The Trooper 1815

iTrader: (31)

Subaru profits are down already this year. Perhaps the diesel can't come soon enough.

"We can't be optimistic about the full year given the sales trend so far," spokesman Shinichi Murata told reporters.

Murata said that while the core Impreza hatchback remodelled last month had been selling well in Japan, it was eating into sales of the more profitable Legacy flagship and failing to revive sluggish domestic sales.

Sales in the United States -- its biggest market outside Japan -- also remain stubbornly weak, falling by double-digits in the first quarter. Profitability was also deteriorating as higher-margin, turbo-charged models lost out to more fuel-efficient products, Murata said.

http://www.fhi.co.jp/english/contents/pdf_en_37776.pdf

http://www.reuters.com/article/tnBasicIndustries-SP/idUST30334520070731

PeteBrant

Lesson of the day? Don't enter into an already overcrowded market and expect to do well.

The world and his wife make fuel efficient hatchbacks, what the **** did Subaru expect?

TonyBurns

iTrader: (3)

Well hatchbacks sell better than saloons, also economical hatchbacks sell better than 2ltr/2.5ltr turbocharged monsters, its common sense really that the hatchback market is what you want to be in, not a very very limited performance market.

Tony

PeteBrant

Not really.

The economical hatchback market is sewn up. Subarus best chance is as a niche product - Which is exactly what they were.

By entering into the hatchback market, they have entered a world where thier competitors has massively better margains than Subaru do due to vastly superior economies of scale, their competitors have a massive advantage in term of dealerships. Subaru are severly disadvantaged in terms of product recognition.

It does not make sense to enter a market where the leading brands have a virtual cartel. You have to spend billions to get anywhere - See MS and Xbox for an example.

MS had money to burn. Subaru/FHI don't.

automodellistagt

subarus arent selling well because

1) theyre not fast in comparison to what they were,
2) insurance is huge,
3) theyre not as good as an evo for going fast,
4) theyre not as good as anyother saloon for poodling about,
5) and the newest ones are ugly as hell
6) selling of reputation of the name rather then the product. Only BMW can do that.

simply poor management imo

bluenosewrx

iTrader: (2)

Chair reclined back, beer in hand ready for the show to follow,lol

Mac

LEUVEN

I think I might go and register on MLR and slag the evo off whilst **** licking Subaru.
No wait a minute, because only a sad T**T would do that.............................................. ...

What a sad boring life someone must lead if they only like one make of car AND spend time slagging off other makes.

automodellistagt

touched a nerve did i? I havent slagged of the impreza, im stating a fact that helps support my arguement of why subaru sales are down.

They arent as fast as evo's, EVERY review ive ever read in a credible magazine has stated that. When ever in a test against each other the EVO is allways stated as being the faster weapon but the STi Uk a being more rounded off. Hence my point saying they are not as fast as EVO's.

I cant be arsed explaining the other points.

pslewis

Expect the new Impreza to be aggressively priced .....

Expect the new car to win the WRC .....

Expect sales to rocket following that win .....

Well, thats what happened in the early 1990's .....