15 September 2021

NZ SUV / Pick Up / Car Graph : 2012-21

It comes as no surprise to know that globally the car is on the way out, being replaced by the SUV /  crossover and in some cases pick-up trucks as well. I do feel that some crossover vehicles are slightly raised hatchbacks but the industry defines them as more SUV than passenger car.

Notwithstanding, the traditional passenger car has taken a beating. It may include the 2/4 door, hatchback and wagon but that versatility hasn't been enough. People seem to want something a bit further off the ground. In most cases, SUVs make entering and exiting a little easier, give a more commanding view and generally create more space within the vehicle. They usually provide better margins for the manufacturer as well. 

Of course it's not all win-win. Cars have a lower centre of gravity so handle better. Hatches and wagons also have the versatility to meet the needs of many most adequately. The cost of purchase is a bit less too. Pick-up trucks have their large tray along with reasonable room inside but their size and cost will limit how many people go that way. The levelling off of market share gain seems to confirm that.  

At the end of the day, how people spend their 'hard earned' determines the winner, and the chart below shows where that is going in NZ. It would be a typical representation of the global trend. The numbers on each side of the graph show the percentage share of the total market including all vehicles.   

Data source: MIA NZ.

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