• DD-Square-Logo_resized
  • ATTEND LAS VEGAS
    • Attendee
      • Registration & Pricing
      • Agenda Summary
      • Exhibitor List
      • Hotel & Travel
      • FAQ
    • Exhibitor
      • Exhibit/Sponsor
      • Advertising Opportunities
      • Exhibitor Resources
    • Education
      • Overview
      • Show Schedule
  • ABOUT
    • Conference Overview
    • Testimonials
    • Become a Speaker
    • Press Inquiries
    • Partnership Programs
    • Health & Safety
    • Contact Us
    • Get Updates
  • RESOURCES
    • Webinars
    • Downloads
  • NEWS
    • Auto Retail News
    • Digital Editions
    • Press Releases
    • Submit Editorial
    • Subscribe
  • .
  • ATTEND LAS VEGAS
    • Attendee
      • Registration & Pricing
      • Agenda Summary
      • Show Schedule
      • Hosted Dealer Program
      • Hotel & Travel
      • FAQ
    • Exhibitor
      • Exhibit/Sponsor
      • Advertising Opportunities
      • Exhibitor Resources
      • Exhibitor Services Manual
    • Education
      • Conference Overview
      • Conference Speakers
      • Session Schedule
  • RESOURCES
    • Webinars
    • Downloads
  • ABOUT
    • Conference Overview
    • Testimonials
    • Become a Speaker
    • Press Inquiries
    • Partnership Programs
    • Health & Safety
    • Get Updates
  • NEWS
    • AUTO RETAIL NEWS
    • PRESS RELEASES
    • DIGITAL EDITIIONS
    • SUBMIT EDITORIAL
    • SUBSCRIBE

Las Vegas: Oct 17-19, 2023

REGISTER NOW EXHIBIT / INQUIRE
Q

NEWS:

Dealer/GM News | Digital Dealer | Finance & Insurance News | Pre-Owned Sales & Marketing Strategies | Sales & Marketing
August 3, 2011

Small Cars, Big Profits: Setting the Trend for Leasing

Posts:
Dealer/GM News | Digital Dealer | Finance & Insurance News | Pre-Owned Sales & Marketing Strategies | Sales & Marketing
August 3, 2011

Small Cars, Big Profits: Setting the Trend for Leasing

CINCINNATI — If there’s one thing automakers can count on, it’s that a subcompact car built on U.S. soil is a surefire money pit. Until now. General Motors is setting the industry on its ear with its soon-to-debut Chevrolet Sonic, which is being built in a Detroit suburb known as Orion Township. On track to compete with the Mexican-built Ford Fiesta and other extra-small vehicles, the Sonic just might revolutionize the American car manufacturing industry.

What led to this seismic shift in focus? Primarily, increased public demand for smaller, more fuel-efficient cars and a renewed spirit of cooperation with the United Auto Workers union. The smallest, most gas-efficient conventionally powered car in the GM fleet – earning more than 40 highway miles to the gallon – the Sonic’s pricing will start at about $14,000, helping consumers save money at the pump and the bank.

And how is GM doing this? By making a wide range of changes in its traditional thinking, from revamping the plant to about half its original space and bringing outside vendors onto the manufacturing property, to employing cost-cutting, energy-efficient processes and paying union workers about half the UAW’s typical wage. Through these and other efforts the Sonic may be the first American-built subcompact to turn a healthy profit. For comparison’s sake, the Fiesta’s base MSRP is $13,320; the Hyundai Accent GL, the most inexpensive new car on the market, starts at $9,985; and the highest-priced subcompact, the all-wheel drive Nissan Juke SL, goes for $24,550.

Most of all, what does this mean for leasing? Put simply, more affordable contracts! Historically, manufacturers have pushed larger, more profitable vehicles by subsidizing their leases while de-emphasizing the smaller, less expensive models. But as gas prices and ecological awareness continue to rise, so does the public’s demand for smaller, more fuel-efficient, “greener” cars; that means small cars will increase in value and leasing terms will become more attractive.

“A renewed focus on small vehicles is great news for leasing customers,” said Swapalease.com’s EVP of Operations, Scot Hall. “High MPG vehicles coupled with low lease payments add up to significant consumer savings, and at the same time, those leases are a great way to lure new car shoppers back to the showroom more quickly than standard long-term financing.”

www.swapalease.com is the first and only full-service online marketplace of in-process vehicle leases. With the goal of matching individuals who are currently leasing vehicles they wish to get out of, with individuals who are looking for short-term leases with attractive payments and no money down, it’s the perfect way to find the perfect vehicle for you.

Dealer/GM News•Digital Dealer•Finance & Insurance News•Pre-Owned Sales & Marketing Strategies•Sales & Marketing

SHARE

Share on Email
Share on Linkedin
Share on Facebook
Share on Pinterest
Share on Twitter
← Previous Article Next Article →
Posts Dealer Ops & LeadershipTrending Industry News

Why More Dealers Are Enabling Sales Staff to Present F&I Products Earlier in the Shopping Process

Posts Industry Press Releases

TruVideo Integrates with Sunbit to Bring Auto Service Customers Access to Pay Over Time Option

Posts Dealer Ops & LeadershipTrending Industry News

Why More Dealers Are Enabling Sales Staff to Present F&I Products Earlier in the Shopping Process

Posts Dealer Ops & LeadershipTrending Industry News

How Auto Dealerships Can Prevent Data Breaches

Posts Industry Press Releases

Focus Advisors Represents Vinart Dealerships in their Body Shop Sale and Services Agreement

Posts Sales & Variable OpsTrending Industry News

The Power of Transparency in Used Vehicle Sales

Posts Marketing & AdvertisingTrending Industry News

How Digital Marketing Propels the New Way to Sell Cars

Posts Dealer Ops & LeadershipTrending Industry News

Standing Too Close to the Elephant

NEWSLETTER

SUBSCRIBE

DEALER MAGAZINE

Dealer Magazine March/April 2023 Issue Featuring an Interview with NADA 2023 Chairman
MAGAZINE
Digital Dealer Logo White
FOLLOW US ON
  • Follow
  • Follow
  • Follow
  • Follow
  • Follow
© 2023 Emerald X, LLC. All Rights Reserved.
ABOUT    CAREERS    AUTHORIZED SERVICE PROVIDERS    TERMS OF USE    PRIVACY POLICY