction. It also pushed manufacturers to develop more efficient vehicles as a whole. The same was a result of the gas price hike that happened in the not so distant past. Consequently, SUVs and crossovers have also benefited from this efficiency push. They may still be a little less efficient than a compact car or even some midsize cars, but this is generally due to the weight they have to carry. Many SUVs have the same engine as their smaller counterparts. Those engines have become better and more efficient, and SUVs and crossovers have become wildly popular.
They are versatile, offer some features that cars can’t or don’t, and they offer a more commanding view of the road. People like all those things. So then, we know that the problem isn’t that small and midsize cars are bad, but rather that SUVs have progressed far from the rough, more unrefined machines they used to be.
Midsize cars offer quite a lot in terms of value. Not only are they usually a little better performing than their comparable SUV brethren, but they even offer a more comfortable ride and in some cases, more space, all in a more affordable package. But SUVs and crossovers offer something that a car can’t. Sure, they offer the option of all-wheel drive unless you buy a Subaru or a high end luxury sedan, but they offer even more than that. They offer complete freedom. Today, anybody that buys an SUV can say that they have the total package. They can go anywhere, regardless of the weather, they can do anything, because of the versatility offered, and all of this can be accomplished in comfort. Additionally, because gas prices have returned to an affordable level, of course coupled with the increased efficiency of the modern SUV or crossover, they have also become more affordable, even if they are a bit pricier than a comparable midsize car.
As a result, the SUV and crossover are the new kings of the automotive world. Average is no longer the game played by the typical four-door family sedan. For now, this trend is strong. I think this trend will eventually die off. But my thoughts about the trends don’t matter, because somewhere, somebody in the mountains of Colorado is laughing at me! They are on a ski trip with their family of four in the Rockies. Even if I wanted to be doing the same, I couldn’t because my Genesis Coupe wouldn’t make it. They made it, because they have an SUV.
–SWF
