New SUVs and new Opel/Vauxhall Astra drive January sales in Europe

The first month of the year 2016 saw 1.09 million units sold in Europe as January marked the 29^th consecutive month of year-on-year registration growth. The month saw a 6.1% increase in volume compared with January 2015, and the region’s highest January sales in four years. The results were boosted by strong growth in two of the big-5 European markets – Italy and Spain – as well as Ireland, Czech Republic, Switzerland and Finland. However, the Netherlands, Belgium, Greece, Croatia and Latvia all experienced a downturn in sales.

Volkswagen remains bestseller

Volkswagen remained the best-selling brand for the month with 128,500 units sold, though it experienced a loss of market share, falling from 12.9% in January 2015 to 11.8% last month. The German carmaker registered the only negative change among the top 10 best-selling brands. On the other hand, its sister brand Audi’s volume increased by 14.2%, the highest rise in the top 10. This boosted its market share by 0.41 percentage points. Other big market share winners were Mazda (+0.42 percentage points), Opel/Vauxhall (+0.36), Fiat (+0.34) and Honda (+0.33).

Continuing its lead, the Volkswagen Golf was the top model thanks to its strong position in Germany and Italy, though it also performed well in other large and midsize markets. However, it also saw its market share drop in 20 of 29 European markets. The Golf’s market share stood at 3.4% in January 2016, compared to almost 4% in the same month of 2015, its second lowest monthly share since January 2014 with sales volumes falling 9.5% from January 2015 to 36,900 units. However, Opel/Vauxhall experienced an excellent 50% growth YoY with its new-generation Astra, a direct rival to the Golf, with sales totaling 16,900 units. The Astra posted the highest percentage increase in the top 10 as volumes soared in Germany (+98%), Spain (+60%) and France (+114%).

The Golf was followed by the usual three best-selling sub-compacts – Volkswagen Polo, Ford Fiesta and Renault Clio, with the Polo growing 4.9% to almost 25,000 units. The volume falls recorded by the Fiesta and Clio allowed the Peugeot 208 to gain ground on its competition, posting sales of 19,200 units, an increase of 19.4% year-on-year. The small Peugeot benefitted from increasing demand in France (+27%) and Italy (+45%), its two main markets, and outsold its competitor from GM, the Opel/Vauxhall Corsa (-14.7% at 18,000 units).

It was also a challenging start to the year for the Nissan Qashqai, as its registrations fell by almost 1%. Small sales rises in the UK (+3%) and Italy (+4%) were not sufficient to offset its fall in Germany (-13%) and France (-14%). The Skoda Octavia dropped one position in the top 10 models to eighth with 17,400 units (+1%), and Fiat re-entered the top 10 thanks to sales of the Panda in Italy (+42%) that counted for 79% of its total registrations.

Ireland helps Hyundai Tucson’s market share grow

The new Hyundai Tucson was Europe’s best performer in terms of market share gain, adding 1.1% to its market share. Its largest market was Ireland, which contributed 20% of its European sales. The Renault Kadjar was another big winner with a 0.75% rise in share, achieved through sales of almost 8,200 units. It was followed by the Fiat 500X, Suzuki Vitara, Opel/Vauxhall Karl/Viva and the Mercedes GLC, all with more than 0.5 percentage points gains. The models that posted the biggest falls in market share were the Hyundai ix35, Volkswagen Golf, Opel/Vauxhall Corsa, Volkswagen Golf Sportsvan, Renault Scenic and the BMW 5-Series.

Commenting on the sales, Felipe Munoz, global automotive analyst at JATO Dynamics, said, “After two months of double-digit growth, the European new car market slowed down in January. Volkswagen remained top but lost ground to its main rivals, who benefitted from the success of their SUVs and new models. January’s figures suggest that the current momentum behind SUVs will continue, further establishing the segment’s importance.”

Also read:

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- SUVs take charge in Europe as best-selling segment for the first time